Truck driving is a huge and complicated business. It’s certainly not for everyone. But if you want to remain in the industry and be competitive, you have to address X of the rising truck driving challenges:
Cost of Diesel
Although salary and repairs make up a huge chunk of the annual expenses of trucking companies, the biggest spending goes to diesel. It can cost businesses as much as $70,000 a year. It doesn’t help that the price of diesel is soaring. As of May 2017, the average price per gallon of diesel is $2.56. Of the amount you pay, 45 percent goes to crude oil while 21 percent is for distribution and marketing. About 20 percent is for taxes.
Trucking businesses cannot control the price of diesel. Many factors affect it such as the supply, demand, and its cost in the global market. What you can do is to cut back on expenses. One of these is by claiming your mileage expense as tax-deductible.
Truck drivers in the United States can already earn $70,000 a year, and it continues to increase. The industry is also robust with about 3.5 million members, said American Trucking Association. But that’s number isn’t enough. In fact, the country needs to fill no less than 45,000 jobs. It may also increase to around 175,000 by 2024.
The country has a truck driver shortage, and this happens for a lot of reasons. One, truck drivers are getting older and are therefore more likely to retire soon. Many are not suitable for the job.
Filling in the vacancy is tough but not impossible. These days, companies like Centerline Drivers can already provide you with professional driver staffing. These drivers already hold commercial driver’s license so they can work right away.
Challenges in the trucking industry may be many, but they do have solutions. Explore them today.