On June 7, news broke that Schneider National (NYSE:SNDR) had purchased the truck and trailer assets of deBoer Transportation of Blenker, Wisconsin. The details of the transaction have not been disclosed yet. What we know is that Schneider will absorb deBoer’s fleet of 160 tractors and 660 trailers. However, the company’s 124 drivers, as listed on the SAFER.gov website, might not be absorbed as quickly.
Schneider, in a press release, stated that “the company is expected to be quickly integrated into Schneider’s existing businesses, with drivers and equipment being deployed to support growth opportunities in Dedicated and Power Only operations.” What accounts these drivers and equipment will be moved into has not been made public.
Merging companies is not always a smooth transition
Unfortunately, word is out on the internet that deBoer drivers are having a little bit of a problem getting transferred into Schneider. Drivers have to be “re-hired,” having their backgrounds checked and credentials verified. It’s similar to what happened when Schneider acquired Watkins & Shepard and Lodeso drivers went through back in 2016. Any properly operated business is going to verify the status of “new employees” when they merge them into the fleet.
Another issue that arises when mergers happen is “Will I get paid the same rate?” Sometimes, you do, and sometimes you don’t. That’s up to the negotiations that go on behind closed doors. Details of the merger are still tightly held by both parties, so BackTheTruckUp cannot confirm the “possibility” that a pay cut might have occurred. Smaller companies often pay more than larger carriers. It’s one of the primary reasons drivers look for employment with them before applying at the much larger enterprise carriers.
deBoer Transportation was founded in 1967 by Ron deBoer as a family-owned cattle hauler. It expanded into logistic services, adding trailer-on-flatcar rail services and cross-border operations into Mexico. In the past few years, it also added brokerage services. The company recently celebrated its 55th anniversary.
Todd Maiden, Finance Editor for FreightWaves, has also written an article about the merger at this link.
