A bill introduced in the California State Senate would put more pressure on trucking companies who aren’t paying fair wages by holding the retailers who hire them to move their goods jointly responsible in future legal claims against them.
Currently California is struggling with port trucking companies who are accused of misclassifying their drivers as independent contractors, illegally withholding wages, and locking them into lease-purchase programs which cause drivers to get a paycheck every month which tells them that they actually owe money.
According to USA Today, over 1,100 California port truck drivers have filed labor complaints against such companies since 2008. Those cases have led to almost $40 million in judgements against port companies since 2012. But USA Today reports that port companies have successfully used shell companies, bankruptcy protections, and legal loopholes to avoid paying what they owe.
State Senator Ricardo Lara introduced SB-1402 on Wednesday. The “Dignity in the Driver’s Seat” bill targets companies who have a history of unpaid judgements. Judgements can be from wage theft cases, predatory leasing cases, misclassification cases, and more. The bill would create a list of such companies and make any retailer who enters into a contract with them jointly liable for any future state employment law violations.
“Port truckers are driving the global economy and delivering for the biggest brands but they can barely afford to buy clothes for their families,” Lara said. “These used to be good jobs, and they can be good jobs again if retailers join us in improving labor conditions here in California and putting dignity back in the driver’s seat.”
Source: usatoday, latimes, maritime-executive, lbpost, joc
Jason says
A step in the right direction. While it’s good to see the retailers partially responsible in *future* lawsuits/claims, we still need them (shippers and receivers) penalized for detention times *now*.
Maria says
Agree completely
Oak tree77 says
They are one in the same
Sean says
This seems normal for companies. After all why else would the CEO pay be listed as an asset on the balance sheet?
Robert L West says
How about getting a different job?? Oh that’s right were talking about the Socialist Republic of California. The good jobs are leaving. Better move to Arizona.
Phil A says
Sure Robert, fight for the rights of the companies who wouldnt stop to scrape you off their shoe. They must laugh all the way to their off-shore bank account when they read comments like yours.
Gary says
Why just California? This should be a national agenda. We have truckers hauling these containers after port from rail yards accross the country.
Samuel Gallezzo says
Maybe the law is catching up to the scams that have been bilking drivers of their pay since driving began.
Jerry says
Step in right direction, but not tough enough, they should be liquidated, put out of business, with proceeds going to drivers for any wage violations of such and for severe cases throw them in prison. The higher the stakes the less both will try and violate wages to be paid.
Charles Ewart says
The Trucker Rights are all ready to be put into place with the right Leader, The time has been awaiting for a very long time.
Charles Ewart says
Being treated like an Free American to start with and better highways.
Mike says
Unless the retailers are pushing for lower cost and are part of the scam, this is a ridiculous bill. The carriers and ports should be held responsible. Company CEO’s should be criminally prosecuted for this practice.
Joe Barilari says
Mike, duh, ALL RETAILERS are encouraging low price trucking,. That’s how they roll!
Daniel says
I work Intermodal. We just got a raise. Thank bleeping bleep for that. The trucking industry is underpaid but Intermodal is very bad. Our company is just now giving us a fair wage. ;/
T Wade says
We need to hold all of the supply chain responsible for the abuse and pay shortage of drivers.
sherry hester says
They need to start investigating brokers and do the same. Shippers are being charged crazy prices and carriers are still not being paid properly. I am trying to work only with carriers so I can pay the carrier a good price and save the $200.00 to $400.00 or more that the brokers are putting in their pockets for a couple of phone calls and swapping a couple of documents. I didn’t mind $50.00 or so but the broker is pocketing too much of the money we intend to go to the carrier. And the mills!!!! They make you have an appointment but hold you for hours and do not take any responsibility for a drivers hours. We have to find a way to stop that as well. It cost the vendor buying the steel and the driver but the mills turn a blind eye and their employees are just rude, like they are doing you a favor.
Brian says
Seems like all companies are doing this to drivers not just local. Over the road drivers get the same treatment. Here is their scam…When the truck lease is up some have a buyout and some just own it at the end…..Well when they get close to that point they stop giving them loads and then they cant afford to make the remaining payments and they walk away from the truck. Then the company releases it to another person. Sick people. You should just save buy your own truck and not through a company. I financed mine with Dostal company in Chicago. No more dealing with this crap, im my own man now.
Tom says
Hope same actions can be taken here in Canada. On average, here every three months span drivers ( both O/O and drivers) switch companies cuz of illegally holding security deposits and payments.
Ron Wood says
I’m a retired 70 yr old truck driver. I’m am now finding out how much money I was cheated out of while working that BOTH the government , and the trucking companies have stolen from me over the years.”Today reports that port companies have successfully used shell companies, bankruptcy protections, and legal loopholes to avoid paying what they owe.” This is nice, but the government being so slow to catch up to this dishonesty in the trucking industry, it has cost many driver’s their fair wages over the years. The sad part is….there is so much dishonesty in BOTH the trucking industry, and the government. I sure could use that money they stole in my retirement now. Would make my life a whole lot easier, but do you think they care about me ? Not in your life. My dad told me “There is no such thing as “inflation”..it called “GREED” !
Barney says
Here here!!
Thanks for sharing that Ron, especially that last piece about inflation/greed- I’m gonna use that, lol
Peter says
I agree, this is a step in the right direction, I have a customer who got into the lease option just because that was all he afford. Poor guy has been completely taken advantage of, the broker has him by the short and curly’s (poorly paid loads, long hours). He can’t take his truck (that he has been paying on for almost 2 years) anywhere else and the crappy dealer warranty can’t fix the same problem. Now the guy’s warranty has expired, the dealer won’t fix the truck right and now the finance company is about to repo the truck. There are no lawyers out there will to take the case for his LEMON of a truck.
