WEDNESDAY, MARCH 1, 2006
Wednesday Edition: Trucker Shortage Growing
For some time now, the
American Trucking Associations have been saying
it is worried about a growing shortage of long-haul drivers. The
ATA
says, if this trend keeps up, the industry will need an additional 111,000 drivers by 2014. Many
seasoned drivers are now approaching retirement age.
In May 2005, the Association said that, in addition to the new drivers, companies have to find replacements. TheAutoChannel.com reported:
Another
219,000 must be found to replace drivers 55 and older who will retire
in the next decade, putting total expansion and replacement hiring
needs at 539,000 or an average of 54,000 new drivers per year for the
next decade.
Scores of drivers exited the long-haul trucking
industry after average weekly earnings fell 9 percent below average
construction earnings in the 2000 recession. Driver wages have since
failed to regain pre-2000 levels when they averaged 6 percent to 7 percent higher
than construction wages. Long-haul drivers also cited extended periods
away from home and unpredictable schedules as reasons for transitioning
to other occupations.
At the same
time, the industry also is challenged with finding qualified drivers.
Many trucking companies reject a high percentage of driver applicants
because they lack qualifications. Those challenges escalated in recent
years as the industry tightened its security and safety measures.
Now trucking companies are getting more aggressive in their recruiting and retention efforts.
The New York Times reports:
With predictions from the [American Trucking Association] that the current shortage of
20,000 drivers will grow nearly fivefold within a decade, trucking
companies are offering generous 401(k), stock-option and health-care
packages to new recruits and cash bonuses and prizes to drivers who
refer viable candidates.
In hope of stealing drivers from competitors, companies have begun
outfitting more of their cabs with satellite radio and television and
introducing policies to allow drivers to bring pets and spouses on the
road.
Allied Holdings, a trucking company based in Decatur, Ga., employs chaplains to check on the morale of its drivers. Schneider National, based in Green Bay, Wis.,
holds "driver recognition days" every few months at regional repair
shops, featuring Elvis impersonators, free barbecue and raffles for
motorcycles and iPods. The trucking association has also begun
pressuring large truck stops to add Internet portals.
"Hands down, this is the most serious crisis the industry has faced," said Duff Swain, president of the Trincon Group, a transportation consulting firm in Columbus, Ohio. "Close to 10 percent of major fleets have their trucks sitting up against the fence because they're short on drivers."
Since more than three-quarters of all goods in the United States are
shipped by truck, it is only a matter of time, Mr. Swain said, before
the shortage causes delays in products hitting the shelves and leads to
consumer price increases because of rising transportation costs.
Despite the 7.4 million Americans out of work as of last December,
and the recent round of layoffs in manufacturing industries, trucking
has struggled to find workers in part because the lifestyle is so
grueling.
The Seattle Post-Intelligencer
reported last fall that a local community college has a waiting list
for applicants who want to enter its commercial-truck driving course.
FleetOwner.com
says trucking companies are stepping up recruitment among Hispanics and
the "team driving" sectors. Team driving usually consists of married couples
who travel together.
The Auto Channel story said (about last year's forecast):
"The driver
market is the tightest it has been in 20 years," ATA President and CEO
Bill Graves said. "It's a major limitation to the amount of freight
that motor
carriers can haul. It's critical that we find ways to tap a new labor
pool, increase wages and recruit new people into the industry that
keeps our national economy moving."
Of the 3.4
million truck drivers on the road, 1.3 million are long-haul truckers,
the driver segment most severely impacted by the shortage. Although the
current driver shortage is set at 20,000 drivers, it seems larger to
the industry because of a high degree of driver "churning," or moving
from carrier to carrier. Large truckload carriers reported an average
annual turnover of 121 percent last year.
(See a detailed PDF of the 2005 ATA study here.)
The Home Church Movement
Underlying the megachurch movement is a less-noticed one, Time magazine reports this week. While the megachurches give members a big congregational
experience, a movement toward home church meetings is growing.
Some now
wonder if these home churches might undercut the "mother" churches.
Here are some resources to help you as you report this story:
Contemporary Art Market is Hot
Newsweek says:
To
say that the contemporary-art market is "hot" is to say that computer
users sometimes click on Google. A lot of people have made an awful lot
of money in business in the past decade, and they're looking for
something cool -- and cultural -- to do with it.
We are always looking for your great ideas. Send Al a few sentences and hot links.
Editor's Note: Al's Morning Meeting is a compendium of ideas,
edited story excerpts and other materials from a variety of Web sites,
as well as original concepts and analysis. When the information comes
directly from another source, it will be attributed and a link will be
provided whenever possible. The column is fact-checked, but depends
upon the accuracy and integrity of the original sources cited. Errors
and inaccuracies found will be corrected.Posted at 10:35:07 AM
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