renegadebaileys
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Done and done my friend took care of that as soon as I got it
Yellow | Trucking Companies Raise Wages As Driver Shortage Grows!
- Thread starter Freightmaster1
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It's not a easy comparison, TL rates are based on a per mile rate + the FSC while LTL rates are cwt+
Don't go by the mileage rate you see the brokers advertising on the load boards they start out low and raise the $ amount until someone takes the load, I've seen the same load go from $!.20 to $2.90 in a matter of hours, who knows what the broker actually charged the shipper as he keeps the difference or in some cases works with the shipper for a percentage formula.
- Rates are based on CWT (hundred weight) charges
- · CWT charges are based on rate bases used by the carriers and providers and they follow a declining scale as the weight increases
- · Rate bases are based on zip to zip rates and the class of the freight
- · Classes are from 50 to 500 with 50 being the least expensive
- · Classes are based on an NMFC #'s that refer to the properties of the commodity
- · Classes are based on density, value of freight, packaging and damage susceptibility
- · Charges are also contingent on lane minimums and AMC's (absolute minimum charges)
- · Discounts are applied to the CWT charges and the lane minimums but not to the AMC's
- · A fuel surcharge and charges for special services are added to the bill
- · Examples of special services are residential delivery or pickup, inside delivery or pickup, lift gate delivery or pickup, construction site delivery or pickup, sort and segregate etc…
Don't go by the mileage rate you see the brokers advertising on the load boards they start out low and raise the $ amount until someone takes the load, I've seen the same load go from $!.20 to $2.90 in a matter of hours, who knows what the broker actually charged the shipper as he keeps the difference or in some cases works with the shipper for a percentage formula.
renegadebaileys
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Ya but unless you have access to internal business numbers the only thing we can go off of is what the boards say the average freight rate for a particular lane is and yes I know rates are lane and weight specific along with stuff like hazmat so for this argument let's take a basic lane for both an ltl and a TL something that we use PTS for instead of running our own people and since they are hauling LTL freight it should be comparable remember our companies charge the customers the same price whether we haul the freight to do it or we get a PTS to haul it
$1.50 a mile you will be bankrupt real fast. Last I knew YRC said it cost 2.45 a mile to pay the driver and expenses on the truck, and that was probably 5 years ago. Why would YRCF even mess with PTS if they were not going to save a lot of money. Heck of a lot more than 4 cents per mile.
PTS moves a trailer from A to B and that's it. They have no other costs to them in picking up the freight or delivering it. So if you think YRC figures rates different just to use PTS, I have a set of bridges I can sell you.
renegadebaileys
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Remember the only thing that changes the expense of the truck is the pay and benefits to the driver fuel cost the same and truck maintenance costs are very close to the same if not more to the PTS due to the quality of drivers they hire so with that being said the pay difference between the 2 drivers is only about .30 cpm and we will give the TL another .20 cpm for benefits that is only a savings of .50 cpm there is no way that the TLs are going to leave a $1.50/m sitting on the table so if it costs you $2.45/m to get your freight down the road the TL is still charging in the neighborhood of $2/m plus since spot market is up over $2.30/m nation wide last I heard I serious doubt anyone is hauling ltl for less then $2/m contract or not and that isn't even adding in a fuel surcharge
renegadebaileys
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I never said they use different rates from the customer they charge the customer x whether it is 1 of their drivers moving the freight or a PTS driver moving it that is why the companies want to use them because it helps the bottom line numbers.
And I might consider your bridges depending on where they are and whether I can charge tolls on them :)
And I might consider your bridges depending on where they are and whether I can charge tolls on them :)
I-94 and Sibley. They make you more on tolls than driving a truck !!!!
renegadebaileys
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Lol I bet they do that is a very expensive road to begin with unless my geography is off
I didn't forget you Brother. I have been trying all week to get the savings per mile #. My Stewards say they have asked and the Company skirts the question. I won't give up, I'm determined, stay tuned.
Wrench your correct. I was beginning to think that. I don't think they know. I have one more Manager in mind, if he can't or won't disclose the #, well I guess we will forever have to speculate.
renegadebaileys
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We could always cold call 1 of the PTS companies and pretend we are from our respective companies that might work
Freightmaster1
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Get in touch with Moderator Kennesaw KId. He can ask Hoffa or have a fellow Local 728 member ask Hoffa when he's in Atlanta Local 728 on Saturday, October 11, 2014!
Fm1; I think the savings per mile by PTS should be made available to our members at all YRCW Companies. It's not the same situation for our Brother's and Sister's at UPSF, they are not in any concession situation.
I welcome my co-workers input on this, as I may be totally unjustified in thinking we are owed an answer.
If your average PTS driver is making say 35-40 cents per mile, paying for most of his crappy health insurance, and the company is maybe kicking 2 percent to his 401, I would bet YRCF is saving around a dollar a mile in LH costs. And now with all the publicity the industry political experts are throwing out there about how slow the rails are from the west coast to the Midwest , you may see them try and shift more to PTS from the train claiming service issues. Just sayin.
Some of those flipflops they wear are on the high end side.
I doubt anyone at the local terminal level knows, or will devulge any of this info. Basically it is cheap line haul supplementing our so called driver shortage!!!!
Starkravinloon
Hero's Falling At Home
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I'm thinking it's not much over .89 per mile if that.. I think that's what Estes is paying them.... But the fortunate thing is, the company pays nothing for insurance, health or cargo, so it makes sense for them...
renegadebaileys
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No but in most cases the TL company still does pay health and retirement benefits of some type so I still think that the huge savings is not as huge as we have been lead to believe they are. Truth about trucking is no one is going to drastically under cut the other because to do so means certain death to the company.