Landstar Dealing With Owner-Operator Issues

A decline in capacity is typical during low-rate environments, and Landstar has seen a continuous decrease in owner-operator counts for the past 10 quarters.

Owner-operators are grappling with record operational costs amid a two-year freight recession that shows few signs of improvement before the year's end, despite some hints of recovery.

Frank Lonegro, CEO noted that the fourth quarter generally sees a slowdown in recruiting new owner-operators, and Landstar does not expect the usual seasonal uptick around the holidays to draw them back.

When rates do begin to rise sustainably, it may take longer for drivers to return compared to the rapid influx seen during the pandemic freight boom.