Truckload turnover rate surges in second quarter

Sept. 19, 2017
Churn picks up at both small and large fleets, according to ATA’s chief economist.

The turnover rate at truckload carriers surged in the second quarter of the year, a sign that the market for drivers is quickly tightening, according to American Trucking Assns. Chief Economist Bob Costello.

“We saw double digit gains in the annualized turnover rate for both small and large truckload fleets,” Costello said. “After a period of relatively low turnover, it appears the driver market is tightening again, which coupled with increased demand for freight movement, could rapidly exacerbate the driver shortage.”

According to ATA’s quarterly report, the turnover rate at large truckload carriers jumped 16 percentage points to 90% – the highest it has been since the final quarter of 2015. The 16-point increase is the largest quarterly jump since the fourth quarter of 2010.

At smaller carriers, fleets with less than $30 million in annual revenue, the turnover rate swelled by 19 percentage points to 85%, the highest it has been since the first quarter of 2016.

The turnover picture at less-than-truckload fleets was more muddled, with over-the-road LTL turnover dipping one point to 9%, but the rate for local LTL drivers was 14%, up two percentage points from the previous quarter and the highest rate in three years.

“We predicted that last year’s period of relatively low and stable turnover could be short-lived if the freight economy recovered from 2016’s freight recession,” Costello said. “It appears those predictions were correct and we may be seeing the beginnings of a significant tightening of the driver market and acceleration of the driver shortage.”

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!

Sponsored Recommendations

Streamline Compliance, Ensure Safety and Maximize Driver's Time

Truck weight isn’t the first thing that comes to mind when considering operational efficiency, hours-of-service regulations, and safety ratings, but it can affect all three.

Improve Safety and Reduce Risk with Data from Route Scores

Route Scores help fleets navigate the risk factors they encounter in the lanes they travel, helping to keep costs down.

Celebrating Your Drivers Can Prove to be Rewarding For Your Business

Learn how to jumpstart your driver retention efforts by celebrating your drivers with a thoughtful, uniform-led benefits program by Red Kap®. Uniforms that offer greater comfort...

Guide To Boosting Technician Efficiency

Learn about the bottom line and team building benefits of increasing the efficiency of your technicians in your repair shop.