(Un)common Compensation: New Trends in Driver Pay

Reggie Dupré, CEO, Dupré LogisticsLaurel Leitner, Research Assistant, ATA

Rodney Rader, Director of Technology, Prime Inc.

ATA Driver Compensation Study2014

ATA Economics Department

Purpose and Procedure

• Provide solid, reliable information on one of the industry’s largest expenses—driver pay

• Data collected mid-April through early August

• Annual compensation numbers from 2013

• Responses aggregated by carrier classification then trailer type

• Benchmarking data on pay rates, bonuses, and benefits

Participants

• 125+ fleets, including

• Private Fleets

• For-Hire Truckload (TL)

• For-Hire Less-than-Truckload (LTL)

• Drayage Carriers

• 119,000+ employee drivers

• 16,000+ independent contractors

Median Employee Driver Age

Private TL LTL Drayage44

45

46

47

48

49

50

51

52

53

Year

s

Annual Employee Driver Compensation2013 Median Pay Including Incentives and Bonuses

Private: Van Only

Private: Non-Van

LTL OTR

Refrigerated

Tank Truck OTR

LTL Local P&D

Van Dedicated

Flatbed

TL National Irregular Route Van

$40,000 $45,000 $50,000 $55,000 $60,000 $65,000 $70,000 $75,000

*Solo Drivers Only

Carriers Utilize Multiple Base Pay Packages

24%

43%

20%

13%

1%

76% of companies pay employee drivers two or more ways

One Type of Base Pay

Two Types of Base Pay

Three Types of Base Pay

Four Types of Base Pay

Five Types of Base Pay

Tank Truck (OTR)

Base Pay Rates – 1 Year Experience & Max Pay

Pay Distribution§

Pay Amount◊

Mean Median

1 Year Experie

nce

Per Mile 52% $0.424 $0.431

Percent of Revenue 23% 25.4% 24.0%

Per Hour 23% $18.02 $18.00

Fixed Salary 3% - -

Other 0% - -

Max Pay

Per Mile 50% $0.444 $0.450

Percent of Revenue 24% 27.0% 26.0%

Per Hour 24% $19.15 $18.00

Fixed Salary 3% - -

Other 0% - -§ Not mutually exclusive◊ Some categories do not have sufficient data to report mean and median pay

Source: ATA’s 2014 Driver Compensation Study

Carriers Offer Many Bonuses, Incentives and Other PayThree Most Common by Carrier Type

Detention Time

Safety Bonus

Multi-Stop Pay

0%

20%

40%

60%

80%

100% Tank Truck OTR

Multi-Stop Pay

Detention Time

Safety Bonus

0%

20%

40%

60%

80%

100%TL Refrigerated

Multi-Stop Pay

Detention Time

Safety Bonus

0%

20%

40%

60%

80%

100%TL National Irregular Route Van

All Data Includes Employee Drivers Only

Detention Time

Multi-Stop Pay

Shorter LOH Pay

0%

20%

40%

60%

80%

100%TL Flatbed

Carriers Offer Many Benefits to Employee DriversPercent offering the benefit

Paid Hol-idays

Paid Time Off

Life Ins Health Ins Retirement Plan

0%

20%

40%

60%

80%

100%Private Fleets

Paid Hol-idays

Paid Time Off

Life Ins Health Ins Retirement Plan

0%

20%

40%

60%

80%

100%Total Truckload

Paid Hol-idays

Paid Time Off

Life Ins Health Ins Retirement Plan

0%

20%

40%

60%

80%

100%Less-than-Truckload

ATA’s 2014 Driver Compensation Study

• Comprehensive benchmarking data– Employee Driver Benefits– Base Pay– Bonuses and Incentives

• Private Fleets, For-Hire TL, LTL, Drayage• Soon available for pre-order at

www.ATABusinessSolutions.com