Transportation is the only American industry that regularly accepts 60, 70 and even 100 perfect employee turnover. If the manufacturing sector operated at the same level of employee retention that transportation does, there would no goods for truckers to haul to market. In spite of the high cost of driver replacement, the industry as a whole has done very little to address the issue. Consequently, a large portion of the profits of the industry is spent on replacing drivers. Many fleets have as much as 25 percent of their equipment out of service while the company looks for replacements for drivers that have quit. Production is down, profitability suffers and poorly qualified drivers are hired as stopgap measures. None of these situations is acceptable, and yet the industry continues to suffer. In order to improve driver retention, the underlying causes of driver dissatisfaction must be understood and solutions must be sought. According to a University of North Dakota study, there are a number of reasons why drivers quit. These reasons are listed in the order of importance as determined by the drivers:

Treatment

Treatment is the number one issue with drivers. They want to be treated with the same courtesy and respect that other employees are accorded. If they are treated like a commodity or like second class citizens, they will become prime candidates for someone else’s recruiting efforts. It is important for the company to know the driver’s names and treat them like respected members of the company team. Dispatch has the most contact with the drivers and has the greatest opportunity to affect their attitude and feelings about the company. It is important to train dispatchers in the area of people skills. They should be aware that drivers work under conditions of fatigue, stress and danger. There should be secondary levels of communication available to the drivers so that they have some alternative to quitting.

Benefits

Drivers who are loyal to a company are loyal to their families. Benefits such as health insurance are of considerable concern to good conscientious drivers. The company can normally obtain this coverage for substantially less than an individual driver can. Many drivers are willing to accept less pay in return for having a good benefit package available to them. Most trucking company office personnel have such benefits as health insurance, paid vacations, sick days and retirement programs. The same benefits are seldom offered to the drivers and yet there is still an expectation that the driver will stay in spite of the lack of benefits. In order for a company to attract and retain good drivers, a good benefit package is vital.

How often Home

This concern falls into the same category as treatment and benefits. A conscientious driver cares about family and wants to spend a reasonable amount of time with them .Various surveys have shown that if possible, drivers need to get home weekly. Once there, they should have at least two days off. All the daily problems that are normal must be handled by a driver in only a couple of days. In addition, most drivers have one or two outside interests other than trucking and need some time to pursue them as well. If for some reason the driver cannot be routed home weekly, the job requirements should be made abundantly clear at the time of hiring. Drivers who are used to spending extended time on the road should be solicited in such cases.

Equipment

A truck is the driver’s home, office and pride. Drivers need to be able to rely on their trucks to get them to their destination and back. They need to be proud of it when they get in and out of it at the truck stop and feel secure when crossing scales and ports of entry. The truck does not have to be loaded with chrome and lights, but it does have to be clean and dependable. When a driver writes up problems with the truck, the shop needs to address them as quickly as possible. When a driver is in a truck for too many hours a day, even small problems quickly become major aggravations. Major problems such as faulty in air conditioning or heaters become insurmountable. How these complaints about the equipment are handled is a direct reflection of the company’s attitude about their drivers and the drivers know it.

Pay

Pay was one of the last items that drivers were concerned about. Due to the competitive nature of the trucking industry, freight rates and revenues are very similar from one company to another. Driver’s pay is uniform and only varies when benefits are considered. In general, it was discovered that drivers would prefer to take less per mile in exchange for a good benefit package.

The only time that pay has a direct bearing on driver retention is when promised pay and mileage is not forthcoming. If a driver is promised 2,500 miles per week at a particular pay rate but only gets 1,500 miles on a consistent basis, pay will become an issue.

Another issue that the University of North Dakota survey addressed was the lack of incentives for drivers to stay with a single company. With the lack of benefit programs, raises or retirement programs, when drivers quit, they lose nothing. A change of companies is lateral move. If companies are going to have a good driver retention program, they must develop graduated incentive programs that are designed to create captive employees. Make it hard for drivers to leave. Such programs can include paid vacations, a retirement program that requires several years of service for full vesting, health programs that have decreasing driver costs as years of service add up, or any other programs that the company can develop. The important issue is for the company to develop a program that works for them.

Conclusion
A good selection and hiring program is vital to any company that wants to stay competitive in today’s marketplace. In an era that sees many companies averaging less than 5 percent net profit, programs that can double profits cannot be ignored. When all the implications of proper hiring retention are considered, it becomes evident that the reduction in downtime, maintenance costs, fuel costs, advertising costs, hiring costs and accidents can easily doubt the profit margins of companies with high driver turnover.

Proper driver hiring is the first step in reaching this goal. This step is reached through effective advertising that allows the company to be selective, coupled with proper driver screening that identifies drivers with both good backgrounds and good attitudes.

The second step in reaching this goal is long-term driver retention. Retention hinges on selecting the right driver in the first place and then treating them with the same consideration given to other company employees. Seek to develop programs that will entice driver to stay. A driver that stays does not have to be replaced.

Finally, consider this: if you continue to do what you have always done, you will continue to get what have always gotten. If you are satisfied with the results that your current programs have produced, then continue them. If you are not satisfied, this information should assist you in making the changes needed throughout the entire industry. Good luck!

Source: Sentry Insurance