Rising driver pay is often an indication of bettering truckload fundamentals. Whereas it’s nonetheless early within the upcycle, some carriers are implementing pay hikes to maintain drivers glad and their tools seated.
Joliet, Illinois-based provider GP Transco introduced Monday that it has elevated pay for all firm drivers by 5 cents per mile. The speed bump pushes the higher finish of its pay scale to 72 cents per mile. High performers may even have an opportunity to earn one other 6 cents per mile in incentive pay.
All in, a first-year driver with the corporate now has an opportunity to make practically $100,000.
“Because the freight market continues to maneuver in the best course, we’re excited to cross that momentum on to our drivers,” mentioned Amos Savickas, head of operations at GP Transco. “Our drivers confirmed persistence, professionalism, and dedication all through a really difficult market, and this improve is a direct reflection of how a lot we worth their work.”
The corporate can also be enhancing driver dwelling time by providing 48-hour weekend breaks after two weeks on the street, bettering upon the earlier three-week requirement.
A supply-led trucking restoration has prompted the necessity for enhanced driver pay and perks.
Heightened regulatory enforcement has been purging noncompliant drivers from the market since final fall. It began with tighter enforcement of non-domiciled CDL guidelines and English-language proficiency necessities. Authorities additionally took intention at questionable driver faculties and ELD suppliers.
Extra just lately, federal authorities have been strictly implementing cabotage guidelines and revoking visas. Additional, the impression that the Supreme Court docket’s dealer legal responsibility ruling can have on driver vetting and insurance coverage necessities continues to be being contemplated throughout the trade.
Dwindling provide has had a pronounced impression on pricing, with many publicly traded carriers saying contract charges set earlier on this yr’s bid season are now not legitimate. Carriers showing at investor conferences in current weeks have flagged the potential for double-digit price will increase this yr and subsequent.
Many public carriers have additionally famous the necessity for driver pay will increase in sure geographies and on sure lanes. Nevertheless, the group is trying to restore margins after an almost four-year downturn. Enterprise-wide pay hikes will not be but within the works for this group, as they imagine higher asset utilization and cargo choice will improve paid miles and finally driver pay.
Dubuque, Iowa-based Hirschbach introduced its over-the-road firm and lease drivers will see a complete pay improve of 10 cents per mile within the coming months. Along with the rise, it’s also planning different changes throughout its regional, native and devoted operations.
“It is a vital funding in our drivers and a mirrored image of the worth they carry to Hirschbach each day,” mentioned CEO Richard Stocking. “Our drivers are the spine of our operation, and we’re dedicated to making sure they’re acknowledged and rewarded for the important function they play in serving our clients and shifting our enterprise ahead.”
Extra BigRig articles by Todd Maiden:
- Cass sees freight quantity restoration in second half of yr
- Routing guides are crumbling: ‘It’s completely different this time’
- Truckload carriers eyeing multiyear price upcycle
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