Why is it that the companies that we are leased on to don’t get that while there cost of operations goes up so does ours, but yet they want to keep us locked into a contract that was made 5 years ago. My profit margin keeps going down. If this were there business they would get an increase and I’m sure they have. Why is it as a leased O/O we have settled on making less and less. According to statistics 90% of all trucks running our roads are small fleet or single truck owners. It seems to be the age-old problem of no one can stick together. Just putting food out for thought.
Give me Water I have no Bread
- Thread starter babs3361
- Start date
buckeyewildman
Seasoned Expediter
i agree we must start sticking together easier said then done of course maybe i have opened my mouth to much already my revenue is down abt. 5000.00 for year close to 2000.00 for month of may alone plus my profit margin is about half what it was last year
Tennesseahawk
Veteran Expediter
Like I said in another post... if we demand a rate increase, others will do it for less and less. There are too many morons out there thinking as long as something's on their truck they're making money. Some of the problem is the OTR o/os used to making .85/mi and coming over thinking 1.15 is a gold mine.
-Vampire Super Slooth Trucker!!!
-Vampire Super Slooth Trucker!!!
nightcreacher
Veteran Expediter
I know I'm in a tractor,and our competition is a little different,but even with FECC revised fsc,my income for this year is heads up over last year,and my net income is too,but I have changed my driving practices,our fsc is based on 6 mpg,I'm getting 7.5,practically no idle time,and running mostly 5 under the speed limit,if I get a ticket it will be for driving to slow.
As far as getting the companies to change their rates,the competition for the same loads dictates price quotes,The guy paying the bill is going after the cheapest truck,if where you work,is that company,then you will be busy,but your net income will suffer,unless you do something to make yourself more profitable.
As far as getting the companies to change their rates,the competition for the same loads dictates price quotes,The guy paying the bill is going after the cheapest truck,if where you work,is that company,then you will be busy,but your net income will suffer,unless you do something to make yourself more profitable.
xtremely good advice, there night. It certainly is what it is. They can't continue to get raises because of their inefectiveness of being able to be profitable. It is just a bad deal you know. Gotta idle, can't find a tree, love em truckstops, gotta run hard so's I can take a break, need to DH home for sumpin. I guess it's time to go back to work'in for a car company and the UAW. Or, someone else that I think owes me a liv'in.
Tennesseahawk
Veteran Expediter
Col... forgot to ask you before. What kind of tree do you carry in your box? 
BTW... did you see the FL cabover with a 26' curtainside in truckpaper? Sharp looking truck for a 94. Looks more like a newer Argosy.
-Vampire Super Slooth Trucker!!!
BTW... did you see the FL cabover with a 26' curtainside in truckpaper? Sharp looking truck for a 94. Looks more like a newer Argosy.-Vampire Super Slooth Trucker!!!
The cost of fuel is not the problem (because of the FSC)it is the cost of everything else. Food, Oil, Repairs, Labor, Paying to Park, Cell Phones. Then there is your household stuff like Utilities, groceries, Lawn care, everything go up but yet we are in an industriy where we have constantly had our rates squeezed. In 1980 thru 1989 I made a 1.00 a mile for all miles. Cost of operation was a lot less then it is today. Phil I don't want a chicken to fly into my mouth the feathers taste terrible and we already have enough crap shoved down our throat from the FMCSA & the EPA. Just would like to see the gap close alittle between the rich and the middle income of this country. I don't want to live like a third world country and I certaintly don't want that for my children and grand children. I just want to maintain what I have.
