OHIO CONFERENCE ON FREIGHT

Transcription

1 OHIO CONFERENCE ON FREIGHT TRUCK DRIVER SHORTAGE & BUILDING A POSITIVE IMAGE Trucking Moves America Forward September 18, 2014 KEVIN W. BURCH President, Jet Express, Inc. Vice Chairman, American Trucking Associations

2 The Trucking Economy is Improving! Housing recovery and auto production are helping freight volumes. U.S. energy production boom is boosting truck tonnage. Manufacturing activity picked up in recent months; looking good for the rest of Consumer spending has been choppy; will accelerate in Headwinds remain primarily around Washington, DC Carriers still cautious about capacity additions; the industry operates fewer trucks than at 2007 peak.

3 On-Highway Diesel Fuel Prices WTI $/Barrel $97.91 $98.67 $90.92 NG $/TCF $10.31 $11.23 $11.84 $2.71 $3.84 $3.80 $3.97 $3.92 $3.90 $3.78 $2.99 $2.88 $2.46 $2.41 $1.81 Note: Higher fuel prices don t generate the number of trucking failures they once did. Source: U.S. Department of Energy $1.41 $1.40 $1.32 $ $4.50 $4.00 $3.50 $3.00 $2.50 $2.00 $1.50 $1.00 $0.50 $

4 What Does it Take? Commercial Drivers License Schools, Tuition, Company or Purchase a Truck Background Checks; Endorsements Age Requirements Construction Jobs & Others Lifestyle of a Truck Driver Different Segments of the Industry Pay Military Returning Veterans State Laws 4

5 Average Number of New Drivers Needed Per Year Over the Next 10 Years: 96,178 One Million Drivers Needed Over Next Ten Years Non-Voluntary Departures 16% Voluntary NonRetirement Departures 11% Industry Growth 36% Retirements 37% Source: ATA Benchmarking Guide for Driver Recruitment & Retention

6 Driver Shortage Projection 2.00 Millions Trend-Line for Number of Tractor-Trailer Drivers Demanded ,000 potential shortfall 1.50 Trend-line for Number of Tractor-Trailer Drivers Supplied

7 Is your company currently having difficulty finding qualified drivers? Percent Answering Yes 120% 100% 100% 94% 93% 84% 80% 54% 60% 40% 20% 0% Small TL Carriers Medium TL Carriers Source: ATA Survey September 2013 Large TL Carriers LTL Carriers Private Carriers

8 REGULATORY FACTORS THAT WILL IMPACT DRIVER SUPPLY Electronic Logging Devices Some Drivers Are Simply Technology Adverse and Will Refuse to Use ELDs. Hours of Service Reduced Productivity Per Driver Will Increase Demand. Sleep Apnea Screening and Treatment Obese Drivers may Refuse To Be Tested or To Endure CPAP Therapy CSA Greater Scrutiny of Safety Metrics Will Make More Drivers Unemployable Medical Registry Tighter Controls on Medical Qualifications Will Weed Out Unqualified Drivers, Further Shortening Supply. Background Checks Redundant and Costly Criminal History Records Checks Are a Hassle Factor for Drivers.

9 Hours of Service New Restrictions Went Into Effect July 1, 2013 FMCSA Projected only 7% of driver would be impacted Real World Experience and Been Much More Profound What Motor Carriers Report Productivity Loss Between 3 and 4% Over 70% Say Major or Moderate Impact of Restart Restrictions 80% Lost Productivity

10 Hours of Service Carrier Impacts

11 Hours of Service Driver Impacts What Drivers Report - 70% Say Significant or Moderate Impact of Restart Restrictions - Over 80% Report Very or Somewhat Negative Impact on Quality of Life

12 12

13 Is IMAGE Important to YOUR Business? Should the TRUCKING INDUSTRY S Image be Improved? Can the TRUCKING INDUSTRY S Image be Improved? 13

14 Importance of Image JACKIE GLEASON Clean Shirt Neck Tie Pleated Matching Pants & Shirt Importance of Dress

15 Importance of Image GREAT DRIVER POOR IMAGE No Uniform Inappropriate Attire You Must Respect to Earn Respect

16 The Beginning of our IMAGE Downfall 1970 s 1980 s 1990 s Pre-1970: The Knights of the Road 1973: Oil Embargo Trucker s Strike 1977: Smokey & the Bandit : B.J. & the Bear ABC 20/20 s Killer Truck Drivers 1980 s: Deregulation of the Trucking Industry 1990 s: Driver s Fatigue Drug Use Excessive Body Mass Unhealthy / Serial Killers Use of Truck in news when referring to pick up trucks

17 The Beginning of our IMAGE Downfall 2000 & Current: 1970 s 1980 s 1990 s Safe Driving Statistics Health Food Options at Truck Stops Image Focus from Industry Groups -Highlights Goodyear Highway Hero Wreaths Across America State Trucking Association Image Programs America s Road Team Share the Road Program Truck Driving Championships Driver of the Year TA-Petro Citizen of the Year

18 TAKE PRIDE IN WHAT YOU DO! I m Only A Truck Driver A Professional Who America Depends On!

19 TRUCKING INDUSTRY Challenges Industry Image Outdated Challenged at every level No unified voice Opportunities Better Understanding of the Trucking Industry Tell our Stories To Put a Human Face to the Industry How Vital Trucking is to Economic Recovery To Unite the Industry CDL Professional Drivers

20

21 Trucking Moves America Forward 21 /

22 WHO IS INVOLVED IN THE GRASSROOTS EFFORT? ACT I/Allied Members (OEM s; Equipment, Technology, Fuel) Motor Carriers Drivers/Dispatch/Workforce State Trucking Associations Industry Associations i.e. ATA, TCA, OOIDA, NITL, Tank Truck, NADA Shippers/Customers Road Dog (Sirius/XM) Trade Press

23 23

24 24

25 Join the Movement! United in our messaging and education; Public Opinion DRIVES Public Policy One in 16 jobs in America are related to trucking; A great career option; Better Understanding of Trucking Advocacy Efforts Local, State & Federal Level Respect & Pride; and It is simply the right thing to do!

26 26

27 THANK YOU 27