Driver turnover rose sharply in last year’s fourth quarter as carriers boosted payrolls, indicating stronger economic recovery, American Trucking Associations said Thursday.
Turnover at large truckload fleets rose to an annual rate of 69%, the highest since the second quarter of 2008, following a 49% third-quarter rate and a record low 39% in the first quarter of last year, ATA said.
Small truckload fleets’ turnover rose to 49%, compared with 44% in the third quarter and a record low 35% rate in the 2010 fourth quarter.
Less-than-truckload carriers’ turnover remained “exceptionally low” at 6%, ATA said.
ATA Chief Economist Bob Costello said increased hiring, coupled with rising turnover, indicated that fleets are responding to signs of the growing economic recovery.
“Fleets are clearly hiring more drivers as demand for freight hauling increases,” Costello said. “In addition, while part of the turnover can be attributed to regulatory changes, we believe the bulk of this churn is due to increased demand for drivers.”
“As the recovery strengthens, we’re likely to see demand for drivers and trucking services continue to increase, with that demand manifesting itself in rising turnover rates and ultimately, once again, a shortage of truck drivers,” he added.
Small truckload companies boosted driver employment by 0.8%, while large truckload carriers boosted total employment by 0.3%, adding linehaul drivers but trimming back local driver pools.
Truckload fleets also increased their dispatch workforce by 3.1%, but cut overall administrative staff by 2.1%, ATA said.
