The global trucking industry has experienced a steady rise in driver wages post-pandemic, despite ongoing challenges related to freight rates and tonnage. The latest Driver Compensation Study from the American Trucking Associations (ATA) provides critical insights into these trends, echoing findings from CCJ’s “What Drivers Want” survey conducted in collaboration with Lytx.
Key Findings on Truck Driver Compensation
Over 50% of survey respondents expect their earnings in 2024 to match or surpass those of 2023. Specifically, 39% anticipate stable earnings, while 22% foresee an increase compared to last year. These statistics highlight the resilience of driver compensation trends, even in fluctuating freight markets.
Bob Costello, ATA’s Chief Economist, remarked, “While our last study, conducted in 2021, illustrated how drivers benefitted from the strongest freight environment in a generation, this latest report shows professional drivers’ earnings are still rising — even in a weaker freight economy.”
Shift in Trucking Industry Priorities: Retention Over Recruitment
In 2023, trucking carriers redirected their focus from recruitment efforts to retention strategies. This shift involved reducing sign-on bonuses and referral incentives for new drivers while enhancing tenure bonuses for existing drivers.
“By offering greater tenure bonuses to their current driver force, many fleets appear to be shifting their workforce priorities from recruitment to retention,” Costello noted.
Truck Driver Salary Insights: ATA Study Highlights
- Truckload Drivers: The median income for truckload drivers in 2023 was $76,420, representing a 10% increase over two years.
- Linehaul LTL Drivers: These drivers earned a median salary of $94,525 annually.
- Local LTL Drivers: Local LTL drivers reported an annual median income of $80,680.
- Private Carriers: Driver compensation saw a 12% increase since 2021, reaching a median of $95,114 in 2023.
- Leased Independent Contractors: These contractors reported a median pay of $186,016.
Driver Earnings Outlook for 2024
Among CCJ survey respondents, 35% who anticipate higher earnings this year attribute this to driving more miles or hauling additional loads. Another 27% cite pay increases from their carriers, with some experiencing a per-mile rate hike (27%) or receiving guaranteed payouts or bonuses (22%). Notably, 50% of leased owner-operators foresee higher earnings due to increased miles driven, while 46% report better load rates.
Industry Shift Toward Higher Pay for Experienced Drivers
The National Transportation Institute’s data indicates that trucking fleets prioritized significant pay raises for seasoned drivers in the past year, departing from the previous trend of using financial bonuses mainly to attract new drivers.
Source: Commercial Carrier Journal