What’s driving the latest “fired by text” headlines
Social media chatter about drivers learning they’re out of work via late-night texts is striking a nerve because it echoes real events from the past 18 months. In June 2024, Humble, Texas–based U.S. Logistics Solutions told employees by text or conference call that operations were ceasing and paychecks wouldn’t arrive, affecting roughly 1,200 workers.
Earlier in 2024, 70-year-old California LTL carrier Tony’s Express also collapsed after a series of text updates to employees; workers reported bounced checks and immediate loss of medical coverage.
Broker shutdowns add another layer of risk
When a freight broker fails, carriers can be left chasing payment. The most visible recent example remains the 2023 shutdown of digital broker Convoy, which closed amid a “massive freight recession” after raising hundreds of millions in venture funding; its demise underscored how quickly intermediary failures can ripple across small carriers’ cash flow.
FMCSA rules require brokers to maintain a $75,000 surety bond or trust. Regulators have moved to tighten enforcement so that if a broker’s security falls below $75,000 and isn’t replenished within seven days, operating authority is suspended—meant to reduce unpaid-carrier exposure when intermediaries wobble.
The carrier side: 2025 closures continue
This year’s refrigerated and truckload markets remain unforgiving. Madison, Illinois–based LTI Trucking Services shut down in early April, notifying about 250 drivers but pledging to get everyone home and paid. Florida’s Davis Express, a 44-year reefer stalwart, wound down in April as well, citing two years of losses and flat-to-falling rates while committing to pay employees and vendors during an orderly closure.
If you’re an owner-operator or fleet manager, take these steps now
- Verify the broker’s financial health before you roll. Ask for the brokerage’s MC number and confirm active authority and a valid $75,000 bond/trust. A fast bond check won’t guarantee payment, but it’s your first filter as FMCSA steps up suspensions for drawdowns.
- Shorten your cash cycle. If you’re relying on brokered freight, negotiate quick pay with clear terms or work with a factoring partner you trust. Avoid letting receivables age past 30 days with smaller or newly formed brokers.
- Watch for early-warning signs. Slipping detention reimbursements, unusual document demands, sudden email/domain changes, or “hold for funding” instructions can precede payment failures. If a broker asks you to re-invoice to a different entity, pause and re-verify authority and bond status.
- Document everything on every load. Keep PODs, rate confirmations, text/email chains, and GPS breadcrumbs. Solid documentation helps in bond claims if a broker goes dark.
- Know your WARN rights if you’re a company driver. Employers with 100+ workers generally must give 60 days’ notice before a plant closing or mass layoff, with specific thresholds and limited exceptions. If notice wasn’t given, back pay may be owed—consult counsel in your state.
- Diversify lanes and customers. Blend direct-shipper freight with brokered loads to reduce single-counterparty risk, and avoid overexposure to one vertical (e.g., seasonal retail or soft consumer-packaged-goods cycles).
- Build a “go-home” plan. For fleets, prearrange fuel cards and tow/relay contingencies so drivers aren’t stranded if a shutdown notice hits mid-route—LTI’s closure showed that proactive retrieval planning matters.
Bottom line
Whether the latest viral story involves a small broker or a regional carrier, the pattern is the same: thin margins, soft demand in key lanes, and tighter credit are making sudden shutdowns more common—and notifications more abrupt. Treat counterparty risk as seriously as fuel and maintenance. Upfront verification, tighter billing discipline, and a contingency plan can turn a blindside text into a manageable disruption instead of a business-ending event.
Sources Consulted: Houston Chronicle/Chron; FreightWaves; Trucking Dive; Commercial Carrier Journal; CDLLife; CNBC; FMCSA (eCFR and guidance).
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