Why Is Driver Retention so Important?
The driver shortage may be THE biggest threat facing the trucking industry right now. Trucking companies are scrambling to attract any new drivers they can. From veterans to recently convicted felons, the net is cast as wide as possible.
Unfortunately, this creates another major issue in trucking. Retaining the drivers you hire is next to impossible. American Trucking Association estimates the turnover rate for large truckload carriers at 90% in the second quarter of 2017.
Driver turnover can cause major problems in the supply chain industry. It can end up costing trucking companies anywhere from 5-10% of their annual income!
This is especially troublesome during the holidays. Many drivers quit for 2-3 weeks knowing they’ll be hired again.
One way to help curb this issue is to start with recruiting. Focus on hiring the right, quality drivers. This can save companies thousands of dollars each year.
The current methods of improvement:
- Constantly updating technology for drivers and their trucks
- Raising driver pay
- Getting drivers home with their families more often
- Improving general respect for drivers.
If current trends are any indication of the future, it’s probably going to get worse before it gets better. The driver shortage we know will. Projections put the need for drivers at 175,000 by 2024.
Retaining as many of the drivers we have now will be essential to future of trucking.