Why are we putting up with under payment

Discussion in 'Ask An Owner Operator' started by tazgunny, Apr 2, 2012.

  1. Mr. PlumCrazy

    Mr. PlumCrazy Road Train Member

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    Lexington NC
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    No disrespect but brokers lets say they get an account that has three loads a day from and to the same place that pays an average of $3.50 a mile well they will pay their regular carriers close to the $3 mark because the other two loads will be picked up by some dumb butt that will haul it for free(meaning anything under $2) Stop calling/using the brokers you been using because they have you marked as a cheap carrier. Find new brokers to haul for and dont take anything for under $2 a mile even if its just two pallets. If you gonna take a loss do it hauling a empty trailer
     
    G/MAN, jbatmick, SHC and 2 others Thank this.
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  3. JustAnotherJarhead

    JustAnotherJarhead Bobtail Member

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    Mar 8, 2012
    North West Indiana
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    The issue is rates have not changed much in decades with the ultra high inflation we have experienced. So it has gotten drastically cheaper for ALL large corporations and extremely expensive for the smaller enterprise groups and individuals.

    There really does need to be a strike. :happy1:
     
  4. Dice1

    Dice1 Road Train Member

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    Bessemer City, NC
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    A strike for what reason?

    Rates? I can increase mine if I don't feel like I am making a profit.

    Fuel Prices? I have a FSC and my all inclusive flat rates I allow for the increased fuel cost in the rate.

    Not that we even need to strike at all, but if we are ALL going to strike over anything in the industry, let's do it over it is way too easy to get a CDL with around 2 weeks of training and they are on the road. Just steering wheel holders with no real training.

    There needs to be alot higher standard of training maybe with DOT certified trainers in the passenger seat for a minimum of 500 hours signing off on the trainees log book who has a limited CDL until training is finished. That DOT certified trainer needs to pass a DOT certification test and have a minimum of 5 years OTR experience who is also liable for the trainee while training.

    This would accomplish 2 things make new CDL holders get some real and badly needed training before going solo and it would make it so expensive to train a new recruit for the trainee companies that well experienced veteran drivers would be alot more valuable and paid what they are worth with the training cost considered it would be more valuable to retain experienced drivers. This would drive up driver's wages and also drive up rates to compensate for the increased cost.

    New pilots learning to fly have to have this type of training, so why not CDL holders?

    Just a suggestion!
     
    Last edited: Apr 8, 2012
  5. G/MAN

    G/MAN Road Train Member

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    We don't need to strike. We need more people who understand how to run a business. We need people who refuse to take a load for less than it costs them to run the truck and make a profit. We need to raise the bar of entry into this business. We don't need to strike. If you own the truck who are you going to strike against? If you are not making money on your freight then raise your prices. You don't have to take loads for the rate offered. There are some who will take the first load offered without any attempt to negotiate a fair rate. All they want is to keep the wheels turning, regardless of whether that load is profitable or not.
     
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  6. me only

    me only Medium Load Member

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    Nov 9, 2011
    buford ga
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    I too run a hot shot business ,if i don't get why i want i let my trucks set .So far I'm getting the loads with the money i want .If it boils down to lowballing pay ill let my trucks set .I owe nothing to anyone .
     
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  7. vangtransport

    vangtransport Heavy Load Member

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    The problem I see is allot people talking but few people actually doing what they are talking about. Lets take Texas for example, people are moving stuff out of Texas for $1.25/mile on a flatbed. It's like they don't know there is a truck shortage in Texas. I have a trailer, truck, & insurance payment, & the way I see it is I'll give up before I take something to "cover fuel". Same thing in the Northeast, there is plenty of freight, usually we get people from the south or southern companies delivering here and they will grab a load of lumber back south. Well I know that these loads don't pay enough so why do they take it, because they say it's better than driving empty. You can't fault brokers either, if someone is willing to put the stuff on their truck to "cover fuel" then I don't blame a broker for taking advantage. Even a company like CHR has on occasion posted loads out of the Northeast paying over $2, that's what happens when they need stuff moved. Now all of our costs are different, but I don't know how anyone can take stuff to "cover fuel", would they go to work for someone to cover their gas money for the trip in & home?
     
  8. SHC

    SHC Spoiled Rotten Brat O/O

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    Westville, IN
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    It's not always about the rate coming out, it is about averages. Now I won't touch ANY load for $1.25, but I have pulled loads (under 5,000#) out of Texas for $1.75 mile because my load coming down paid over $3.50 mile. I knew going in that I was going to get a lower rate coming out so I played the averages. Even at $1.75 back to Chicago I was able to average $2.50 for a round trip run.

    I know you all are upset about low rates, and I am right there with you, but if you are a businessman then you have to learn how to get an average rate, not just single load rates.

    You also have to know what your operating costs are. My entire operation, plus ALL my household bills, require that I make a minimum of $1.52 per mile. Now I don't pull for that because I'd just be breaking even and have no money for savings and profit. But at the $1.75 I am able to pay the bills, truck maintence, and still make a little change. But in the big picture I made $2.50 average so I did even better.

    Now if I can't find a light load for $1.75 then I will deadhead a few hindered miles to a load paying more. I'm not going to pull a 48,000 pound load of pipe for that price.
     
    Clasix1055 and rollin coal Thank this.
  9. vangtransport

    vangtransport Heavy Load Member

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    SHC, I hear you about the average, I do the same. For me I get a good rate going in and my wife shops for a rate out. But I will deadhead until I'm in a better area. The truck gets pretty good fuel economy empty so fuel isn't a issue. Personally I'm not upset about the rates, I play the game. My whole point was most of the people complaining are the people hauling it. If they have their own numbers no one can force them into anything so why complain.
     
    SHC Thanks this.
  10. JustAnotherJarhead

    JustAnotherJarhead Bobtail Member

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    Mar 8, 2012
    North West Indiana
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    I believe over regulation and over taxation is enough reason to strike. I know Thomas Jefferson wouldnt put up with this. Sorry im not the kind to bend over and talk about how I like getting screwed so much. Im not a "just live with it" kinda guy. The fact is, we have let a minority rule the majority and we are the ones who could change the game and make a difference. But half of you dont even see a problem, and the other half dont care enough to do anything about. We brag about how we keep America up and going, but we are disillusioned. We are just a bunch of little errand boys these days.
     
  11. FREEBRD

    FREEBRD Medium Load Member

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    Oct 18, 2007
    Lafollette tn
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    I don't believe the ones hauling it are complaining about the rate !
    I don't haul it! And I'm the only one left at the try stop at the end of the day! Because everyone else is hauling it....
    I complain that I have too talk two 20 brokers who will admit themselves the rate is low. "we moved them all week at that rate..
    It's too one sided! We are the Assett based carriers! We do the work
    Just get by while they get a ten thou bond , phone, fax! And make more money than us!!!
    Something wrong with that!
    I tellem go buy your own truck and haul it for that rate...
    I'm not out here for my health!
     
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