AM I NEXT? NO LOVE AT CENTRAL FREIGHT LINES

Waco, Texas-based Central Freight Lines, a regional less-than-truckload company servicng the Southeastern and Southwestern United States, has announced that it is winding down its operations impacting up to 2,100 employees and contractors.

The company has indicated that layoffs are scheduled for December 31, 2021.

According to company statements, "CFL is shutting down its operations due to unprecedented financial distress, including loss of significant revenue, decreasing margins, increased overhead, several operational inefficiencies, workforce attrition, and various other unexpected and unforeseen circumstances, including CFL’s inability to secure sufficient financing to maintain operations. Central Freight Lines did not provide earlier notice because it would have jeopardized efforts to pursue capital, restructuring and refinancing alternatives to postpone facility closures that were ultimately unsuccessful.

The company explored all available options to keep operations going. Despite diligent efforts, the company was unable to gain commitments to fund ongoing operations, find a buyer, or even fund a Chapter 11 reorganization.”

"As we complete the wind-down process, our primary goal will be to offer the smoothest possible transition for all stakeholders while maximizing the amount available to apply toward the Company’s obligations. Central Freight is coordinating with other regional LTL carriers to afford its employees opportunities to apply for other LTL jobs in their area. Discussions are ongoing and no purchase of assets or offer of employment is guaranteed.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT KIRBY OFFSHORE MARINE

Houston, Texas-based Kirby Offshore Marine, an offshore support tug and barge fleet operator providing support services and fuel bunkering services to ships, has announced the permanent closure of Kirby Offshore Marine Hawaii that services ships in the Honolulu Harbor.

The closure will impact 72 emloyees and layoffs will completed by December 31, 2021.

According to Matt Woodruff, Kirby's vice president of public and government affairs, "Our Hawaii operations are being sold to other companies. Our customers are aware and we are planning for a seamless transition with no interruptions of service.:

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? MORE JOB-KILLING POLITICAL RISKS

Once again we are confronted with an example of the type of political risk that is indicative of the government's efforts at social engineering to discourage the public's use of a product they consider harmful without legislation that would make the product illegal to manufacture, sell, distribute, own, or use.

In some cases, the government increases the taxes imposed on the product to make it less attractive to youngsters and others with less discretionary income. Burdening heavy users with additional costs the government hopes will reduce or eliminate usage. The two most prominent examples are alcohol and tobacco.

Today's example comes from legislation that curbs the carriage and delivery of tobacco-associated vaping products.

"The U.S. Postal Service’s ban on the shipping of all vaping products, which was mandated by Congress late last year, took effect. The Postal Service’s exit, combined with existing delivery bans by FedEx, UPS, and DHL leaves the vaping industry with limited options to get its goods to market.

The prohibitions imposed by the four carriers affect online sales to consumers as well as business-to-business transactions between manufacturers, distributors and retailers."

These are the type of political risks that can destroy small businesses and result in major layoffs in larger companies. Keep questioning the political viability of your product line in terms of tariffs, taxation, and secondary logistical considerations of shipping.