Right now, the U.S. is facing a problem that few people thought they would live to see — a truck driver shortage. As a result of the COVID-19 pandemic, fewer people are available to ship online orders and big shipments. Now, retailers and stores are facing challenges right as the holidays approach.
The problem is far more complex and risky than some people waiting on their Amazon packages too. However, this is also a time when trucking companies can emerge as market leaders who provide reliable services.
Keep reading below to learn more about how you can manage the ongoing truck driver shortage.
There Are Many Reasons For the Truck Driver Shortage
The national economy is changing in many ways, and companies across the U.S. are struggling to keep up. Workers are not satisfied working for minimum wage, and pay rates failed to keep up with the cost of living. And as a result of the COVID-19 pandemic, fewer workers are available to meet the economy’s labor demands.
Companies started asking workers to provide more labor for the same pay rate. So, they quit their jobs, and the repercussions have been felt in all industries. Truck drivers were one of the main groups who decided to start working for higher wages.
As a result, industries that depend on efficient supply chains started struggling. Truck drivers, who often have to pay for their own equipment and spend weeks away from their families, said they had enough. Now, all industries are paying for it.
Higher Wages Always Attracts More Drivers
It’s a dire situation, but it is times like these when companies can rise from the ashes. Business leaders that meet the demands of truck drivers can be one of the rare ones that effectively serve clients. As a result, they can get more business and take over their markets.
To succeed, trucking companies just need to treat their employees more fairly and keep the supply chain moving. Typically, this means paying them higher wages, so that more people apply and workers stay with the company longer. The increased business can make up for the budgetary costs of this tactic.
There Are Other Tactics For Hiring Truck Drivers
Some trucking companies, and especially new companies, are not ready to pay higher wages. They may be struggling to pay the bills already — paying higher wages may bring the company down. Luckily, there are other ways for companies to attract candidates and retain them.
Since truckers usually have to lease and pay off their equipment, companies can step in. They can provide trucks and equipment themselves, leasing it on their own dime.
Since truckers would only need to go through training and not fund their own equipment, they would be more likely to apply for a job.
There are other benefits trucking companies can offer, such as paid time off so truckers can visit their families. They can also negotiate deals with companies like Pilot or Walmart, so their employees can enjoy exclusive deals on the road. Most importantly, they can just get their name out there with social media marketing.
Supply Chain Management Is Complicated
Supply chain experts are still struggling to understand the truck driver shortage. The causes behind it are unprecedented, and few theories can be used to understand it. They are also still trying to understand how a lack of drivers is impacting the economy as a whole.
However, there are things trucking companies can do to mitigate the shortage. Even better, they can become market leaders by finding ways to provide reliable services. All they need to do is find good candidates.