Turnover Halved If Carriers Could Keep Drivers For Just 90 Days

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Turnover Halved If Carriers Could Keep Drivers For Just 90 Days Says ATA Exec


According to the chief economist at the ATA, Bob Costello, if carriers could hold on to all of their new hires for at least 90 days, the driver turnover rate would be cut in half.
Reported by DCVelocity, Costello dropped the shocking statistic during a presentation at the NASSTRAC shippers conference and transportation expo in Orlando on the 25th. He was referring to only large carriers with more than $30 million in annual revenue. If his data is correct, it sheds light on a serious driver turnover issue that may have more to it than the usual explanation of drivers leaving to chase a higher paycheck after a year or so.

OTR Trucking has some of the highest turnover rates of any job in the US, with the last quarter of 2015 reporting 102% driver turnover at large carriers. LTL trucking however has a turnover rate of only 11% which is considered to be largely due to higher pay, shorter runs, and more home time.
Driver recruiters and carrier executives have spoken about the 90-day mark before. In a CCJ article from 2013, COO of Gordon Trucking, Steve Gordon, said that in the first 90 days, new hires see the problems they weren’t expecting.
“They may get frustrated with our approach, maybe it’s different from where they were previously. They don’t like how the truck is governed. They don’t like the mobile comm system. There’s a ton of aggravators out there people will look at, and say, ‘this just isn’t what I signed up for.’ It’s easier for them to do that in the first 90 days,” said Gordon.
Costello also pointed out that if driver turnover remains as high as it is, drivers will likely “continue to benefit from rising wages and benefits.”
Source: dcvelocity, overdrive, ccj

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