Landstar cuts over 35,000 carriers from approved network in four years

Published Aug 10, 08:29 PM UTC

Landstar System, a major asset-light transportation logistics company, has removed more than 35,000 motor carriers from its approved network over the past four years, reducing its carrier pool from over 100,000 in Q2 2022 to approximately 64,600 by the end of Q2 2026. The reduction, disclosed by Vice President Matt Miller during the company's Q2 earnings call, represents a 35% cut aimed at enhancing safety, security, and service. The move comes amid heightened industry scrutiny following the U.S. Supreme Court's May ruling in Montgomery v. Caribe Transport II, which widened broker liability for carrier selection. Landstar CEO Frank Lonegro called for federal clarity on vetting standards, while CFO Jim Todd noted the ruling may embolden plaintiffs. The company reported $10.5 million in unfavorable prior-year claims adjustments, mostly from brokerage operations, but also signed an $18 million Midwest broker as an independent agent, citing potential competitive advantages from its safety and technology programs.