In the United States, truck drivers move about 71% of the economy’s products throughout the country. With the American truck driver shortage rising every year, prices are going up and fewer goods are being delivered on time — leading to skyrocketing inflation. This inflation, caused partially by the pandemic and a lack of experienced industry drivers, has also impacted rates for shipping cross-border goods from the U.S. to Canada, which rose by more than 20% during the pandemic.
While the industry struggles to find drivers across all sectors, the longer-haul truckload market has seen the highest shortage. To keep up with these numbers, the trucking industry will need to hire more than 1 million new drivers over the next decade to replace retiring workers and meet industry growth and consumer demand.
The American truck driver shortage affects all areas of supply chain trucking, including product shortages, shipping delays, supplier costs and consumer pricing. Though many experts debate about whether there is a truck driving shortage and what has caused it, there seems to be a common consensus that both attaining and retaining truck drivers is a significant challenge.
Due to the pandemic, there has been a steady shortage of truck drivers in the past few years. The first shortage was documented in 2005. As it steadied after the 2008 recession, it slowly returned in 2011 and skyrocketed in 2017. Since the pandemic, the industry has lost 6% of its workers and expects to surpass a shortage of 160,000 drivers by 2030. Even before the pandemic, the turnover for long-haul drivers was about 94% annually.
The truck driver shortage is the result of many combined issues, such as early retirement and industry growth, that have made it difficult for employers to maintain a steady workforce of truck drivers while meeting consumer demand. There are several other issues that contribute to the truck driver shortage.
The pandemic affected many divisions of the supply chains and amplified challenges in the trucking industry, leading to increased demand, early retirements and closed driving schools. These issues have caused increased strain on drivers trying to keep up with more deliveries and higher road congestion as companies need more trucks to ship the same amount of goods.
With the time, training and money it takes to obtain a Commercial Driver’s License (CDL), many employers are highly selective and want experienced drivers who meet their high standards.
Many workers chose different industries that offer more local positions that don’t require extensive travel, responsibilities and regulatory guidelines. According to the U.S. Department of Labor, construction jobs are a popular alternative to truck driving due to increased pay, improved job markets and less strict hiring standards.
While the annual pay for long-haul truck driving has increased to provide incentives for new drivers, many workers are able to work less, which negates the impact of rising pay rates.
Road congestion and a lack of truck parking spots make it difficult to make deliveries on time. There is also a lack of accommodations and safety for women drivers at truck stops.
The average age of a truck driver is 55 years old, and the average age of new workers entering the truck driving industry is 35 years old, which shows that many young workers are not entering the trucking industry to replace the retiring workforce. Hiring adequate young drivers is one of the biggest challenges because they need a special license (CDL) to qualify in addition to paying for schooling and training and passing physical and health requirements.
The industry also struggles to attract women, who only make up 7% of all drivers. These obstacles knock out a significant portion of the eligible workforce, putting more strain on existing truck drivers who feel forced to retire early.
Long-haul truck driving can be stressful and isolating because some workers are away from their homes and families for one or two weeks at a time. Many drivers prefer occupations that support work-life balance and alleviate job stress.
Despite the truck driver shortage, it’s important for your business to stay efficient and deliver goods on time. Without a resilient logistics operation, keeping your productivity levels high can be challenging. A lack of drivers can also seriously impact your company’s success, especially for cross-border shipments between the United States and Canada.
Because the driver shortage results from a complex mix of issues, there may not be one ultimate solution. Here are a few different practices you — and the industry as a whole — can implement to focus on controllable issues and help reduce shortages and inflation.
Ensuring your shipments make it on time to their destinations across the country and into Canada can be challenging with a driver shortage. With Purolator International, your business can benefit from custom transportation management solutions that provide metrics and tools to refine your shipments and adjust your supply chain.
We have the expertise and resource to help your shipments arrive efficiently and safely. We also take the time to understand your business needs and build solutions that meet your needs. We provide broad coverage, fast transit times and competitive pricing all wrapped in PuroTouch — the highest level of customer service and proactive transportation management in the business.
Contact us today to learn more about our supply chain services.
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