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For the last several weeks, we have introduced the challenges of the truckload sector in today’s market.  Factors that include rising freight volumes, produce season, and capacity constraints caused by carriers and drivers exiting the industry are all contributing to growing difficulties in moving truckload freight. 

From your perspective as a shipper, asking “Will there be a truck available?” depends on your type of freight, your location, your rate and your planning.  The ability to communicate as far in advance as possible to your carrier gives the carrier an opportunity to plan their drivers and commit trucks to your freight.  However, it is just as important for shippers to understand what carriers are doing in response to the increased demands.  For most carriers, the answer is summed up in two words: Recruit and Retain.  Recruit new drivers and retain good drivers.  In pre-recession years, the turnover rate for drivers was well over 100 percent.  In today’s market, the turnover rate has fallen to approximately 40 percent, much improved, but still high by other standards.

Why is it so difficult for carriers to hire drivers and why is it so difficult to retain them?  Much of the reason lies in how a driver is paid.  There are as many different pay structures as there are carriers.  It is difficult for drivers to compare apples to apples when trying to calculate how much money they will make with different carriers.  Some carriers pay a lower base rate per mile, but do not charge the drivers for various items such as taxes and equipment rental.  Some carriers pay a higher base rate per mile, but charge the driver for a variety of miscellaneous items.  Some carriers pay a flat percent of what they will receive on the load.  And the most important factor of all is how many miles a driver will run each week.  If a driver is making a high rate per mile, but does not run enough miles each week, he or she will make less than the carrier with a lower base, but who can keep their drivers running.  Drivers must ultimately consider how much cash ends up in their pocket at the end of the week.

Quality carriers who have survived these tumultuous years are now putting time and resources into building their driver pool with qualified drivers.  Good carriers communicate in a straightforward fashion to driver applicants; they tell it like it is and don’t try to muddy the waters with false claims to candidates.  Recruiting is an ongoing process with carriers, but it ensures they can answer yes to customers who ask, “Do you have a truck available today?”