Switch from CPM to hourly

Discussion in 'Ask An Owner Operator' started by tallmon, Jun 7, 2019.

  1. PE_T

    PE_T Road Train Member

    I didn’t say I endorse salary-based pay for truckers, but that it will make it easier and less time-consuming for a trucking business to process the payments for their drivers. Besides, it is rare to hear drivers getting paid salary.

    I think if a trucking business wanted to pay their drivers a salary, it doesn’t look difficult to pull off successfully. Most loads have scheduled pick-up and delivery times. If the driver can’t make it happen, then out the door he goes. The salary method pays drivers for their time. To prevent slackers, one can create some sort of incentive. This is something that even hourly-based pay needs to deal with and some big companies like Sysco have already addressed.
     
    x1Heavy and Rideandrepair Thank this.
  2. Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.

  3. x1Heavy

    x1Heavy Road Train Member

    34,017
    42,137
    Mar 5, 2016
    White County, Arkansas
    0
    I spent my life running miles, hours, percentage etc. And all the stress thereof.

    When I got salary as a trainer, a very handsome one at that, something over 2000 gross, 1550 net etc weekly, miles did not matter. The truck worked coast to coast anyway worth thousands more in pay some weeks. But that went to FFE. we had our salary. something on the order of 8000 a month net to household budget for wife and I for many months.

    No stress, just roll. Take care of the truck,take care of us. Problems are fixed. easiest year we had ever.

    Back to miles? Feast and famine back to 14000 in savings to soak up the really bad weeks in which very little is made through no fault. Witness Americold Shipper in Salinas on a botched dispatch order (Emergency no less) lose three days, fill truck and reefer twice and all for 1200 piddling miles. pffth.

    Management pays truck bills each month, one number. They pay a payroll to drones in office. One number, they pay the mortgage on the property, building, shops and all the stuff. One number.

    Payroll = one decent number and the Board gets their millions as usual. No harm. And LESS turnover.

    THAT has to be worth something to Management.

    And because management likes to count late trucks at 6 am for a list of "Call mes" those are the soon to be ex employees.
     
    Rideandrepair and PE_T Thank this.
  4. Midwest Trucker

    Midwest Trucker Road Train Member

    5,903
    21,334
    Aug 31, 2018
    0
    My OTR and regional guys are paid 2400 miles guaranteed which is $1300 per week and then .54/mi above 2400 miles. They must be ready to roll after there 34 but most times then get a full 48 hours at home.

    My local home every night guys start at $20/hr and within a year are at $22/hr. It’s all straight time and they work around 60 hrs per week on average.

    If a driver requests to not start until Monday or needs a day off during the week the guarantee goes away and they are paid strictly by the mile.

    They get paid holidays after 3 months. 1 week PTO after 6 months, 2 weeks after 1 year, 3 weeks after 2 yrs, and 4 weeks st 5 yrs. There is no roll over of PTO and 1/2 of the PTO must be used as time off, the other half can be paid out as cash. 1 week PTO = their minimum $ for regional and OTR. Local 1 week = 50 hrs. Drivers get 1 cent raise per year and their minimum goes up accordingly.

    Slackers don’t make it very long, as the system fails. Pretty much only go getters and self starters excel which are the kind of people I’m looking for anyway. It definitely keeps a lot of pressure back on the office to keep the trucks moving and the load/unload times quick.
     
  5. x1Heavy

    x1Heavy Road Train Member

    34,017
    42,137
    Mar 5, 2016
    White County, Arkansas
    0
    In JBH Orientation during the last month of 2001, strictly as a experiment and strictly because recruiter on the phone talked with me 250 miles via cell trying to get me to commit to a .48 a mile with conventional so I go the following monday.

    I dithered. I did not get the conventional I got something lower than .48 at the time. I told them two things, first the cabover is going to get cars wrecked with me that's my history with them no intent. Second there needs to be a dispatcher capable of running with me.

    Turned out both was true. the money after three weeks on .40 something odd a mile? zip.

    One other thing I recall them complaining about in Orientaiton that week. 10 million of dollars per year in just the two outside tires on the right hand trailer.

    I told him I don't recall doing many tires in 5 years as long the tractor got a suit of 10 virgin tires in october by first frost prior to winter. Older tires went to the spares heap for trailers ready to go.

    He blinked as if I spoke in Martian or something from the Red Planet in space.

    Two different worlds. One who loses sleep because his crappy 14000 drivers tear up 10 million in tires annually and a percentage of the rest wreck things in cabovers.

    Like I said that company was strictly a experiment. I left them short of three weeks. No harm no foul.
     
    Rideandrepair and Midwest Trucker Thank this.
  6. Rideandrepair

    Rideandrepair Road Train Member

    17,346
    56,276
    Aug 8, 2015
    0
    As a Driver Who’s done both, I prefer hourly for Local work. Main reason is less uncertainty, (anxiety) about the amount of paycheck each week.When someone wants to pay % or flat rate. I read that as I’ll be wasting a lot of my time. At least $20 an hr time and half after 8 , must have 60 hrs a week.$1400 a week, everybody’s happy.60 hrs in 4 days even better $1440 a week.
     
    PE_T and x1Heavy Thank this.
  7. Rideandrepair

    Rideandrepair Road Train Member

    17,346
    56,276
    Aug 8, 2015
    0
    I have a job set up right now like that, 1 mile from home. Old Terminal mngr. I worked for 23 yrs ago. Now has 60 local Trucks. Easy Mostly Truckload no touch,enough LTL to keep from being bored.Id rather work for him at a lesser rate than $28 hr and a bunch of stress.
     
    PE_T and x1Heavy Thank this.
  8. x1Heavy

    x1Heavy Road Train Member

    34,017
    42,137
    Mar 5, 2016
    White County, Arkansas
    0
    Thats the other side of it.

    When I worked ready mix half the time they want half yard call backs on our herd trying desperately to stay awake at 10.00 a hour.

    EFF that. The days over pretty much by noon. Draw straws to leave the two shortest ready for call backs, clock out and go home.

    Morale suffered because of that staying awake BS. the boredom and so on.

    If Im going to pull 60+ hours a week falling out fo that stupid chair Ima going OTR.
     
    Rideandrepair Thanks this.
  9. tallmon

    tallmon Medium Load Member

    657
    320
    Oct 22, 2014
    0
    That wouldn't work. I have short runs and long runs. Who would want a longer run if they'd get the same money for a shorter run?
     
    Rideandrepair Thanks this.
  10. x1Heavy

    x1Heavy Road Train Member

    34,017
    42,137
    Mar 5, 2016
    White County, Arkansas
    0
    I see a nice solo coast to coast for the week from one to the other as I always did a good week. Without the excessive bother of LTL, shorts, overnights and so on and waiting etc. The miles pay the company to support the salary.

    Even if all I did is overnights like in Medicine, the salary makes it so that it does not matter what you do, 20 miles or 200000 miles in a week. No complaining allowed. You chose the employer right?
     
    Rideandrepair Thanks this.
  11. Rideandrepair

    Rideandrepair Road Train Member

    17,346
    56,276
    Aug 8, 2015
    0
    When I worked local, a long run would be 60-75 miles. It was a relief to relax and just Drive. Sometimes get sleepy, Lol. Longer run, same pay hourly or salary, easy money.
     
    x1Heavy Thanks this.
  • Truckers Report Jobs

    Trucking Jobs in 30 seconds

    Every month 400 people find a job with the help of TruckersReport.