US TRUCKING INDUSTRY BETWEEN A ROCK AND A HARD PLACE

Application rates for trucker jobs in the United States are falling, despite big increases in job advertisements, according to a US recruiter.

In a blog post on Trucks.com, Oliver Feakins, president of All Truck Jobs, a job recruitment site for truck drivers and carriers, said application rates were falling despite a 100% increase in trucking companies on its board, and job counts increasing by more than 30%.

Feakins said the drop in applications showed drivers are being selective in their job choices.

“The demand for their skills is at a fever pitch and companies who want to stay competitive are rolling out generous pay packages and more home time to attract them,” he said.

Prior to the Covid-19 pandemic, Feakins said trucking companies in the US had been “growing at aggressive rates”. However, once lockdowns started, companies saw available freight dry up and many carriers had to lay off drivers, while some companies went out of business.

“This created a surplus of drivers fighting for limited jobs,” he said.

According to a Bureau of Labor Statistics report, 88,000 jobs disappeared in the truck transportation sector in April 2020, a 6.2% year-over-year decline.

According to Feakins, there is frustration amongst motor carriers trying to hire drivers.

“Some trucking companies blame the extended unemployment benefits for the lack of driver interest. In some cases, the government’s additional unemployment compensation amounts came within 30% or even exceeded potential driver income,” he said.

He expected to see a significant shift in the hiring and recruiting trends of truck drivers as the economy expanded, unemployment compensation contracted and supply chain issues were corrected.

“Carriers need to understand that the shortage is real, and they need to align expectations and become competitive to thrive,” Feakins said.

“Trucking companies that fail to meet the demands of the market will have to spend far more money to hire or fail to staff their trucks and move their freight. Just like the pandemic, this is something that the industry is navigating together, and nobody is immune. I believe it will take many years for the market to correct itself.”