nightcreacher
Veteran Expediter
phil,guess i'm the only one that got it. lol,besides my friends know I just do big steaks,cows dont fly
nightcreacher
Veteran Expediter
yes,in years past,cost of doing business was less,cost of living was less.but there is a thing called inflation,with the costs going up in trucking,I certainly hope your making more than 1.00 mile for all miles,or your just kidding yourself that your making it.you know slowing down doesnt just save fuel,tires last longer,oil changes go longer,everything that pertains to the truck,lasts longer,except that payment,but then, that truck might just last a little longer,then you might go without a payment for a short time.Pay for parking?I can't remember the last time i paid for parking,the waitresses will be more than glad to give you 25 dollars of receipts,that will get you out of any parking lot.I dont know about you,but my cell phones are a business expense,as are my computers,just like my truck,even my xm radio is an expense.and while we are talking parking,Idle aire,lol,most of the companies are getting a discount,but its still 1.85/hour,for 24 hours,it's cheaper to stay in a motel,just apply for that corporate lodging card,I stay in the Ramada Inn in Memephis,2 of us with 2 beds is just 28 bucks a night,including taxes,in all thats cheaper than staying in the truck.Ok off my soap box,happy motoring
And how do you know I havn't changed things thru the years. Have a Generator have had it for 4 years, Have been driving 65 in the 70 states, I do have a oil filtration on the truck, Have a turbo 3000, have centramatics, kept old truck and had it rebuilt, You are just missing it altogether how long before we are squeezed out. When you do cut all of your expenses and there it nothing left to cut then what? I not say i'm there but it has cut into my profit. So I didn't just buy a truck and wait for whatever to be handed to me. I am always proactive and I always know what my Cost of operation is. Insurance is up, and we are insuranced to death, Bob tail, Libilty, auto, work disabilty, Health, so maybe I'm proactive enough to see the writing on the wall and know something has to be done. I also know I will be 1 of the last ones standing. That doesn't mean I have to like what I see is happening, and something has to give.
Tennesseahawk
Veteran Expediter
Babs, you hit it! Everyone can cut their costs only so far. Baloney sandwiches everyday only saves so much. You can tweek your truck all you want, but there's a point where it stops raising your MPG and just takes money out of your wallet. Surcharge doesn't help when you have to dh from the west coast. It doesn't help that overall the dh is getting higher as well as the milage skimming. I've started following their "most direct" routes, and eventually it'll cause us to be late. Who's fault will that be? Ours, of course. But when they won't drop our rates anymore, companies take money off the top. Not paying for this 300 mile dh to a run, not paying for this layover or that couple hours of detention, paying $260 for moving 14,000# of freight by hand.
Every company has their own thing. Tri-state has their "You turned down a run, you're off the board for 8 hours."; and Panther's "5th out on the 1st out board"; and ASAP's "no-forced dispatch, but don't turn one down."; and a certain small Detroit company's big boss man telling contractors "FU" and "take the F-ing run". Bottom line is companies don't care about your bottom line. You are expected to put their profitability above yours. Sometimes that makes you win, but more often than not we struggle trying to make a profit. It FORCES us to become more of a BUSINESS person than just a contractor. And if you can't make that transition, you're another expediting casualty.
If you go out and buy a new truck, then expect a company to hold your hand to profitability, expect a company to give you preferential treatment, expect a company to keep their promises, expect dispatch to care, then expect to go bankrupt. You can make it work, but it's a BUSINESS. Take care of your BUSINESS and do some homework before signing with someone to do their work.
-Vampire Super Slooth Trucker!!!
Every company has their own thing. Tri-state has their "You turned down a run, you're off the board for 8 hours."; and Panther's "5th out on the 1st out board"; and ASAP's "no-forced dispatch, but don't turn one down."; and a certain small Detroit company's big boss man telling contractors "FU" and "take the F-ing run". Bottom line is companies don't care about your bottom line. You are expected to put their profitability above yours. Sometimes that makes you win, but more often than not we struggle trying to make a profit. It FORCES us to become more of a BUSINESS person than just a contractor. And if you can't make that transition, you're another expediting casualty.
If you go out and buy a new truck, then expect a company to hold your hand to profitability, expect a company to give you preferential treatment, expect a company to keep their promises, expect dispatch to care, then expect to go bankrupt. You can make it work, but it's a BUSINESS. Take care of your BUSINESS and do some homework before signing with someone to do their work.
-Vampire Super Slooth Trucker!!!
Quote from babs3361...
Just would like to see the gap close alittle between the rich and the middle income of this country.
Sorry, but that gap is going to open wider and wider until the middle income class is gone. There will only be two classes...
The rich and the working class.
Over the last 10-years we have seen other
services and industries go bust...
It begins with a small downturn causing fewer raises/benefits.
Then, as the downward momentum increases, we hear of
the closing of the satellite offices and reduction of the workforce.
Outsourcing, immigrant labor, offshore relocations begin moving faster and faster.
