In the vast and diverse world of trucking, one particular niche that often goes unnoticed is the transportation of bakery goods. While it may seem like a straightforward task, the business identity of truckers hauling bakery goods is far more complex and nuanced than meets the eye. From ensuring the freshness and quality of the products to navigating the tight deadlines and strict regulations of the food industry, these truckers play a crucial role in the supply chain of bakeries and pastry shops across the country.

In this article, we will delve into the world of these unsung heroes of the road and explore the challenges and opportunities they face in their daily operations.

By deciphering the intricacies of their business identity, we can gain a deeper understanding of the critical role they play in the success of bakeries and the wider food industry.

Join us as we shine a spotlight on the often-overlooked world of truckers hauling bakery goods and uncover the secrets to their success in this demanding and essential industry.

This matter will be Brought Before Arbitration or the Judiciary

The ongoing debate surrounding the classification of truck drivers as either employees or independent contractors, which has been central to the legal battles surrounding California’s AB5 and the recent independent contractor status regulation by the U.S. Department of Labor, was prominently featured this week at the U.S. Supreme Court.

The focus of the discussion was not solely on the employment status of truck drivers, but rather on the interpretation of the Federal Arbitration Act and its implications for transportation workers, a topic that closely intersects with the contentious issue at hand.

During Tuesday’s proceedings, the case of Bissonnette et al. vs. LePage Bakeries et al. was brought before the court. Neal Bissonnette, accompanied by Tyler Wojnarowski, were both truck drivers who had obtained distribution rights for products manufactured by Flowers Foods.

The defendants involved in the case include Flowers Foods (NYSE: FLO), its subsidiary LePage Bakeries, and CK Sales, a subsidiary of LePage. Bissonnette and Wojnarowski, referred to as franchisees in court documents, had entered into a Distribution Agreement with CK Sales, acquiring specific distribution rights in exchange for financial considerations.

The initial lawsuit filed by Bissonnette and Wojnarowski alleged claims against Flowers for unpaid wages, overtime compensation, and unjust enrichment under the Fair Labor Standards Act and Connecticut wage laws, as outlined in the appeal of the lower court ruling.

Arbitration Agreements were signed? 

An important matter at hand pertains to the signing of arbitration agreements. It is undisputed that Bissonnette and Wojnarowski entered into arbitration agreements with Flowers. However, the contention put forth by the two individuals is that these agreements are unenforceable due to a loophole in the Federal Arbitration Act of 1925. Flowers, on the other hand, asserted in the lower court that arbitration should proceed based on the agreements signed by the drivers.

The loophole in question pertains to a provision within the act that applies to certain classes of workers involved in foreign or interstate commerce, such as seamen, railroad employees, and other transportation workers. This provision allows these workers to seek resolution in court, as opposed to being bound by arbitration agreements like other workers.

In their petition for Supreme Court review, the attorneys for Bissonnette and Wojnarowski outlined the crux of the dispute, focusing on the classification of independent contractors. They argued that Flowers, by categorizing its truck drivers as independent contractors, engaged in practices that were allegedly unlawful, including deducting operating expenses from the drivers' pay, charging fees for working, and failing to pay overtime.

Moreover, the plaintiffs contended that the inclusion of interstate commerce workers in the act's language should entitle them to benefit from the loophole, especially considering that the goods they transported originated from outside Connecticut, thereby classifying them as interstate workers.

In a ruling issued in May 2020, the U.S. District Court for the District of Connecticut ruled in favor of Flowers and its subsidiaries. The court, in part, based its decision on the determination of the workers' status, finding that Bissonnette and Wojnarowski were not employees but rather owners of franchise businesses with broader responsibilities beyond truck driving.

As a result of their classification as business owners rather than transportation workers, the court mandated that they arbitrate their claims in accordance with the Arbitration Agreement integrated into their Distributor Agreements.

Employees at bakeries, not individuals in charge of transporting goods

Employees at bakeries, not individuals in charge of transporting goods, were at the center of a recent appeal to the U.S. 2nd Circuit Court of Appeals, in which Flowers and its subsidiaries emerged victorious. The decision rendered in May 2022 differed from the lower court's ruling, as it emphasized that the workers in question were employed in bakery-related roles, rather than transportation positions. Consequently, they were unable to utilize the loophole in the Federal Arbitration Act, which specifically pertains to transportation workers.

The Supreme Court typically grants review to less than 2% of all requests, often seeking cases where conflicting decisions have arisen in circuit court rulings. This discrepancy in rulings is evident in the case of Bissonnette and Wojnarowski, where multiple cases are highlighted as being at odds with the 2nd Circuit's judgment in the Flowers case. Despite dissenting opinions, the 2nd Circuit denied a request for a full en banc hearing, further complicating the matter.

One such complicating factor is the Southwest Airlines vs. Saxon case, where the Supreme Court ruled in favor of a ramp worker, deeming her a transportation worker eligible to invoke the Arbitration Act. This ruling is sought by Bissonnette and Wojnarowski in their case, as they question whether they are considered transportation workers or bakery workers.

Legal experts point out that the outcome of this case could have broader implications for private motor carriers whose primary business is not transportation, such as retailers. Additionally, the issue of whether final-mile deliveries constitute interstate commerce, triggering the Arbitration Act exemption, remains a point of contention.

While the Supreme Court's ruling is eagerly awaited, it remains uncertain whether the definition of being engaged in interstate commerce will be addressed. Statements made by the justices during arguments suggest a leaning towards the plaintiffs' arguments, with Justice Samuel Alito expressing concerns about the potential confusion that could arise if the focus shifts from an employer's activities to a worker's job duties. The case could have significant implications for industries beyond transportation, such as retailing, as highlighted by the reference to Amazon's operations.

In Conclusion

Exploring the business identity of truckers transporting bakery goods unveils a complex and pivotal component of the food supply chain. These unsung heroes navigate challenges such as route planning, maintenance, and compliance with stringent food safety regulations to ensure the timely delivery of fresh bakery products to consumers nationwide. By shedding light on the intricacies of this industry, we gain a deeper appreciation for the dedication and resilience exhibited by these truckers in sustaining the flow of goods that enrich our daily lives. Their role underscores the indispensable nature of logistics in the modern economy and serves as a testament to the vital contributions of all those involved in the supply chain.

If you want to stay updated with a wide range of trends, actionable insights, and innovative solutions in the trucking, freight, and logistics industry, stay connected to us.

Moreover, If you are looking for more information about drug and alcohol testing as a truck driver, visit LabWorks USA.

Our DOT Consortium's friendly team will be more than happy to discuss any concerns you may have and work with you to ensure you are always fully compliant, especially with random DOT drug and alcohol testing. Moreover, if you need help with FMCSA Clearinghouse registration, we can further support you.