Old Dominion Freight Line Inc. on Monday, July 23, announced an average 4.9 percent increase to its base rates effective Aug. 6. The exact increase may differ for customers based on a number of variables, including the lanes utilized and the distance shipments move.
“We’re naturally sensitive to our customers’ budgets,” said Todd Polen, vice president of pricing for the Thomasville, N.C.-based less-than-truckload carrier. “Raising our rates is something we do reluctantly and after considerable analysis. We’re taking this action to ensure that our services remain best-in-class.”
Old Dominion said it will use the increase to offset rising costs. “We continually reinvest in our business,” Polen said. “This modest increase will enable us to absorb the rising cost of new equipment and escalating insurance costs while maintaining competitive wages and benefits for our employees.”
The tariffs affected by the increase are the ODFL 559/555 and the 505 Canadian tariffs. The rate increase also will provide for a nominal increase in intrastate, interstate or cross-border lane charges.