Finally, it's over... complete shutdown with mass unemployment
of the once productive employees.
Well folks, now it's our turn... (transportation)
Fewer loads, lower rates and a flood of foreign trucks/drivers.
(along with a tsunami of illegals sweeping into the country)
We are just feeling/witnessing what tens of thousands
of other employees have experienced in their lives.
Do you think this just happened...??? That it's not planned..???
That loose border control for 30+ years was an accident..???
NAFTA just happened..????
The trans-USA highway plan just fell from the sky overnight...???
And it's going to get much worse before it's over.
But there is hope....
Look beyond the symptoms
(economy, weather, wars, politics, injustice, distruction, seemingly unbridled evil...)
and consider the cause...
It was foretold and it's now happening..
There is still time to seek the SAVIOR, JESUS CHRIST.
(not religion but a personal, life-changing relationship with the LORD)
Wise Men still seek HIM...
Just would like to see the gap close alittle between the rich and the middle income of this country.
Sorry, but that gap is going to open wider and wider until the middle income class is gone. There will only be two classes...
The rich and the working class.
Over the last 10-years we have seen other
services and industries go bust...
It begins with a small downturn causing fewer raises/benefits.
Then, as the downward momentum increases, we hear of
the closing of the satellite offices and reduction of the workforce.
Outsourcing, immigrant labor, offshore relocations begin moving faster and faster.
Finally, it's over... complete shutdown with mass unemployment
of the once productive employees.
Well folks, now it's our turn... (transportation)
Fewer loads, lower rates and a flood of foreign trucks/drivers.
(along with a tsunami of illegals sweeping into the country)
We are just feeling/witnessing what tens of thousands
of other employees have experienced in their lives.
Do you think this just happened...??? That it's not planned..???
That loose border control for 30+ years was an accident..???
NAFTA just happened..????
The trans-USA highway plan just fell from the sky overnight...???
And it's going to get much worse before it's over.
But there is hope....
Look beyond the symptoms
(economy, weather, wars, politics, injustice, distruction, seemingly unbridled evil...)
and consider the cause...
It was foretold and it's now happening..
There is still time to seek the SAVIOR, JESUS CHRIST.
(not religion but a personal, life-changing relationship with the LORD)
Wise Men still seek HIM...
Not to belittle your faith, Firegears, or your suggestion, but "a life changing personal relationship" with a Deity can't pay the bills. It may make one feel less stressed over bankruptcy, foreclosure, repossessions, homelessness, and abject poverty, but those are the things we'd like to avoid, rather than accept with grace.
All the explanations and rationales don't explain why the owners & drivers are the ONLY ones whose income doesn't ever get adjusted upwards for the increased costs of living. Are the carriers profit margins shrinking? Has executive & salaried employees' compensation been declining, or remaining stagnant? Is everyone in the transportation industry taking a hit, or just the owners & operators?
All the explanations and rationales don't explain why the owners & drivers are the ONLY ones whose income doesn't ever get adjusted upwards for the increased costs of living. Are the carriers profit margins shrinking? Has executive & salaried employees' compensation been declining, or remaining stagnant? Is everyone in the transportation industry taking a hit, or just the owners & operators?
Quote by cheri1122...
Not to belittle your faith, Firegears, or your suggestion, but "a life changing personal relationship" with a Deity can't pay the bills. It may make one feel less stressed over bankruptcy, foreclosure, repossessions, homelessness, and abject poverty, but those are the things we'd like to avoid, rather than accept with grace.
A couple of replies to your quote and then back to the "transportation industry"..."
... A "life changing personal relationship" (not religion) with the Deity makes the eternal payment on a bill we could never pay ourselves
... I never advocated we should just sit by and "accept by grace" what is happening.
I'll work (at many levels) for a better life until my last day.
My goal was to encourage a view of the reality of what is happening and where this reality is heading. There are thousands of employees of other USA industries who have seen this reality hit their careers. They, in fact, now face bankruptcy, foreclosure, repossessions, homelessness, and abject poverty.
It's more than just the SYMPTOMS of low rates, fewer loads, who is getting their income cut, etc...
As drivers we often have a narrow view of the landscape as we focus upon avoiding the hazards which are in our immediate future. Again, my goal was to raise the level of consideration of what is happening beyond our personal interests.
