Over the past year, various news outlets have reported a shortage of truck drivers in America — a report that insinuates that, on a base level, we no longer have enough workers available to work said jobs. But despite what many believe, the issue is not a lack of drivers, but instead the fact that businesses are facing an overwhelmingly high turnover rate instead, which currently sits at 89% turnover. This is a huge problem, as employee turnover costs companies thousands of dollars, while also illustrating that truckers are currently unsatisfied with their positions.
Why is this the case? How can trucking companies lower employee turnover? Let’s discuss why there is such a high truck driver turnover rate, its main contributing factors, and how this high turnover can be improved over time.
High Expenses
Perhaps the biggest reason why there is such a high turnover rate in the trucking industry is the various high expenses associated with the career. Not only do car haulers often have to pay for the cost of their own training, but they also need to cover the costs associated with maintaining their license, obtaining a commercial driver’s license (CDL), and leasing their truck while keeping it in good working order.
These expenses can quickly add up, making it difficult for many drivers to earn a decent living. Their low average salary makes it hard for many drivers to make ends meet, which often leads them to look for other lines of work.
One way to curb this problem is to do your research before getting into the trucking industry. Like any industry, trucking has many different expenses associated with it, some of which are expected and others less so. By doing thorough research beforehand, drivers should have a better idea of the amount of upfront and ongoing expenses they’ll face, and will likely be far happier with their job as a result.
Hopping Companies Within the Industry
Another reason why the trucker turnover rate is so high is that many car haulers leave companies and simply work for different competing ones instead of leaving the industry outright. The aforementioned turnover rate of 89% is actually a bit misleading, as it measures churn within the industry rather than only measuring the number of workers leaving it.
This isn’t to say that high turnover within trucking companies isn’t also a big issue though. Many trucking companies often entice truckers with special deals or offers, such as five-figure sign-on bonuses. This is great for truckers who want to earn more, but terrible for trucking companies who experience high turnover. However, this problem could be fixed.
How Turnover Can be Reduced
Of course, truck driver turnover is an issue that can be solved. If trucking companies take the proper steps, then car haulers’ quality of life could be greatly improved which would lead to a lower turnover rate for businesses. Here are the biggest ways that car hauler turnover can be reduced:
- Providing Better Pay: If drivers were paid per hour instead of per mile, had more expenses covered, and simply were paid more overall, this would greatly lower the current turnover rate. Higher pay would also help to offset the high costs associated with the job and make it more attractive to potential employees.
- Offering Better Perks/Benefits: Another way to improve turnover is by offering better perks and benefits to truck drivers. This could include things like paid vacation days, health insurance, and retirement plans.
- Better Training: Another way to reduce turnover is by providing better training for new drivers. This would help them to better understand the job and feel more prepared for the challenges they will face on the road.
- Acknowledgment of Employees: Another way to improve turnover is by acknowledging the employees who are doing a good job. This could include things like bonuses, awards, and recognition. This would help to show that the company values its employees and is willing to invest in their success.
Try Super Dispatch
If you operate an auto transport company, then chances are high that you may also be experiencing high turnover as well. In order to curb the shortage, you may want a more efficient and economical solution; Super Dispatch allows you and your employees to more easily send BOLs and other documents, file reports, store contact info, and more all in one place. Try Super Dispatch for free today!
