Southeastern rolls through recession

The trucking industry, the engine of nation's economy, is suffering during the recession, resulting in elimination of services, widespread layoffs, thousands of bankruptcies, and even talks of YRC Worldwide, the nation's largest publicly traded trucking company, asking for bailout money.

Yet one large trucking company, Southeastern Freight Lines, has not made a single layoff. The privately- held company currently employs more than 6,600 people and has never had a layoff in its 58- year history. Southeastern is possibly the only LTL trucking company that has not cut employees during the current economic downturn.

This has not been an easy feat. Last fall, Southeastern executives developed a "Keep Our People Working Task Force" to determine how the company could continue its no- layoff commitment.

Strategies include finding creative ways to give everyone enough hours as well as reducing capital - all conducted with a commitment to not erode customer service. In fact, Southeastern, which leads the industry in on- time delivery measurements, has deployed technology to improve efficiency and save money, expanded services, and continues to receive service awards from its customers.

Southeastern's recession survival is an example of remaining focused on long- term business objectives - founded on a commitment to employees as the cornerstone of the company's culture. Instead of cutting jobs and services in order to ride out the recession, Southeastern is looking at long- term objectives and benefits to adhering to its core values.

Southeastern executives hope their employees know their company is taking care of them during this downturn and that those same employees will be more loyal than ever when business picks up. The same philosophy can be applied to Southeastern's customers.

Carriers - and companies in general - that resist cost cutting that degrades services will lead the rebound.

Shipment volumes are down, and the economy is putting a strain on the company's earnings. Southeastern is not promising its employees that it will never make a layoff, but employees know the company is doing all it can to prevent that from happening, and for that reason morale is the highest it's ever been.