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HAULAGE OPPORTUNITIES

24th September 2009
Page 19
Page 19, 24th September 2009 — HAULAGE OPPORTUNITIES
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Which of the following most accurately describes the problem?

Some subcontractors are unhappy with the current 4PL situation, "The only reason that it is working is because the construction industry is running at virtually zero, and nobody wants to turn work down," says one.

He continues: It is getting to the point where the rates are so low and TDG is reaping the rewards, saying we can streamline this contract."

He adds that they had been told by TDG that they would be given the chance to take on work from its other 4PL operation with Corus. Hayes says: "Opportunities are available for traditional aggregate hauliers to work on our Corus operation, and, indeed, this is happening with a number of hauliers who have embraced 4PL and are experiencing higher volumes and increased efficiency as a result."

The very nature of the construction industry means that Al will have contracted with customers that have new sites starting up all over the country, all the time — thus subcontractors rates' must be negotiated afresh by TDG each time for each new site.

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