Trucking Company Layoffs and Bankruptcies (update 2025)

Thousands of trucking and freight businesses met their end in 2025, either through bankruptcy or outright closure.

Notable Closures and Layoffs

This table provides a snapshot of trucking companies in the United States that faced significant challenges in 2025. Several companies declared bankruptcy, while others resorted to layoffs impacting thousands of employees. The reasons for these hardships vary, including financial mismanagement, legal disputes, and industry downturns.

The road hasn’t been easy for many in the trucking industry lately. News of trucking company layoffs, and even complete closures and bankruptcies, continues to surface in 2025, causing understandable concern among CDL drivers. If you’re feeling uncertain about job security or wondering what’s driving these changes, you’re not alone. This article breaks down the current situation, explains the key factors, and offers actionable advice for drivers navigating this challenging landscape.  

Why Are Trucking Companies Facing Headwinds in 2025?

Several converging factors are putting pressure on trucking operations, leading to downsizing and closures:

The Lingering Effects of the Freight Recession

While some hoped for a strong rebound, the freight recession that began earlier continues to impact spot market rates. Lower rates mean reduced revenue per load, squeezing profit margins, especially for smaller carriers and owner-operators heavily reliant on the spot market. According to DAT Trendlines, spot rates for van remain significantly lower than their peaks.

Rising Operating Costs

Running a truck isn’t getting cheaper. Key expenses continue to climb:

Fuel: Diesel prices, while fluctuating, remain a major budget item.

Insurance: Commercial trucking insurance premiums have seen steep increases across the board.

Maintenance & Parts: Costs for repairs and replacement parts continue to rise due to supply chain issues and inflation.  

Labor: While driver pay saw increases previously, overall labor costs (including benefits) add pressure.

Economic Uncertainty and Consumer Spending Shifts

Broader economic factors play a significant role. Concerns about inflation and potential slowdowns impact consumer spending. As people buy fewer goods, there’s less freight to move, further dampening demand for trucking services. This particularly affects carriers hauling retail goods.

Interest Rate Hikes Impacting Equipment

Higher interest rates make financing new trucks and trailers much more expensive. Companies that need to upgrade their fleet or took on debt during lower-rate periods are facing higher repayment costs.

What This Means for CDL Drivers

The industry downturn directly affects the men and women behind the wheel:

Job Security Worries

Drivers employed by struggling companies face uncertainty about their next paycheck and the company’s future. Rumors and lack of communication can add significant stress.

Increased Competition for Stable Positions

When layoffs occur, more drivers enter the job market, potentially increasing competition for openings at more stable companies. Having a strong track record and resume becomes even more critical.

Opportunities with Resilient Companies

It’s not all bad news. Many well-managed trucking companies, particularly those with dedicated contracts, strong financials, or operating in resilient niches (like LTL, specialized freight, or private fleets), are still hiring and offer stability.

Advice for Affected or Concerned Drivers

Whether you’ve been laid off or are worried about your current employer, proactive steps can make a difference:

• Financial Preparedness: Try to build an emergency fund if possible. Review your budget and cut non-essential expenses.
• Update Your Resume & Records: Ensure your CDL, medical card, and endorsements are current. Update your resume to highlight your experience, safety record, and specific skills (e.g., hazmat, tanker, flatbed).
• Network: Talk to fellow drivers, former colleagues, and industry contacts. Often, job leads come through word-of-mouth.
• Skill Enhancement: Consider getting additional endorsements (like hazmat or tanker) if you don’t have them, as these can open up more job opportunities.
• Know the Warning Signs: Be aware of potential signs your current company might be struggling, such as delays in pay, fuel cards not working consistently, difficulty getting loads, deteriorating equipment maintenance, or lack of communication from management.

(How to Spot Signs Your Trucking Company Might Be in Trouble).

Finding Your Next Mile: Resources & Job Opportunities

Even in a challenging market, qualified CDL drivers are needed. The key is finding the right opportunity with a stable company.

Focus your search on:

• Companies with strong financials and diverse customer bases.
• Sectors less impacted by spot market volatility (e.g., LTL, dedicated routes, private fleets, essential goods transport).
• Companies known for treating their drivers well and having low turnover rates.

Ready to find a stable driving position? CDL Job Scout connects qualified drivers with reputable trucking companies actively hiring across the country.

Stay Informed, Stay Prepared

The trucking industry is cyclical, and downturns happen. While the current wave of layoffs and bankruptcies in 2025 presents challenges, understanding the reasons and taking proactive steps can help you navigate effectively. Focus on maintaining your qualifications, networking, and targeting stable opportunities.