If you had to make a list of all the professions that are critically important to the United States economy, truck drivers would undoubtedly be right at the top.
Without truck drivers, there would be no supply chain. Essential goods and other items would be unable to make their way across the country, getting into the hands of the people who need them to make the products that will eventually be passed onto consumers.
But as is true in so many other industries, truck drivers are facing a massive shortage that is poised to get worse before it gets better. According to one recent study, about 87% of companies around the world either already have a skills gap that they’re dealing with, or expect to have one within the next few years.
Truck drivers are no different, creating a situation that we would all do well to take seriously while we still have the chance.
Why is There a Truck Driver Shortage in 2024?
The truck driver shortage as it exists in 2024 is actually a long time coming. In 2005, for example, there were an estimated 20,000 positions across the industry that professionals were unable to fill. By 2018, that number had grown to an enormous 60,800 with no end in sight.
As is true with a lot of different industries, there’s no single reason you can point to to explain the truck driver shortage. To fully understand it, you need to view several issues in the context of not only where the industry was and is, but where it is likely headed over the course of the next decade.
Unsafe Working Conditions and Lifestyle Challenges
One of the major reasons why it’s so difficult to find enough people to address the truck driver shortage has to do with lifestyle challenges. Many younger people in particular are taking an increased interest in their health and physical fitness. It’s difficult to argue with a straight face that sitting behind the wheel of a car for eight hours a day on a heavily restricted diet is the healthiest choice you can make.
Unsafe working conditions are also a topic of discussion around the country. Truck drivers can only be behind that wheel for a certain length of time because it’s literally dangerous for them to exceed it. Also, keep in mind that the weather is making things more dangerous in various places. Increasing temperatures and pressure changes have contributed to storms that are so damaging it is almost unheard of.
Unbalanced Pay Scales
Despite how important truck drivers are and how dangerous their profession actually is, many are dealing with unbalanced pay scales – an issue that is certainly not making things look any more attractive to prospects.
According to one recent study conducted by the Bureau of Labor Statistics, the median pay for a truck driver was $49,920 in 2022. To put that into perspective, that works out to be about $24 per hour. There are a lot of other professions that you could explore, even with a limited educational background, and still make comparable wages to most entry-level truck driving positions in particular pay.
Poor Benefits
Along the same lines, you have to consider the high cost of living associated with constantly being on the road. You’re incredibly limited in terms of where you can purchase food from, often being forced to deal with expensive prices at truck stops.
This can often make it hard for truck drivers to establish any kind of financial safety net. When you’re also operating as an independent contractor in many situations, enjoying any type of benefits at all is a responsibility that falls exclusively to you.
Less Interest From Younger Workers
One of the major factors that is exacerbating the truck driver shortage has to do with reduced interest from younger workers, particularly when it comes to long-haul projects.
It’s one thing to try to get someone interested in a job that will see them driving a large vehicle around for hours at a time every day. It’s another thing entirely to convince them that they should take days or even weeks away from their families, even if you’re able to address the pay discrepancies outlined above.
Because of this, many carriers are working hard to try to make their driver schedules as flexible as possible. Long-haul trucking is just as essential as it ever was, but many providers are trying to get their truckers home as often as possible so that they can raise a family and maintain a healthy work/life balance.
How Does This Shortage Affect Factoring?
If anything, the truck driver shortage makes factoring even more important because labor shortages mean invoices will likely take longer to get paid. This can cause you to not have critical funds when you need them, forcing you to let opportunities for growth and other success pass you by.
How Trucking Companies are Combatting the Trucker Shortage
One of the biggest ways in which trucking companies are combatting the trucker shortage involves increased pay and benefits. This is creating a ripple effect in that not only does better pay attract more drivers, but better benefits also help with retention as well. A higher base pay won’t entirely solve the problem, but it will make sure companies are headed in the right direction.
Enhanced training programs can relieve pressure in other areas, too. Not only does this help reduce the number of unqualified drivers you’re dealing with, but it can also make sure they have the knowledge needed to operate as safely as possible while on the open road.
Technology and automation are also regularly being employed, not to replace human truck driver jobs but to support and empower them. The more a company uses automation, the more often a truck driver can be home with his or her family – precisely the way it should be.
Factoring Made Easy with Advanced Commercial Capital
At Advanced Commercial Capital, we understand how important it is to keep money coming in the door of your trucking company. This is especially true when you’re dealing with supply chain disruptions and other elements like the uncertain economic times we’re all living in.
That’s why we want to make factoring as easy as possible, all so that you can worry less about getting paid and more about attracting the talent you need to run the most successful business you can.
If you’d like to find out more information about how the truck driver shortage impacts factoring and other aspects of the industry, or if you’d just like to talk to someone about your own needs in a bit more detail, please don’t hesitate to contact the Advanced Commercial Capital team today.