Posted on Apr 12, 2009 - 3:50pm by Wayne Weisser in Trucking
The one that’s at the end of a tunnel?
I was supposed to be making money and saving as much as I could. What’s the point of making what little money I am, only to send it to the government, spend the rest on the truck for stupid stuff like tires and oil changes, to end up with nothing at the end of the day and still be away from home. How can a business cost so much, make so little and still owe taxes? It’s a vicious cycle.
If I was making money, I’d go along with most anything, but these trips are barely enough to pay for fuel, let alone much else like a truck payment and forget about saving anything. They’re spread so far apart and pay so little it’s really discouraging.
This load I have now was spread out over the long weekend. If I have a load, there’s no layover or detention. Five days to go 1400 miles, this is stupid, but at least the company doesn’t have to pay layover, smart on their part. I’m really getting tired of making their money and getting shafted. They may not even be making that much money nowadays, but they have trucks that can take care of the few customers they have left and that’s all that matters.
I don’t mind a company making money, but I have to be involved and get my share instead of getting the short end of a short stick every single time. What am I still doing here?
Leasing to a Carrier only helps the carriers
Leasing on to a carrier like this shouldn’t be allowed. You’re a company truck with a truck payment. No matter what they say or what your contract says, you have no control over anything, no say or voice in anything, you do what they say or you don’t get work. If you don’t get work, it’s not like you can get work from someone else that may have work right now.
If you look at the IRS rules about the difference in independent contractors and employees, we would be employees. But since when did rules govern the trucking industry? Don’t like it, leave. Anything they don’t want to take responsibility for is the driver’s responsibility. I love taking a heavy load with no scale around, you don’t get this kind of excitement in an office! Wondering which scale you’ll come to first, DOT or CAT?
Lease or Authority
Who ever came with the leased owner operator concept was brilliant, that’s worked out incredibly well for the carriers, not so well for the leased owners. We should either be employees or independant. That would make the whole 3PL scene a lot different too.
There’s so much wrong with the trucking industry, you would think now would be a good time to shake things up and clean out the scumbags. That’s not happening because there are too many owners that are still just barely hanging on. Too many owners and fleets that are walking that thin line of keeping their trucks or going out of business. A lot of times it’s too much trouble to change companies when you’re supposed to be an independent contractor. With the companies keeping huge amounts for escrow accounts, license accounts and any other excuse they can find to keep your money.
When you change companies the old company has up to 45 days from whenever they decide to send you your last check and any other money they owe you. When you start a new company, they keep several months of insurance and you have to get their plates through their agency and that’s more money every month. That’s several weeks with no paycheck and several more weeks with small checks. How many of us can do that with no guarantee from the new company that you’re going to actually make money?
Percentage anyone?
What if you get paid by percentage? There are federal guidelines and regulations from FMCSA, that govern drivers paid by percentage to ensure you’re receiving the money that’s owed to you. I’d give you the reg number, (CFR 49, 376.12 (g)) but it doesn’t matter. A company is going to give you what they want. Don’t like it leave.
There is so much stupid stuff stacked against us to make money, it’s a wonder there are any trucks on the road.
From all of the companies that have gone bankrupt and the trucks that have been repossessed it’s still not enough to give the drivers an even hand. It just means a lot of good and ethical companies have gone under and the others are hanging on by a thread. There is still stuff getting trucked around the country, just not as much as there used to be. There are still companies in business and owners with trucks, just not as many as there used to be. The balance of power is still with the industry because the industry has written all the rules.
For those that hang on a little longer, that may change and it may not. Any upturn in the economy is going to be on such a slow curve, no one is going to notice. Just like before, companies and schools will be recruiting the unemployed hoping for some work and a paycheck for all of their efforts to learn new skills, only to be reminded that if the wheels don’t turn, you don’t get paid. And just like before, any upturn in the economy the driver shortage cry is sounded, and like before it will be like crying wolf, but the government never learns and will give in to anything the industry wants.
If companies had to pay by the hour there would be fewer companies around.
Instead of standing together for reform that actually meant something, some were too busy organizing strikes against fuel prices. Hopefully, those organizers (some didn’t even drive) are confused now that fuel prices are down, but they’re still not making money. They’re probably not confused, they’ve chosen another boogie man to rant and rave against instead of figuring out the real problems with this industry.
President Obama will save us!
Anyone think the new administration is going to fix trucking? They’re a little busy right now. I really don’t think unionizing the entire industry is the answer either. How’d that work for the auto industry? What about OOIDA? What about them?
Women truckers...I need your help!
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This should be published in EVERY trucking magazine. Well said and brilliantly written. Too bad the “established” trucking media doesn’t recognize this and other blogs – they’d learn a thing or two. As a far as OOIDA is concerned, they’re way too busy writing letters to the new administration. It’s what they do best – write letters to try and correct anti-truck legislation “they” should have stopped from the get-go. I hope they read your piece and put it in the next Landline. It deserves a much wider audience.
You’re right, the leased owner operator system is so f’d up, it’s only good for the carriers, something should be done about that now before it’s too late.
Don’t hold your breath waiting for that light, it might be awhile.
I was a leased Operator with my own truck for 10 years.Emphasis on was. It has always been the way your explaining it. Nothing has or ever will change. It works for the companies thats why they do it. You, the leased operator takes all the risk and receive the small stipend that they’re willing to pay. Waiting for that light at the end of the tunnel will only result in that train running over you.
Right on, now this is an article! I wish this was new insight for me but unfortunately I have LO friends and what you’re describing has been on the end of their tongues for a while now.
LO’ing has been one of the most disappointing, if not utterly confusing – professions for trucks driver who, by all sound logic and reason – should be making so much more than they are. At least most company drivers know what they’re getting into – not so with leasing.
It is very frustrating. Laws already in place are simply not enforced. If the government did anything it would be to create a new law that would put money in the pockets of there political machine.
If the government simply enforced the laws in place the driver would make money. Trucking companies are nearly forced to ignore the laws because they could not compete if they were compliant. Their competition isn’t being penalized and can cut the rates accordingly. Companies excuse their guilt by telling you that if they do not operate ethically, you would not have a load to haul anyhow. By the time a driver is choked out of his earnings, he can hardly afford a legal battle.
How many trucking companies have you seen go bankrupt to find out the owner starts another company again? I forget the details, but Prime has gone bankrupt only to come back stronger than ever! Then you read about how “smart” the owners are. Smart equates to evading legal and ethical business practices and preying on people who have the simple dream of owning their own truck.
All that drivers can do is warn others. Of course, this is excused as some sort of “whining trucker” syndrome, even you show hard evidence of what is going on.