Landstar Questions

I have a question for you OZR: As an agent for Landstar, you have the option to work with a BCO or an independent operator. There are many former BCO's who have left LS and gotten their own authority now with the EOBR requirement that LS is pushing. You can use a former BCO with the same qualifications as a BCO and the same experience for less money with no EOBR in their truck. If I were an agent, I would choose the operator who is the same as a BCO and can haul the load without losing 25% to Landstar that I will know can get the job done.

With no Landstar overhead, the operator with their own authority can make more money per load for a lesser rate than a Landstar truck. They have the same insurance and the same CSA scores as a Landstar truck. So which would you use and why?

I am not going to install an EOBR regardless of what Landstar requires. Many of the operators I know and meet, still haul Landstar loads right along side my truck from and to the same customers and for more money per mile than I am making. The percentage cut I give to Landstar results in a slightly lower rate to my truck than the O/O's with their own authority get at 100%. For example a Landstar load paying $5000.00 minus the percentage cut to me results in my rate to the truck being 3675.00 whereas an O/O with their own authroity will make 3800.00 to their truck at 100%.

All the independent operators I know that haul LS loads are paid the same as I am and have the option of working with everyone, not just Landstar. They have to make a few more phone calls than I do and do a little more paperwork than I do, but make the same money as I do or more at the end of the year.

Thanks

 

Polarbear, it is my understanding if you are a with LS you don't have to install one unless you have an issue. But when required it is not going to matter - LS or Independent - You have to get one. But I have changed my thoughts on if it will be mandated. Regardless of the laws, current CSA is creating an economic imperative that drivers have EOBRs. Those without them will find it very hard to compete. Insurance companies are asking for them. Time to accept your fate.

 

BigBadBill,
EOBR's that are not linked to satellites are easily manipulated by anyone with a laptop. They are useless. My fate is not one of the EOBR. If you research them, you will find that EOBR's are an unnecessary cost to us already struggling owners, an invasion of privacy, and historically used as harassment tools by carriers. The EOBR should not be mandated as it violates our 4th Amendment Rights. If your carrier requires the EOBR and you drive their truck, you are subject to their rules and desires. If you are an owner, the EOBR has no place in your truck unless you voluntarily add it. Not by a law. The EOBR also does nothing to promote safety.

Lastly and most importantly, the EOBR that is not linked to a satellite (I.E. an owner with one truck) can easily manipulate the EOBR on his or her own truck with as little as a $200.00 laptop. This makes EOBR's useless. They will be no more accurate than a piece of paper and satellite tracking being made mandatory will be an absolute violation of rights in the USA.

As time progresses, more and more rights will be lost to technology and more people will suffer the pains of the new surveillance state. Trucker's whereabouts will be caught on cameras everywhere and their time spent in various places will also be recorded for use in trial if needed. The question is: Is this the society that we want to live in? I don't and I will be fighting it at every turn. My Grandfather, his relatives, and all of the people who fought for my rights didn't die so that all of my rights could be taken away one day by a greedy corporation in the guise of safety.

You want safety? Park your truck and advise everyone else to do the same. You can't get any safer than that! No trucks on the road means no more truck accidents.

I still am curious about OZR's thoughts on my question.

 

I am a current BCO with Landstar and I have a EOBR that I "volunteered" for and I have not had a problem thus far in 3 months time. If I took the EOBR or not, the company trailers already have a GPS device installed regardless so with some minor footwork by the company they can determine if someone is running hot or not. I am leased to the Inway group which already has a unacceptable CSA score over 60% and have yet to be red lighted for a inspection or have any negative responses from anybody. I will say as a O/O it is hard to see that 35% go right off the top to Landstar so I know just to make my bills work out I have to look for rates over $2.40 per mile off the load board when a Independent O/O can seek out $1.70 per mile from the DAT board just to break the same as me. But Landstar has been pretty decent otherwise. E-Logs dont bother me as my beleif is if everyone has to run legal then if truck times become shorter due to the lack of "COWBOYS" left in the trucking world, then rates will go up to compete for truck time. Along with the lowball not being racist but eastern??? towel??? russian??? guys that dont adhere to "the rules" that drive with as much junk dragging off the sides of their truck as they have packed in their overweight trailer kinda asian cowboys we have out here, we may have a fighting chance one day to all run legal and get a fair rate for our services. just my $.02.

 

His point was you need to see the handwriting on the wall. The market and government are forcing EOBR on us whether we agree with it or not. I do agree with you it does not improve saftey in fact evidence is emerging of the opposite. I also agree it's an unnecessary and unreasonable cost burden. I also understand the powers that be are demanding it and I can either adapt to it or quit trucking. Unless you screw up LS is not going to force you on them. Eventually though we'll all have them.

 

Who gave you the idea that independents are going to have the luxury of having an EOBR that is not satellite tracked?

From a business perspective (I understand this is a foreign concept for many) we need to address how we compete in the current environment we live in. That is what LS is doing along with many other businesses. Insurance companies are looking at loss reductions (pretty easy for an attorney to convince a jury that your choice to not have one is because you want to run illegal. And trust me, your compound diatribe is not going to win the hearts and minds of the 12). Most fatigued driving violations are clerical errors. Companies can not afford to risk CSA scores. Independents are more at risk for this for the way they are judge within CSA. Even without a mandate the questions are being asked. How many independents can afford not to be at the top of the list rather than the bottom.

LS moving this way has everyone's best interest at heart (from business perspective - and that is what this is, a business.)

In terms of being independent and working with agents, I can give you my perspective from a carrier that does a lot of work with LS. When you look at the better agents they are mixed. A good majority will call us because of our reputation before giving it to an unknown LS driver. They are focussed on the customer first.

But you should already have a book of agents that will work with you first before others. But remember, when and if you decide to jump into the deep end, this is a business. And you need to have both feet in the business vs. one in the bunker and one in the truck. Rarely do all the rules, regulations and laws make sense or are fair. As a business person you need to focus on how you make money with the hand you're dealt.

 

That would make sense, since LS doesn't tell people not to buy their own trailers. However, if you're not qualified to pull that type of trailer, you won't get to pull it.

 

Do not confuse your personal rights with business regulations. They do not mix, nor cross over.
As to the money of a BCO compared to an Authorized Carrier, you need to use a very sharp pencil. Been there, done that, went broke at it. Of course those were very different times and we did not have all the tools available, then, as there are today. I gladly split the revenues with LS and the Agents. That independent may get a little more of the gross revenue, and many times not as much, than a BCO, but they also have all the gross costs.
While the independent may be loading soap right beside you at Proctor and Gamble, he/she will still be loading that soap when you are loading high tech, high value widgets at Raytheon or General Dynamics.

 

Wait, what about getting those loads via NLM and cutting the agent out of the middle?

 

Hi SixBrix,

Could you share the specifics on company policies. Also, what's the average load (ppm) you've made with them?