“The brokers make too much”

Discussion in 'Ask An Owner Operator' started by Long FLD, Apr 24, 2020.

  1. LoneRanger

    LoneRanger Road Train Member

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    Agreed.

    So here’s my side.

    can a store tell you you can’t purchase the products direct from the manufacturer if you purchased from them?


    can a store make you sign a contract preventing you and releasing them of all liabilities if a product is sold to you that causes harm? Example shipper loading trailer wrong, not securing products, sealing it before allowing you to take it and on the road weight shifts tilts trailer causes accident.


    The consumer is protected against all sorts of stuff.

    In this case the trucker is the consumer of freight, yet we don’t have safeguards at all from brokers aka stores. Why?

    caps on profit not a good idea, but transparent billing? Well let’s say brokers are against that.


    Question is this.


    If brokers are made to show how much they got the shipment for and how much their cut is like an MLO ( mortgage loan officer ), then I can guarantee you brokers would fight over hand over fist to keep truckers in their pocket.


    It’s simple you want true free market? Then transparency is key.
     
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  3. Lyle H

    Lyle H Road Train Member

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    Here's a question for those that think brokers can control the rates:
    When rates are high, (think 2018) why didn't the brokers keep more then?
     
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  4. LoneRanger

    LoneRanger Road Train Member

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    who says they didn’t?

    the brokers I personally know who I spend time at their homes and have dinners have shown me what they made in 2018, I know one broker who paid cash for a house in 2019 with the money made in 2018.
     
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  5. Driver Eight

    Driver Eight Light Load Member

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    That was a healthy situation. Everybody did well including brokers. The truckers were not overpaid. But you cannot starve one side out for the sake of a middleman like what is happening today. It’s just a middleman.
     
  6. Driver Eight

    Driver Eight Light Load Member

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    Gotta believe there are brokers posting and gaslighting in this thread.
     
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  7. TallJoe

    TallJoe Road Train Member

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    A few months been already...and it is getting even worse. I am afraid it will take forever
     
  8. Driver Eight

    Driver Eight Light Load Member

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    That’s not how labor markets work or nobody would make more than minimum wage. It’s still supply and demand that would dictate rates. I don’t know about minimum rates, but brokers should have maximum percentage, and a fair one at that
     
  9. Rubber duck kw

    Rubber duck kw Road Train Member

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    So supply and demand works when you're making money but not when you're not making money, I don't think you have a full grasp on supply and demand.
     
  10. Long FLD

    Long FLD Road Train Member

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    Everyone is talking rate transparency between the shipper and broker. Here’s the other side. The guy I run for bids on our outbound freight every year. The only info he gets back from the shipper is if we’re the primary carrier and if we’re not they say how far down the list we are. So if there had to be rate transparency then it could also contribute to a race to the bottom of guys were after the same dedicated load.

    And to the comments about minimum rates...if the government said $120 an hour was “fair” for shop labor how many times would you go to a shop that charges $170 an hour?
     
  11. ZVar

    ZVar Road Train Member

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    For the most part yes. For example my daughter's indoor soccer filed... They are selling field time, and if you get injured on the field they have a contract I signed that they are not liable.

    Did this all the time. I would get my customer to sign a contract that I would be the sole supplier. I get a customer and they get product for a single digit markup. Benefits both of use. If I found they broke the contract there were penalties you can bet I would have enforced. See also exclusive game consoles (xbox, ps4) titles. You think Final Fantasy isn't getting huge kickbacks from Sony for not putting out Xbox titles?

    Also what regulations are being broke if an o/o did either of those examples? Both examples you gave are simply contract violations. No regs out there that says you can't break a seal to check securement, for example.
     
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