The Weekly Report brings you updates on the most important driver recruiting metrics each and every week. In addition to updated click, search, and rate data we cover a new story of the week. This week’s story – fleets and drivers are using automated per diem to shelter income.
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Numbers At A Glance – July 28, 2021
[one_half]
Truck Driver Searches |
| WoW: ∇ Down 13% |
|---|
| MoM: ∇ Down 8% |
| YoY: ∇ Down 12% |
Load Volume |
| WoW: Δ Up 19% |
|---|
Volume by Segment |
| WoW: Dry Van Δ Up 29% |
|---|
| WoW: Refrigerated Δ Up 27% |
| WoW: Flatbed Δ Up 11% |
Spot Rates |
| WoW: ∇ Down 8¢ per mile |
|---|
[/one_half]
[one_half_last]
Clicks On Driver Postings |
| WoW: Δ Up 1% |
|---|
| MoM: Δ Up 3% |
| YoY: Δ Up 10% |
Truck Postings |
| WoW: Δ Up 15% |
|---|
Truck Posting by Segment |
| WoW: Dry Van Δ Up 27% |
|---|
| WoW: Refrigerated Δ Up 21% |
| WoW: Flatbed Δ Up 15% |
Rates by Segment |
| WoW: Dry Van ∇ Down 4¢ per mile |
|---|
| WoW: Refrigerated ∇ Down 4¢ per mile |
| WoW: Flatbed ∇ Down 9¢ per mile |
[/one_half_last]
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July 28, 2021 Driver Recruiting Insights
Would you like to have your own copy of the trucking industry data? All of the information covered in this week’s report for July 28, 2021, is available for your convenience in PDF form below.
Click the image to download the July 28, 2021, Driver Recruiting Insights PDF.
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Weekly Report – July 28, 2021 Transcript
For Randall-Reilly, I’m Joshua Miller. Thanks for joining us for another edition of the Weekly Report. Before we get started if you’re watching on YouTube don’t forget to like, share, and subscribe. Over on the blog you have the option to sign up for our monthly driver recruiting newsletter.
Alrighty, now that I’m sure you’re all doing that … let’s get down to the numbers.
THIS WEEK IN JOB BOARD SEARCHES
Truck driver searches were down 13% WoW, 8% MoM, and 12% YoY. Though searches were down in all three instances there, clicks continued to trend the opposite direction with increases of 1% WoW, 3% MoM, and 10% YoY.
Searches dipped after that pretty sizable increase we saw the week prior but clicks continued to inch upward. We also once again saw clicks increase on postings for experienced company and team drivers while clicks decreased for owner-operator and inexperienced/trainee posts.
THIS WEEK IN FREIGHT
Load postings rose by 19% WoW, and with that each of the three major segments saw gains. Dry van was up 29%, refrigerated 27%, and flatbed rose by 11% WoW. However, even with these positive gains the load volume was still 15% below what we saw in late June.
And speaking of 15%, that’s exactly how much truck availability increased by WoW. We saw availability rise for all three segments here as well. Dry van increased by 27%, refrigerated by 21%, and flatbed was up by 15% WoW.
The overall ratio of loads to trucks rose slightly here, but it remains lower than the levels we’ve seen for most of 2021.
Spot rates dipped by 8¢ per mile, with all three segments declining. Dry van rates dropped 4¢ WoW, as did refrigerated, and flatbed fell by 9¢ WoW.
STORY OF THE WEEK
Fleets and drivers are now taking advantage of automated per diem to get more money into the pockets of drivers while saving money for fleets in payroll tax. How? Put on your accountant hats and I’ll break it down.
Motor carriers are able to allocate $66 per day to a per diem, which amounts to $300-400 of income each week shifting over to the tax-free column. This saves about 30% in payroll taxes, which in turn increases the driver’s take-home pay by 100 bucks a week … or roughly $5,000 a year.
Without a per diem program, motor carriers would have to increase a driver’s pay $8,500 a year to actually get that same $5,000 into the driver’s bank account. So … giving a per diem saves motor carriers a pretty sizable chunk of cash by reducing the amount needed to match state and federal payroll tax. And in doing so they also end up paying less in workers comp premiums (at least in most states).
ELDs can be used to verify when and where drivers qualify for said per diem pay. Using this system, motor carriers and drivers don’t need receipts for meals. Instead, they just need to record the date, time, and place to show each day where they could or should have stopped for a meal on the road.
One fleet began issuing per diem payments in January 2017 when they weren’t able to offer a pay increase for drivers, and by year’s end it had helped to reduce the driver turnover by a full 4%. And since that time, the turnover rate has continued to trend downward each year.
And that’s it for this week’s report. Come back and see us next Wednesday morning for an all-new report with all the latest recruiting data and new story of the week. Until then, have a great week everybody.
