After reaching out to a trusted freight forwarder to help with your trucking shipment, the freight forwarder will then organize the pickup of your shipment with the carrier. In recent times, it seems that many trucking carriers are going through some economic struggles. For example, the New York Times reported that Swift Transportation’s stock dropped as a result of their high driver turnover. This is not just a problem impacting one trucking company. The American Trucking Association projects a 200,000 driver shortage over the next 10 years. With fewer drivers on the road, some cargo shipments might be delayed.
Simply put, people do not want to be truck drivers. There are issues regarding fair pay, employment status and crazy work schedules that scared potential truck drivers away. Knowing that they face a major obstacle on the recruiting front, carriers have been offering incentives to new drivers. These incentives included bonuses, better training and flexible work schedules. However, these incentives are not working.
One potential suggestion to lower truck driver turnover rates: raise the pay. A National Retail Systems poll discovered that salary is the most important factor for drivers when picking a job. This makes perfect sense since the Bureau of Labor Statistics revealed that truckers were paid less than 6% of what they made 10 years ago, when adjusted for inflation.
Some trucking companies are beginning to pay higher salaries to end driver turnover. Just this month, US Express announced a 13% pay raise for solo drivers. Even companies like Boyd Bros Transportation and Interstate Distributor revealed recent pay increases as well. The question now is how will these new truck driver pay raises impact the industry and freight shipping rates, but we will have to wait and see what the impact might be.