How come these receivers don't just get their own people to do the lumping Instead of letting a whole other lumper company do it? Why don't they just add it on to the shipping cost from the trucking company Instead of hire a third party service?
Why do companis third party their lumped service?
Discussion in 'Questions From New Drivers' started by zoekatya, Apr 7, 2015.
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Lumping fees ARE figured into the shipping costs. Since unloading is sometimes sporadic, consignees use a 3rd party lumping service. That way when there's no trucks to unload, it's not their people that are sitting around.
Jabber1990 and Chinatown Thank this. -
Probably liability issues, plus most lumpers can't pass a pre-employment drug test in order to be employed as a company worker.
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It's also crazy how the place I am at Just charged $52 to unload a whole trailer of Nestlé water while the place last week charged $150 to unload the same thing and same amount . Where to they come up with these prices.
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This goes back a long ways. Unions have always had a foothold at grocery warehouses, and still do. It's just the way things are done plus it removes a lot of employee liability off of the warehouse.
Shippers generally accept this as reality and allow the carrier to add in the lumper cost on top of the haul bill and will pay (reimburse) it as long as it is not out of line with normal lumper costs. It's either built into the rate, or more often, can be added onto the rate at billing time along with a copy of the lumper payment receipt .zoekatya Thanks this. -
zoekatya Thanks this.
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In particular, read post #52. -
Worker's comp insurance is a huge cost, lumpers are a kin to day labors.
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What is not third party?
One company owns the land, another leases it and builds the structure.
The client leases the space in the building. The client hires a third party to run the guard shack.
Another for the yard dog vehicles and drivers.
Still more to:
Plow the snow
Keep up the landscaping
Remove the trash
Manage payroll
Manage hiring
Manage benefits
Manage IT
Heck, they even hire firms to keep track of their money!
MikeeeeUKJ Thanks this.
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