So sad.
Joeziah Babb says
Government government, please come save us from our stupid decisions…
How was I to know that leasing a truck for 1100 a week with no guarantee of revenue was a bad idea?!?
At what point do we just look at a driver and go….really? you signed this?
Barney says
You have a point
Mark says
Might be a step in the right direction,
BUT. The Drivers are the little people
We all know the little people are looking for crumbs to be had.
A honest Union of Drivers would help gather the crumbs but The Rich have been Crushing Unions Since Ronald Regan was in office. Don’t get me wrong I Loved Ronald Regan as a President but him and the so Called Right to Work Laws is what help to keep the little people looking for crumbs . Just my opinion.
Matt says
Exactly you signed for it now deal with it. I do agree freight rates are tanking while at the same time the cost of running a truck are going up, cost like bs emissions systems that cause breakdowns. I paid $1500 for three emission sensors a couple months ago. That’s unnecessary.
Besides the fact that this emissions crap is decreasing fuel mileage dramatically guys that do deletes on there trucks say their fuel mileage goes up 1 to 2 mpg. Wow that’s a lot of $$$$$. Then add in elogs I can’t make any money. I’m almost ready to give it up. maybe get into the parts and maintenance end of trucking
Barney says
I hear ya!!
That said, freight rates are projected to trend up if they aren’t already….. just in time for astronomical fuel prices
Arrggh
Barney says
And yes- if can…. DELETE!
Glenn Davis says
This is all because California mandated DEF trucks, no exceptions. Most of these drivers had fully paid for older trucks to make the 1-300 mile runs.
Had to scrap all those, and the only thing allowed in the CA roads was brand new (very expensive) trucks no driver, or company for that matter, could make money on the runs they have.
Lot of guys working for $30-100/wk, going broke in their leases.
But the air is slightly cleaner,
Derrick Belton says
I agree with Mr.Wood, I’m retired now and disable from driving the longs miles and hours will I ever be paid for the cheating of the companies I worked for here in Wisconsin (1st call, Standard Exspress, Taylor Made Exspress).
Terry Barron says
Everyone from the retailers, trucking company, the cargo ships to wholesale companies to the manufacturer to the port should all be responsible for The thief of wages to the drivers! Even the truck salesman to who made the truck! EVERYONE! ALL DRIVERS NEED TO GET PAID FOR WHAT YOU ALL DO THAT MADE AMERICA GREAT! I am no longer a driver after 25 years and 2 Million Miles and I was lucky to work for a great paying company that paid me very well and everyone who drives should be paid very Well for the work that is done!
C Smith says
Really?? Your gonna bash the trucker for signing a lease, even though it clearly states the ILLEGAL and UNETHICAL practices and charges that were NOT included in the contract. Are you that high and mighty, or that perfect? Please go find some other forum to promote your unintelligent comments on. Any theft from a trucker, lease purchase, owner op or company driver is still THEFT.
com.bil says
And I suppose you think the freedoms you have should be traded for your extra 6 pieces of silver. I remember something my father told me when I first stated working for people. A contract is an agreement between two or more people who AGREE to the terms ! If you find the other party is Not keeping the agreement you are no longer bound, so just walk away, what ever lose you might incur is miniscule compared to what you will incur if you continue with people who you can not trust !!! NO one says you must stay in anyone’s employment !
Phil A says
Well said, C Smith.
Paul Logan says
Looking to be LOCAL, I called a company that is intermodal. I asked as my first question was, What what is the fuel surcharge? Answer: 1.5 %. So After finding out -%50.00 for a driver to pull the container out of the port, I would get $450.00 to go from Mobile, Al. to Montgomery, Al. Loaded up empty back, then I check in the container myself. I would be ALLOWED to do 1 a day. ( The lady I was talking to kept saying “DON’T CUSS ME) I was laughing so much that she seen where I was coming from.The yard I was inquiring about was 1.5 miles from the port, delivery was 170 miles 1 way. You do the math. It really did make me wonder why can haulers haul a$$ so much.
William mccauley says
Nice to see California passing the blame for their crooked regulations “c.a.r.b” for putting these drivers in this situation to begin with. It’s definitely the peoples republic of California
Jeffrey McCarty says
Only one way to stop all that. If you really want to or are ya’ll just talking. Park that truck! Stand together. They may get over on one, but bet they won’t get over on all of you. From what I hear they can’t find anyone to drive these trucks, not like the vet anyway. Young folks don’t want to work. True truckers make the world go round ,try not to forget that guys and girls of trucking.. If it all ended tomorrow what would you have anyway . You control it to a point, deal with it or drive.
Joe Barilari says
That anyone gets sucked into a job where they sit half a day without getting paid is commentary on society.
Hard working? Maybe, but smart enough to be voting? Dear god,,, that’s why I left California, stupid people crying to gov for a solution.
Giovanni says
It’s not just port drivers. A lot of owner/lease ops have this problem. a major issue industry wide
Craig Carter says
My second time in Michigan in my entire life, they have just passed a right to work law and that was before they discovered they were poisoning the people of Ann Arbor’s water supply two years later. They passed the law around the time Sandy hit my home in NJ. 2012, water supply was poisoned in 2014. Something to think about.