Is Japanese logistics okay?

-Declare for "free shipping" -June 10, 18:09

On the 1st of this month, the Japan Trucking Association posted a claim on its homepage.

"It's not free shipping!"

It is a cry of the heart of the truck industry that supports 90% of Japanese logistics.

I interviewed what was happening.

(Social Department reporter Ken Watanabe)

Unusual decision to post a claim

This page was created by the Japan Trucking Association, which has approximately 50,000 member companies nationwide.

It is said that he decided to make a statement that the word "free shipping" appears repeatedly on mail orders, etc., even though shipping costs a shipping fee.

A person in charge of the association

"I created it from the sense of crisis that the word" free shipping "is spreading the recognition that shipping costs are low and it is almost free. I want to widely appeal the plight of the industry to consumers and shippers."

A shipping company in a difficult situation-barely managed-

What is the current state of truck operators?

We talked to the president of a transportation company that owns about 20 trucks in the Kanto region.

This company delivers groceries and miscellaneous goods from warehouses to restaurants and wholesalers, mainly in the Tokyo metropolitan area.

The fare is about 28,000 yen for 9 hours a day when converted to one 2-ton truck.

If it exceeds 9 hours, an extra amount will be added.

It costs 30,000 yen a day to convert expenses such as office and parking lot rent, vehicle maintenance costs and labor costs per vehicle, but the fact is that we are making a profit by increasing the amount, and we are in the red. It is said that it often happens.

The office and parking lot were originally owned, but it was said that they had to sell them, and the management is still severe.

When the reporter asked, "If it's so painful, I have no choice but to ask the shipper to raise the freight rate," the president replied with a bitter smile, "That's impossible."

A shipping company in a difficult situation-Relationship with shippers-

The shipper of the business partner is a large company whose business scale is incomparable, and when he requested a price increase once in the past, the president of the shipper said, "Don't be silly, the shipping company is not the same as us shippers, so it is impossible to raise the price. If it is difficult to manage, there are many other companies. You can stop it. "

It was a big shock to this shipper, who has been with us for 15 years, no matter how harsh the conditions were, the fact that they were delivered without delay was not taken into consideration.

Since then, it is said that if you ask for a fare increase, you may lose your job.

This company strives to improve quality by acquiring safety certification from industry groups in order to add value that other companies do not have, recommending eco-driving that reduces CO2 emissions, and gaining a high rank in the evaluation system of local governments. It has been, but it is said that it does not lead to the fare you expected.

President of the shipping company

"In the end, the shipper can carry it anywhere as long as the minimum quality is guaranteed, such as not collapsing. Even if there is no such evaluation, there is a feeling that it should be cheap, so I have to think so."

Cheap fares are a problem for the entire industry

The fare issue is also reflected in the questionnaire that the "Tokyo Metropolitan Trucking Business Cooperative Association" received responses from 164 businesses at the end of January (requested 200 businesses to conduct a survey).

In response to the question of how the current fare is compared to the desired fare,

▽ extremely low but 3.6%

▽ low but 27.7%

▽ slightly low but 58.4%, and

89.7% (149 companies) answered that it was "low". doing.

10.2% (17 companies) were as desired, and 0 was higher than desired.

Fare challenges are also reflected in truck driver wage data.

According to a survey by the Ministry of Health, Labor and Welfare last year, the average annual income of truck drivers is 4.87 million yen for all industries, 4.54 million yen for heavy-duty trucks, and 4.19 million yen for medium- and light-duty trucks, which is about 10% lower. ..

The labor shortage in the industry is also serious

The labor shortage is also serious.

The active job openings-to-applicants ratio for truck drivers in April was 1.89 times, nearly double the average of 0.95 times for all industries.

In addition to income, industry groups say that the truck industry is becoming less attractive due to various factors such as hard labor, making it difficult for young people and other human resources to gather.

Upper limit of working hours Is logistics okay?

Furthermore, “work style reform”, which will be regulated three years later to correct long working hours, also complicates the problem.

