Page 10 - ATR 2 2019 digital
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NEWS IN BRIEF



















              AMERICAN TRUCKING
              ASSOCIATIONS REBUTS BUREAU
              OF LABOR STATISTICS’ DENIAL
              THAT THERE IS NO DRIVER
              SHORTAGE
                 When the Bureau of Labor
              Statistics released a working paper
              in March that refuted the trucking
              industry’s claim that it is experiencing
              a driver shortage despite rising wages,
              American Trucking Associations Chief
              Economist Bob Costello criticized the
              paper and its findings.
                 In the Bureau’s piece, “Is the U.S.
              labor market for truck drivers broken?”,    drivers to – motor carriers cannot sim-  job. Not adjusting their conclusions for
              authors Stephen Burks and Kristen   ply hire anyone to do the job, there are   something as important as work-life
              Monaco conclude that, contrary to   many barriers to entry for new drivers:   balance leads the authors to make some
              industry and media statements, the   age requirements, CDL testing stan-  ill-found claims,” Costello says.
              trucking labor market is consistent with   dards, strict drug and alcohol testing
              other blue-collar occupations and while   regimes and, perhaps most importantly   DOL REVIVES OBAMA
              for-hire over-the-road drivers experience   for many fleets, safe and clean driving   ADMINISTRATION’S OVERTIME
              high turnover rates, the labor supply is   records.”                  PAY EXPANSION WITH
              not exceeded by demand.               The trucking industry’s driver   REVISIONS
                 “Unfortunately in their article Mr.   shortage claims are not based on a lack   In March, the U.S. Department of
              Burks and Ms. Monaco demonstrated   of applicants for available positions,   Labor issued a proposal to extend man-
              some basic misunderstandings about   but rather a skills mismatch. Costello   datory overtime pay to 1.3 million more
              the trucking industry generally and how   says that carriers report there are not   workers after an Obama administration
              we at ATA and in the industry discuss   “enough applicants who meet the   rule that would have extended pay for 4
              the driver shortage,” said Costello.  demanding qualifications to be hired. In   million workers was struck down by a
                 In his critique, Costello first notes   some cases, carriers must reject 90% of   federal judge.
              the size and diversity of the industry   applicants out of hand because they fail   The current rule states that work-
              and that within trucking, it is accepted   to meet at least one of the prerequisites   ers who earn less than $23,660 a year
              that the driver shortage is mostly con-  to drive in interstate commerce.”  (a threshold set in 2004) are eligible
              tained to the over-the-road or long-haul   The authors’ claim that the labor   for overtime pay when they work more
              for-hire truckload segment. He also   market for trucking is similar to other   than 40 hours in a week. In May 2016,
              points out the age of the data used is   blue collar jobs fails to consider the   the Labor Department under Pres.
              nearly two decades old.            weight of hardship truck drivers bear in   Obama doubled that maximum sal-
                 “Second, this work ignores ATA’s   comparison to other workers in similar   ary to about $47,000. However, in late
              long-standing contention that at the   fields.                        Nov. 2016, just before the rule was set
              heart of the shortage is the need for   “Unlike their blue collar breth-  to take effect, a federal judge in Texas
              qualified drivers. Unlike other ‘blue   ren, truck drivers are often away from   ruled that the increase was too high
              collar’ jobs the authors compare truck   home for long stretches as part of the                    

        10                                                                           Issue 2 2019  |  ARKANSAS TRUCKING REPORT
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