And yes, this includes both a temporal and eternal view of reality.
Wise Men (and Women) still seek HIM.
Not to belittle your faith, Firegears, or your suggestion, but "a life changing personal relationship" with a Deity can't pay the bills. It may make one feel less stressed over bankruptcy, foreclosure, repossessions, homelessness, and abject poverty, but those are the things we'd like to avoid, rather than accept with grace.
A couple of replies to your quote and then back to the "transportation industry"..."
... A "life changing personal relationship" (not religion) with the Deity makes the eternal payment on a bill we could never pay ourselves
... I never advocated we should just sit by and "accept by grace" what is happening.
I'll work (at many levels) for a better life until my last day.
My goal was to encourage a view of the reality of what is happening and where this reality is heading. There are thousands of employees of other USA industries who have seen this reality hit their careers. They, in fact, now face bankruptcy, foreclosure, repossessions, homelessness, and abject poverty.
It's more than just the SYMPTOMS of low rates, fewer loads, who is getting their income cut, etc...
As drivers we often have a narrow view of the landscape as we focus upon avoiding the hazards which are in our immediate future. Again, my goal was to raise the level of consideration of what is happening beyond our personal interests.
And yes, this includes both a temporal and eternal view of reality.
Wise Men (and Women) still seek HIM.
Insights into one symptom of reality...
Don't get depressed...
... just add it to your considerations for the future..
Just reported on the Drudge Report....
http://www.drudgereport.com
Economic Growth Skids to a Near Halt in First Quarter in Worst Showing in Four Years
http://biz.yahoo.com/ap/070531/economy.html?.v=3
http://www.reuters.com/articlePrint?articleId=USN2934113020070531
Don't get depressed...
... just add it to your considerations for the future..
Just reported on the Drudge Report....
http://www.drudgereport.com
Economic Growth Skids to a Near Halt in First Quarter in Worst Showing in Four Years
http://biz.yahoo.com/ap/070531/economy.html?.v=3
http://www.reuters.com/articlePrint?articleId=USN2934113020070531
No. I hear ya babs. The so and so i drive for in detroit, (also an F-u take the load guy.....i wonder if it's the same guy tennessee mentioned?),anyway, four years ago...$1.30 per mile....last year however, under the same contract mind you, he makes the declaration that he must reduce our rates to $1.20 per mile to remain competitive. Tri-state now moves hospital beds for $1.10 or $1.20 per mile....same beds we moved at landstar for $1.65 per mile. I don't think these companies realize in there quests to become the "it" company that they are effectively eating thier own! Maybe they do realize it. Maybe they figure it does'nt matter,they still make money on the volume. I don't know, but it sucks to know that 6 years ago i worked for a mom and pop that paid $1.40 per mile when fuel was $1.26 or so......course they were big guyed out of buisness.
My goal was to encourage a view of the reality of what is happening and where this reality is heading. There are thousands of employees of other USA industries who have seen this reality hit their careers. They, in fact, now face bankruptcy, foreclosure, repossessions, homelessness, and abject poverty.
=====================================================
The reality is only based on ones personal choices. Circumstances that may be health related and the like, may be reasons that send some into these situations. "Bad things do happen to good people".
It is what they do afterwards that makes the difference. My personal belief is God gives one the abilities, and it is what we do with it later that determines a level of success. I don't see religion playing much of a part after that. If things change, one must change accordingly, or expect the expected.
If one is faced with bankruptcy, forclosures, or reposessions, I would wonder why they made a purchase on something they didn't have money for in the first place? Again......a personal choice. Amazing how the simple is often overlooked.
Davekc
owner
22 years
PantherII
EO moderator
=====================================================
The reality is only based on ones personal choices. Circumstances that may be health related and the like, may be reasons that send some into these situations. "Bad things do happen to good people".
It is what they do afterwards that makes the difference. My personal belief is God gives one the abilities, and it is what we do with it later that determines a level of success. I don't see religion playing much of a part after that. If things change, one must change accordingly, or expect the expected.
If one is faced with bankruptcy, forclosures, or reposessions, I would wonder why they made a purchase on something they didn't have money for in the first place? Again......a personal choice. Amazing how the simple is often overlooked.
Davekc
owner
22 years
PantherII
EO moderator