Driver pay in Q2 dipped, here's why

Insiders: New Q2 driver pay data is in, and it’s not promising — pay has dropped, likely due to slower freight demand. However, there’s a bright spot: the industry is now emphasizing driver retention.

Today's Lineup
🔷 Pre-owned Class 8 truck prices are on the rise.
🔷 Latest tonnage numbers continue to stagnate and drop.
🔷 California truckers are frustrated with the lack of EV incentives.
🔷 Texas is set to make a significant investment in its roadways.
🔷 New bill would significantly simplify process to earn credentials.
-Bianca Prieto, editor

Driver pay takes a dive in Q2 2024

Trucking professionals saw a notable decline due to reduced freight demand in the year's second quarter. The Driver Pay Trend Tracker Report revealed that company drivers' average weekly earnings fell by 7.4%, while owner-operator pay dropped by 2.2%.

What's behind the drop? The decreases stem from a lack of freight, particularly affecting starting pay, as carriers attempt to balance costs without reducing the wages of existing drivers. This trend is expected to persist until freight demand rebounds.

Is it all doom and gloom? Leased purchase transportation did experience a 1.9% increase in average weekly pay. Despite that, companies seem to be focusing on retention over recruitment currently. Experts also suggest carriers are avoiding cuts to per-mile or per-hour wages, with most of the reductions occurring due to decreased operations.

Why this matters: As freight demand slows, drivers face reduced earnings due to fewer miles and hours worked. 

Read more on Transport Topics.

• TONNAGE TANKING?: Data reveals continued decreases, stagnation.
• INCENTIVE INCENSED: CA truckers want more EV incentives.
• BETTER CREDS: Bill would streamline credential process for drivers.
• U UP?: Michigan State Police can now send messages to your ELD.

Safety Board calls for increased requirements for ELDs

The NTSB has urged the FMCSA to strengthen ELD requirements after a fatal crash killed three people on I-64 in Virginia in December 2022. The crash was attributed to truck driver fatigue, caused by excessive driving hours and manipulated driver logs. Triton Logistics, the company involved, allowed drivers to bypass federal Hours of Service (HOS) regulations by creating fake driver accounts.

Why this matters: The manipulation of ELD systems not only endangers lives but also undermines the integrity of the entire industry. (FreightWaves)

Texas allocates billions for transportation improvements 

The Lone Star State has announced a record $148 billion investment in its transportation infrastructure, aiming to improve safety, reduce congestion, and enhance connectivity statewide. The goal is to maintain Texas' status as a top business destination by ensuring efficient transportation.

Why this matters: Enhanced road safety and congestion relief mean less time stuck in traffic and fewer delays in deliveries (Transportation Today)

Used Class 8 truck prices trend upward

In July, the average retail sale price for used Class 8 trucks increased by 2.3% month-over-month, reaching $55,800, according to ACT Research. Although this marks progress, prices were still 14% lower than the previous year and are expected to remain stable at this reduced level for the rest of 2024.

Why this matters: Purchasing pre-owned versus higher-priced new models could offer increased operational efficiency and cost control for fleets. (The Trucker)

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