In response to widespread speculation sparked by a viral message circulating on social media, Rodney Houston-McMillan, Chief Operations Officer of Reinhardt Transport Group (RTG), has stepped forward to clarify the company’s recent decision to park off a portion of its fleet.
RTG owns and operate over 1000 trucks spread amongst its subsidiaries, Reinhardt Transport, Transmac, S Hauliers, Chrome Carriers and Amalgamated Bulk.
Contrary to reports suggesting that RTG had sidelined 200 trucks due to a lack of work, Houston-McMillan clarified that only 80 trucks had been temporarily taken out of operation.
He attributed the confusion to an audio message disseminated by one of RTG’s controllers, acknowledging that the message contained inaccuracies regarding the company’s current market standing.
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“I humbly want to apologize on behalf of RTG HQ,” Houston-McMillan expressed, addressing the drivers directly.
“It is true that the market is under severe pressure at this moment, but the numbers mentioned and the manner in which they were presented were incorrect. Additionally, the information regarding other companies is not accurate, nor is it our position to engage in such discussions.”
While acknowledging the challenges faced by the industry as a whole, Houston-McMillan emphasized the need for solidarity within RTG to weather the storm.
“We all need to pull together like never before and give our best to navigate through this difficult time,” he urged.
In an exclusive interview with SA Trucker, Houston-McMillan shed light on the underlying factors contributing to RTG’s decision to scale back operations.
He cited a dip in coal prices, resulting in commodity brokers withholding shipments that RTG would typically transport.
This downturn in demand has had a ripple effect throughout the side tipper sector, with multiple major players in the commodity transportation industry similarly parking off their trucks.
Furthermore, Houston-McMillan highlighted an oversupply of side tipper trucks exacerbating the situation, as competitors flood the market in pursuit of dwindling opportunities.
Rates for routes such as Limpopo to Richards Bay have plummeted to as low as R400 per ton, reflecting the intense pressure facing the industry.
Rodney assured SA Trucker that no driver was being fired.
“There will be slight changes to our shift system to ensure that all the drivers are afforded enough hours of work to earn a living,” he said.
As RTG and its counterparts grapple with these challenges, Houston-McMillan reiterated the company’s commitment to navigating through the turbulent market landscape while striving to protect the livelihoods of its employees.
