Werner CEO Derek Leathers: Driver Attrition in 'Third Inning'
In the second quarter of 2026, Werner Enterprises reported strong quarterly results despite a challenging trucking market. The company's adjusted operating margin for its trucking operations rose to 4.6% from 2.5% year-over-year, with notable improvements in both One-Way and Dedicated segments. CEO Derek Leathers attributed the ongoing supply-driven upcycle primarily to driver attrition caused by regulatory pressures such as non-domiciled commercial driver's licenses (CDOs), English language requirements, cabotage enforcement, and a reduction in approved electronic logging devices (ELDs). He emphasized that these structural changes are still early in their impact. Leathers also highlighted the influence of legal developments like Montgomery v. Caribe on industry caution around broker relationships, which he said benefits Werner due to its strong reputation.
Topics: capacity tightness driver attrition regulatory pressure truckload industry