Cargo Trends

Cargo Trends By Michael A. Hodges & Randy Bisgard, Airport Business Solutions January/ February 2001 The state of air freight and where it's headed There is no question that cargo is one of the hottest segments going for...


Future Prospects
The biggest hurdle that will impact growth in air cargo is the one factor that is hurting all facets of the industry: the ever-growing problem of hiring and retaining quality employees. Whether providing their own handling or outsourcing to a cargo handler, cargo carriers face higher costs related to aircraft ground accidents, package mishandling, and workers' compensation claims.
The new computer-savvy generation of cargo handling personnel will require the development of high-tech approaches to interactive training. New incentives for increasing employee loyalty, such as UPS's educational assistance programs in Louisville, will be necessary to attract the employment base needed to meet the substantial growth anticipated.
Air cargo is expected to grow at a record pace over the next several years. FedEx and UPS will likely lead the way, followed closely by the airlines looking for ways to maximize profits without jeopardizing their loyal passenger base. To a limited degree, new larger aircraft will provide the lift necessary to meet the demand at airports with limited landing slot capacity. While every airport in the U.S. has the opportunity to share in the growth trend, more than likely the successful air carrier/cargo airports will continue to grow at a faster pace than those trying to get their piece of the pie.

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