ROAD RUSH

Central Penn Business Journal, Jan 07, 2005 by Doody, Angela

A national shortage of truck drivers has caused major job turnover and forced U.S. trucking companies into a bidding war for experienced employees to haul their freight across the country.

"There are so many trucking companies competing so heavily, drivers can really shop around for the best salary and benefits," said Mike Russell, spokesman for the American Trucking Associations in Alexandria, Va.

There are about 100,000 truck driver vacancies throughout the United States and the shortage will not end soon. The trucking industry is expected to add at least 80,000 new positions each year for the next decade to accommodate the increase in freight shipped across country, Russell said.

About 427,000 Pennsylvanians - or every one in nine residents - is involved in the trucking industry, said Jim Runk, president of the Pennsylvania Motor Truck Association.

Trucks haul about 67 percent of all U.S. freight. That amount has been increasing steadily for the past years because of a healthy economy, industry analysts said.

"The shortage of truck drivers is a major factor that prevents growth in most trucking companies," said Erik Thompson, director of recruiting for Daily Express Inc. in Middlesex Township, which employs about 300 drivers.

Thompson said the major reasons for the shortage is job turnover, in which drivers leave the business, and "churning," when drivers move from company to company to find the best pay and benefits.

"Until truck driving becomes appealing to the masses, there will always be a, driver shortage," predicted Thompson, who said salary and quality-of-life issues seem to top drivers' list of concerns.

The turnover rate at Daily Express is about 39 percent. Thompson said the pay rate for the firm's drivers varies, according to the types of loads transported. And independent drivers earn about $85,000 a year or more.

Trucking firms that require drivers to leave home for one or two weeks at a time report up to 120 percent annual job turnover rate. Those companies have turned to more aggressive recruiting methods, Runk said.

It is not unusual for national trucking companies to offer signing bonuses, guaranteed raises, generous benefit packages, more time at home and perks such as being allowed to drive with their Earnfly members or pets in an effort to attract and retain drivers.

The shortage of truckers prompted Schneider National Inc. this -yearto offer drivers the largest pay increase in the company's 70-year history.

Beginning in February, the Green Bay, Wis.-based company will offer its drivers an average increase of $4,000, new short-haul premiums and increased non-driving provisions, such as pay for time they are not on the road. Schneider, which has 15,500 drivers and an operating center in Middlesex Township, also tried to improve drivers' lives with more predictable work schedules and time at home.

"It's not just an issue of paying more," said Mike Norder, a Schneider spokesman. "Historically, truck drivers have always had a high turnover rate. This is a very difficult life style and we've recently spent a lot of time trying to ensure drivers get home more."

Arnold Transportation Services, a Jacksonville, Fla.-based company with administrative offices in Camp Hill, offered 6 percent to 7 percent salary increases to drivers in 2004. That rate likely will go up again in 2005. Drivers also are paid by the mile according to their geographic region, said Mike Gregerson, Arnold's executive vice president of operations.

Arnold's annual turnover rate is 68 percent. Although Arnold does not have any driver vacancies, Gregerson said the company stays busy trying to ensure their trucks are on the road.

"It's definitely getting tougher to hire drivers," Gregerson said. "We bring in new drivers each week, and we lose drivers each week."

Gregerson and other industry representatives said more drivers are requesting shorter trips so they can spend more time at home with their families.

Add time away from families with increased fuel prices, more urban traffic congestion and sharing the road with aggressive drivers, and there is little wonder truck driving can be such a transient profession, truck drivers say.

"There's always been a shortage of drivers because this is a hard life," said Franklin Butler, who has been driving a truck for 43 years. "It's not easy on a marriage, and most young guys today don't want to pick up and be gone for one or two weeks at a time."

Butler, who has driven for Ruan Transportation Corp. for 29 years, makes about $65,000 a year. The Ashboro, N.C., resident said many trucking companies are offering better pay and benefits to attract experienced drivers.

"The problem is that all of us experienced guys are getting older, and the younger guys don't want to do this."

In addition, federal regulations that went into effect last January prohibit truckers from driving more than 14 hours a day. Such rules are a hassle for driver Dean Harms, who logs about 150,000 miles a year and runs into traffic jams or delays while loading freight.