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Home » not your problem?
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not your problem?

August 1, 2006
DC Velocity Staff
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Think high driver turnover is mainly a concern for truckers? Shippers are most likely paying the price as well. Truckers say they've been forced to dig deep to recruit new drivers, and you can bet they're passing those expenses along to shippers in the form of higher rates.

How much are we talking about? One carrier,Ozark Motor Lines, estimates that it spends upwards of $5,000 to recruit a single driver, according to data included in the 2005 State of Logistics Report, released in June by the Council of Supply Chain Management Professionals.

Though Ozark's 65 percent annual turnover rate is well below the industry average, the carrier points out that its costs still add up quickly. In 2005, alone, Ozark recruited 495 new drivers in order to keep its rigs on the road. The estimated cost: $2.5 million.

Transportation Trucking Truckload Less-than-Truckload Business Management & Finance
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