Trucking news and briefs for Friday, July 31, 2026:
STG Logistics to pay $2.7M in New Jersey misclassification suit
STG Logistics, which recently completed a financial restructuring following a Chapter 11 bankruptcy filing, has reached a settlement with New Jersey in relation to allegations of truck driver misclassification in which the company will pay more than $2.7 million.
New Jersey Attorney General Jennifer Davenport and Kevin D. Jarvis, Acting Commissioner of the New Jersey Department of Labor and Workforce Development (NJDOL), announced the settlement reached with STG Logistics Inc., STG Drayage LLC and other subsidiaries.
The case dates back as far as 2019, when NJDOL began investigating STG’s predecessor, XPO Logistics, focusing on the company’s facility in Newark. STG purchased XPO’s New Jersey intermodal business in 2022 and assumed liability for past employment practices, NJDOL said. The investigation found that the company treated employee drivers as independent contractors.
The settlement resolves the first lawsuit filed under New Jersey’s 2021 law that permits the state to file suit in New Jersey Superior Court against employers who have misclassified workers as independent contractors, a press release from NJDOL said.
NJDOL said under the settlement agreement, truck drivers and the State will receive at least $2,775,000 – despite STG having filed for bankruptcy earlier this year, which resulted in many debts being canceled. The settlement amount is considered “priority” under both the bankruptcy code and the settlement agreement, ensuring workers are compensated ahead of other creditors.
“This was our first-ever Superior Court misclassification case, and we saw it through to the end—surviving a company sale, a bankruptcy, and years of litigation,” said Acting Labor Commissioner Kevin D. Jarvis. “The message is clear: New Jersey will use every tool at our disposal to protect workers, and we’ll fight until the job is done.”
Of the total settlement, $2,220,000 will go directly to hundreds of truck drivers, primarily for STG’s violation of wage and hour laws. The remaining $550,000 will go to the state of New Jersey, split between Wage & Hour penalties and contributions to the Unemployment Compensation and State Disability Benefits Funds.
Additionally, if STG violates the agreement, NJDOL will receive an additional $7,500,000 in penalties owed to the state. The settlement also requires STG to comply with all applicable labor laws going forward and to provide information to NJDOL to ensure ongoing compliance.
[Related: STG Logistics emerging from bankruptcy after reaching deal with lenders]
Averitt raises, restructures driver pay
Averitt (CCJ Top 250, No. 25) has announced enhancements to its LTL and regional driver compensation program, increasing top mileage pay while simplifying its pay structure to provide every truckload driver with the same base rate.
Effective Aug. 9, regional drivers will earn 66 cents per mile, an increase from the previous top rate of 64 cents per mile. The updated compensation plan also eliminates the separate pay rate for drivers without hazardous materials endorsements, bringing all regional drivers to the new 66-cent mileage rate.
Drivers who maintain a hazardous materials endorsement will continue to receive additional compensation through a new $25 accessorial payment for each hazmat load they haul.
The updated compensation package increases the average weekly pay for Averitt regional drivers to approximately $1,550, while continuing to offer comprehensive benefits and additional accessorial pay for detention, layovers, stop-offs and other services.
“Providing competitive pay is one of the many ways we demonstrate our commitment to the professional drivers who keep our customers’ freight moving,” said Barry Blakely, Averitt's president and chief operating officer. “This updated compensation plan simplifies how our drivers are paid while ensuring every truckload driver has the opportunity to earn our top mileage rate. We believe investing in our people is essential to delivering the service our customers expect.”
Averitt also increased its LTL driver compensation that became effective July 26, with increases based on location and experience.
Averitt’s associates also receive a comprehensive benefits package that includes profit sharing, affordable medical, dental, vision and prescription coverage, paid time off, retirement savings opportunities, and career advancement programs.
C.R. England, Groendyke, Peterbilt founders to join trucking Hall of Fame
The American Trucking Historical Society has announced the 2026 inductees for the American Trucking and Industry Leader Hall of Fame, who will be officially inducted during an Oct. 22 ceremony at the ATHS headquarters in Kansas City, Missouri.
The three new inductees are:
- Chester Rodney England, founder of C.R. England (CCJ Top 250, No. 32)
- Harold C. Groendyke, founder of Groendyke Transportation (No. 84)
- Al Peterman, founder of Peterbilt
England and his two sons founded C.R. England in 1920, and the company has since grown into one of the nation’s largest asset-based carriers. Today, the company continues to be guided by the values established by its founder: safety, family, community, and honoring the crest through integrity, professionalism, and pride in work.
On July 12, 1932, Groendyke hauled his first load of kerosene from Borger, Texas, to Beaver, Oklahoma, with a two-axle Ford truck equipped with a 3,000-gallon tank mounted on a homemade chassis. This first trip marked the beginning of Groendyke Transport, which would grow into one of the nation’s largest and most experienced tank-truck carriers,
Founded in 1939, Al Peterman acquired Fageol Motors and renamed it Peterbilt. Since then, Peterbilt has evolved from modifying logging trucks into a leading manufacturer of heavy- and medium-duty and vocational trucks. Throughout its history, the company has consistently incorporated driver feedback and technological innovation into its products.
“The American Trucking and Industry Leader Hall of Fame looks forward to welcoming these three icons of the industry and honoring their contributions to society and the economy,” said Hall of Fame Chair Tom Mullen. “It is a privilege to recognize these trucking industry pioneers and celebrate their remarkable accomplishments.”
All previous inductees are invited to attend the American Trucking and Industry Leader Hall of Fame ceremony, which is open to the public.
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