Under the Work Style Reform Law, the upper limit of overtime work for trucks and other "automobile driving operations" is restricted to 960 hours per year from April 2024, and if the upper limit is exceeded, there will be penalties for carriers.

In addition to labor shortages, there are long-distance transportation and waiting time for loading, so working hours are longer than in other industries.The Japan Trucking Association surveyed 780 operators nationwide, and as of October last year, 28% of businesses said that there are drivers who work overtime for more than 960 hours.

Work style reform is necessary to protect the health of workers, but if the upper limit of overtime work is introduced in a situation where labor shortages continue, there is a risk that the distribution of social infrastructure will be disrupted. Points out.

Country moves for improvement

The Ministry of Land, Infrastructure, Transport and Tourism is taking measures.

In April last year, the country was the first to formulate a "standard freight rate" because more than 70% of small and medium-sized truck operators with 20 or less vehicles have weak bargaining power with shippers.

We investigated and calculated the costs of 639 businesses nationwide and the financial statements of 109 businesses, and created them in detail according to the vehicle type, mileage, and time.

The unit price of labor costs is 30 to 40% higher than the previous fare as a result of adopting the average unit price of all industries.

The Ministry of Land, Infrastructure, Transport and Tourism and the Japan Trucking Association have informed and understood in writing that a "standard freight rate" has been established for 46,000 shipper companies nationwide and 62 shipper organizations such as the Japan Business Federation. And asked for cooperation.

It is not an amount that must be kept like the minimum wage, but a guideline, but it is expected that it will be easier for shippers to negotiate because it was formulated based on the discussions of experts at the national council. It went up.

The president of the shipping company introduced at the beginning looks back on his feelings when the standard fare was set.

President of the transportation company

"If standard freight charges are included, management will be stable, drivers' wages can be raised, and capital investment for vehicle safety measures can be made. So, even though it was difficult to raise the fare to the standard fare suddenly, I thought that the gradual price increase became a reality. "

However, with a direct hit from Corona ...

However, things don't go as expected with Corona.

Carriers that support logistics in industries affected by Corona, such as events, the restaurant industry, and the manufacturing industry, are becoming more difficult to manage.

The shipping company introduced at the beginning is said to have been suffering from corona, and the delivery volume has continued to decrease by about 15%.

In some cases, one of the eight business partners had their contracts canceled, and even the remaining business partners had to reduce the number of trucks or respond to price cuts.

It is said that sales decreased by about 20 million yen from March last year to last month.

Currently, we are paying for the cost by lending interest-free and unsecured as a measure against corona, but as it will be a big burden when repayment starts in the future, we told all shippers last year the freight rate according to the standard freight rate. I requested a price increase.

At the time of negotiations, he also showed the cost price of labor costs, vehicles, fuel costs, etc., and complained that the current freight rate was low in sales, but all shippers refused.

President of the shipping company

"I understand that it is difficult for shippers, but if you do not raise the price, you will not be able to manage. You can not do it as it is. Without Corona ... The timing is the worst."

In interviews with other companies, he said, "While the shipper is in a difficult situation in Corona, I will be cut off if I ask for a price increase. I don't have the courage to cut it out." Many urgent voices were heard, such as "I am following what I want. I can't say that I can raise the price."

In order not to disrupt logistics

This time, I talked to shipping companies all over the country.

"Tied in Kataya country of working styles reform, from the shippers is said to" carry properly as usual up to now ", in. In this state is blocked in every direction, exhausted even arrows and broken sword, die in battle (quit) only I'm not"

Kyushu I had to wonder if Japan's logistics, or truck logistics, which supports 90% of the logistics, is okay.

And when I think about the claim made by the industry group, "It's not free shipping!", I felt that it was a cry of heart that consumers had to understand at least in the midst of the blockade.

Obviously, the work of a carrier is not free.

The word "free" is appealing to consumers, but the fact that some people are in trouble because the fares are not at the right price can affect our lives. I strongly wanted many people to know through this claim.

Reporter of the Social Affairs Department

Ken Watanabe

Joined the

Bureau in

2010.