Old Dominion Sets 4.9% Rate Increase
Less-than-truckload carrier Old Dominion Freight Line said it will implement a 4.9% rate increase, effective Sept. 6.
Todd Polen, vice president of pricing for Old Dominion, said in a statement that the move involves a pricing restructure, with rate increases based on length of haul rather than traditional across-the-board increases.
“Although each customer will have a different financial impact based on the lanes and distance their shipments move, the overall impact of the increase is approximately 4.9 percent,” Polen said.
Polen said the increase is necessary to offset rising equipment and insurance expenses and cover the costs of securing new service center capacity, developing technology and providing competitive wages and benefits.
Old Dominion joins a growing list of LTL carriers that recently announced rate increases, including FedEx, YRC Worldwide, Con-way Freight, ABF Freight System and UPS Freight.
Old Dominion is ranked No. 18 on the Transport Topics Top 100 listing of U.S. and Canadian for-hire carriers.
