Fleets Poised to Raise Driver Pay and Boost and Investments

Trucking is strong, particularly when you look at ACT’s For-Hire Trucking Index.  It shows that fleet equipment purchase intentions are strong and  that many fleet have increased driver pay and others plan to follow suit.

“February’s index reading suggests that equipment demand continues to have long legs, with 62% of responding fleets planning equipment investments in the next three months, up from 58% in January,” noted Kenny Vieth, ACT Research’s President and Senior Analyst. He continued, “Additionally, February marked the 10th consecutive month in which the supply-demand balance reading was 60 or above. The unprecedented strength in this metric clearly indicates pricing power rests with truckers in 2018 contract negotiations and the data provide further support for large increases in truckload contract rates.”

As part of this month’s survey, ACT Research queried fleets about their drivers’ pay in the past and coming three months. Vieth explained, “It was a near unanimous response from our fleet panel that they have or plan to increase driver pay. Many respondents expressed concern about the industry’s practice of sign-on bonuses as a way of attracting new drivers.”

 

Category: General Update, News