The 'driver shortage' is dead? And: Inside the broker-carrier scrum at last week's summit

Overdrive Radio

"The driver shortage is dead, long live the driver shortage." That’s sort of the message you might get digging into a recent truck driver compensation study and the "driver shortage" narrative’s longest proponent’s response to it. That compensation study was conducted by the National Academies of Sciences, Engineering and Medicine at the request of FMCSA. FMCSA itself was tasked to commission the study by Congress in the 2021 Infrastrucutre Investment and Jobs Act, the early Biden-era highway infrastructure legislation. The report examined truck driver compensation and compensation methods and their impacts on retention and safety, and along the way called the American Trucking Associations’ and others’ long-posited notion of a driver shortage "spurious." Fundamental labor economics principles cast doubt on what the ATA has long held out as persistent shortages, as reported Friday by Overdrive News Editor Matt Cole: https://www.overdriveonline.com/regulations/article/15706801/does-trucking-have-a-driver-shortage ATA, though, dug in its heels in response, noting in Cole's reporting that the NAS study report's authors “fail to account for several important points and distinctions that are critical to understanding the market for professional truck drivers.” Of course, plenty others around trucking, including Overdrive's own reporting back in early 2016, have cast doubts around persistent shortages similar to those in the National Academies' study. The Owner-Operator Independent Drivers Association in particular has long-pointed to high turnover rates in truckload as a kind of bellwether statistic that belied any existence of a true "shortage." Today on the podcast, Cole’s conversation about the conclusions with OOIDA President Todd Spencer, who reiterated the association’s long-held view about persistent driver shortages now underscored. On the driver-retention front, Spencer felt putting real value on a driver’s time, furthermore, could well be the single biggest improvement truckload carriers could make to build a base of longer-tenured pros over-the-road where delay at shipper or receiver docks or via an on-highway emergency "certainly isn't predictable," he said. "You can't plan for it and again the common thread with detention time is that the prevailing rate for that is zero" dollars. Our own Executive Editor Alex Lockie, too, joins the podcast to break down last week's Broker-Carrier Summit conference in Texas, where fraud prevention in brokered-freight markets was front and center. Also, too, plenty subjects that played directly to carriers in attendance, offering insights into opportunities that just don’t exist for brokers, as it were. As Lockie quipped, "Carriers ... had this lab on how to land direct feright, which is essentially how to cut brokers out of your life. Of course, you could not have a panel on how brokers could cut out carriers." More of Lockie's dry sense of humor here, likewise a highlight moment near the end of a fraud-prevention panel discussion with with Anchor Reliable Transport’s Brian Woodring. As mentioned in the podcast: **Owner-operator Ilya Denisenko's thoughts on value in the BCS event: https://www.overdriveonline.com/overdrive-radio/podcast/15684505/sweetness-of-low-price-v-the-sour-of-bad-service **Lockie's reporting on changes to Carrier411's FreightGuard system: https://www.overdriveonline.com/business/article/15705912/carrier411-makes-big-changes-to-its-freightguard-carrier-reports **Email contact for the Truckstop load board's look into potentially building a broker-vetting service for carriers: [e-mail]