Would you leave Landstar if they require you to get eobr?

Here is another way LS takes money out of the BCO's pocket....call it voluntary if you want but we have no control over how they choose to do business......this is just another issue many of us have been wondering about for quite a few years now. I have been strongly arguing the fact that too many agents are way too quick to bend over and pick up a dime but are leaving the real dollars sitting on the dock, this was a question another concerned longtime BCO brought forward that I sincerely agree with:

We all know that loads are brokered and the extra profit made by Landstar and Agents goes directly in their pockets. Nobody denies it goes on. But I have a few questions and hopefully Landstar or it's Agents can explain them to me.

When I came to Landstar it was explained to me that Landstar was like a 3 legged stool and if one leg broke the stool fell, corny but thats how it was explained. So how can it possibly be a good business practice to routinely skim and lets call it for what it is "Skimming" extra profit and putting it in the Agents and Landstar's pocket leaving the BCO's with the less than desirable loads we are all looking at on the board daily. We as BCO's need the higher profit loads to average out the lower or no profit loads we hear so often "that have to be moved"

I have asked this question before and it is always above their pay grade. If anyone from Landstar could possibly explain how this is a good business practice for the long term viability of Landstar I would certainly appreciate the education. Agents? any agents that can explain it to me?

From my side of "the stool" it looks like a bad idea long term because not only are the BCO's jeopardized financially but so is the Agent and Landstar as well. Back selling, customers paying inflated rates for services they assume will be provided by what at least used to be the best Operators in the business. They will get tired of it sooner than later.

So if anyone can explain how it is best I would be very appreciative because from my side it looks like a cash grab by an aging upper mgt. that is paid in the millions trying to keep the stockholders happy for just 1 more year and using Agents greed for the "quick" payoff when everyone should be able to see it will not hold up long term. As far as us BCO's a "pat on the back" doesn't pay the bills.

Anyone?

 

Seems I've seen that exact, same question, in those exact, same words, posted elsewhere, in the last few days. I wonder where?

 

Yes, I do believe I pointed out that statement came from another concerned longtime BCO and the fact that I happen to concur........



Like I have said many times in the past, I'm not all about negativity towards LS, and as I have said many times, it still works for me here but again, the direction of the company the last 5 years is troubling to many of us and we hope that expressing our concerns may help make a difference to bring things back around to what this company used to be, if not, then if they mess with me too much or I feel it's time to move on I will leave.

I'm not going to sit here and argue with you just for arguements sake so I'm done with this converstion.

 

You need to follow your company from the financial point. All your answers including what they are looking at in the future are in the financials.

I think LS is on the right track and is a brilliantly run company from an investors standpoint. But, based on your comments, I suspect you won't agree.

 

The problem with most BCOs, at LS, is that the vast majority are truckdrivers, not business men and women. There really aren't that many that understand to put on their businessman's hat, for the majority of the time and only wear their truckdriver's hat part time.
It never ceases to amaze me how much help LS offers to educate us in building our businesses and make them better, for free and how few take advantage of that help.

 

BBB, sorry but you are wrong in this assumption. I have also said many times that yes from an investors or shareholder standpoint LS is one of the best run companies going in the Transportation index. I understand both sides of the equation very well having been in middle management for years with Home Depot, but even the cashiers and every other employee in the company were offered perks like buying into a discounted open ended bi-annual stock purchase plan. Now I get it, we are not employess, but no doubt LS could do something similar for BCO's if they wanted to, to give you a real sense of ownership. I do check the quartelies and I do follow the market and am very familiar with LS's numbers.

The thing is now I am on the labor (revenue producing) side of the equation and have to look out as to what effects me most directly as I am the one bearing all of the costs associated with producing that revenue. The main thing I believe LS has lost sight of with the majority of BCO's is the more we make the better LS does. Since it appears we are responsible for 90-92% of earned revenues regularly, you would think this fact would be apparent. I do question how LS made it numbers the last few years but if you have been following things you will see a few spots like last year 3rd qtr where even the best and brightest here were caught off guard left scratching their heads as to why they underperformed. A little birdie told me someone was in NYC recently talking up the company to investors.......that could be either good or bad, time will tell!!

 

LS does not have a corner on the market of people that "bought a job". Until recently I would say you had less of that than the market but times change.

 

RB, if you follow LS from an investors point of view then you will know that BCO's are a shrinking portion of revenue and that other areas provide a better return. Why I say you would not be happy is that LS is going to "maintain" the huge segment that is called BCO's but I think it would be very hard for them to justify investing in growth in that segment.

You may want to listen to some conference calls. Analysts ask some pointed questions and the answers are very interesting.

 

Agreed, and I never really looked at it that way as when I signed on here some 8 years ago I researched the company very well and made my choice. I'm very glad I did and yes myself like most folks who have been here longer are still doing OK as we have developed our contacts and have most of our stuff paid for so our costs are much lower than most of the new folks coming in. This is who I am most concerned with, the new hires. There are a lot of people out there now that forget what it was like starting out here. They just have a cavalier attitude and tell these new folks just come on over and you'll do better here than you ever dreamed of......IMO this is totally wreckless behavior as they don't even know the first thing about the financial situation the person is in or their personal situations, and nobody can deny costs are skyrocketing and rates have been stagnant for years except for the usual seasonal peaks and these peaks nowadays are short lived at best.

For the company to continue to perform, you must have a solid base of steady earners and offer them something they can't find anywhere else. It was always the ability to balance your earnings here with your hometime and the trust that you were a real professional and could and would do your job and be left alone unless you really screwed up. That's what made this place the exception. Yes, times have changed here and unfortunately I see the aformentioned atmosphere slowly erroding away more and more, year by year!

 

Agreed, I will do that...good idea! Probably time to get out of the truck and behind the phones. California is gonna make me a criminal come the end of this year anyway!!