How a 1980 law slashed truck driver pay, boosted big-box retail - Business Insider

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How a 1980 law slashed truck driver pay, boosted big-box retail - Business Insider
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How a little-known 1980 law slashed pay for millions of truck drivers and created big-box retail as we know it

That slammed drivers' wages, as trucking companies were forced to begin slashing payrolls to keep up with new industry entrants.

That ease of entry meant everything to people like Franklin Morales, who runs an 85-truck fleet in Newark, New Jersey. That's why the now bankrupt mega-retailer Sears stationed its distribution centers near America's railways during its peak in the mid-20th century, Viscelli told Business Insider. The Sears catalog, which first arrived in American mailboxes, contained hundreds of pages of products that took weeks to get to a customer's doorstep. Rail was slow, but moving a wide variety of goods by truck was too complicated to be workable.

Spurred by this new opportunity in supply-chain design, Walmart grew far beyond its original business model, offering rural Americans low-cost goods. ItLocal truck drivers have largely been replaced by drivers traversing the US with 53-foot trailers full of goods for manufacturers or distribution centers.

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