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S. 2910, The TRUCC Act
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Tony Sifford Likes This Energy Bill
Yeah, I had never heard of him either, but the American Trucking Associations today announced its support for H.R. 6709, the National Conservation, Environment, and Energy Independence Act - and they brought along professional truck driver Tony Sifford...URL: http://www.washingtonwatch.com/blog/2008/08/21/tony-sifford-likes-this-energy-bill/
Trackback URL: http://www.washingtonwatch.com/bills/trackback/110_SN_2910.html
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Visitor Comments
Transportation Advocate
This bill takes the "ridiculous cake." Lawsuit happy OOIDA seems to have once again fooled lawmakers. OOIDA would be better served by teaching their independent contractor members how to charge prices that are responsibly set, and not take less than what they need. There are 14,000 licensed brokers, 750,000 licensed carriers, plus most carriers broker, plus there are hundreds of thousands of shippers. The market makes pricing--nobody else. Nobody in the world owes OOIDA members anything except for what OOIDA members negotiate. Nothing more. Shame on OOIDA and the Senate for entertaining such nonsense.
wayne
it doesn't set a fuel surcharge rate. It gives visibility to the carrier/truck to make sure they are getting all the shipper is paying to them instead of allowing 3rd party brokers to take the money the shipper pays for fuel. The money charged and paid for fuel should go for fuel. It doesn't say how much.
Life on the Road
Tammy
We need all the help we can get. At least this is a start. The fuel surcharge should be passed on to the person that pays for the fuel. The companies and brokers shouldn't be getting richer while the owner operators are going broke.Transportation Advocate what are you doing to help? At least OOIDA is trying to help!
Floyd Austin
Welllll...
I AM an Independent Trucker. Who amongst you sanctimonious fools against this Bill would work for NOTHING? Hmmm? Would YOU sit for hours while port works let you sit simply for for amusement? While also enduring thieving middlemen (whom I suspect are a LARGE part of the con crowd) that steal money intended for those that ACTUALLY BUY THE Fuel.
Well buckaroos, the reason you can buy your imported goods so cheap, is because the American Trucker has been getting ROBBED for years.
Pinched at both ends, thousands are going broke each and evry day. Go ask your local retailer to point out the goods in his store that DID NOT come by truck. Wait until the store shelves in America look like the ones in the old USSR photos.
Cheap BRoker
Its all a bunch of BS. it is none of your business what my customer pays me. your agreement is with ME, if you are stupid enough to agree to take MY load for fifty cents a mile. then its your fault. I can charge my customer five bucks a mile if I want. they are two separate issues. if you think you need more money tell them NO! its not like they hold a gun to your head. I am getting really tired of all of these guys whining. just say no! Freight rates will come up when people stop taking cheap freight.
- Cheap broker
Fr8Broker
I post a load from Atlanta to Chicago. A carrier calls me and asks if I can pay $1 per mile. I say yes. My profit is about 18%. If this bill passes instead of $1 per mile I'll pay 45 cents/mile linehaul and 55 cents/mile FSC. What rookie actually believes the broker's set the rates? The carrier's tell me what they want/need to haul the load!
GreatFreight
I'm a broker with freight from Atlanta to Chicago also for a MAJOR shipper. The 18% referred to by Fr8Broker that we average on this lane includes the FSC we receive from the shipper! There's aren't a whole lot of reputable broker's out there rolling in cash! Our problem are the scumb-bag carrier's that book a load and double-broker it without authority for more $ knowing they'll never pay the carrier. Then the carrier that actually hauled the freight has the nerve to come after us when THEY didn't do their due diligence!
Steven
It gives the driver leverage to hold brokers accountable for lying. Period! Let me share with all of you, I was a Funeral Director and in the profession for 20 yrs. I've only driven for 3.5 yrs., but trucking is the most perservering job I've ever done. BROKERS who laugh about it, aren't away from their families and are not giving up their life like most truck drivers. Yes I enjoy it, but I'm out their trying to get home. I'm not 'enjoying the country' like the recruiting-for-dummies would bait you with; I'm all BUSINESS. Actually, the FTC has dropped the ball on this one, because a funeral establishment can be fined up to $50,000 for violations relating to disclosure. This is a HUGE, yet ONLY the 1st step truckers ARE taking. It is time the tail stopped wagging the dog.
KeepTruckin
Wheapbroker, I don't care what the shipper pays you, I just want my fuel surcharge. If you brokers want our FSC so bad, how about you give us a cheap rate, $1.70/mile (cheap flatbed rate) AND pay for my fuel, and we'll call it even. If that's the case, you'd be the ones whining about FSC. And Fr8Broker, you're supposed to charge the shippers a FSC. We never said you set the rates, you're just a broker. I haul for shippers direct, and they always tell me to bill them a FSC on top of the rate for line haul + tarp. It's not that hard. You don't even have to ask them, they tell you to charge them. Brokers need to stop the BS. Quit acting like you're "not allowed" to charge a FSC to the shipper. Quit saying "that's all I got in it" cuz that's not all you got in it. Cheapbroker had 1 good point: WE NEED TO STOP TAKING CHEAP FREIGHT! If you run across a cheap rate, turn it down! That is all... for now.
scott
Well, My family has been in the trucking industry for over 50 years, we are a trucking company with brokerage authority. It only makes sense to me that fuel surcharge be passed through to the trucking company. Why does a broker feel the need to steal the fuel money, they dont operate the truck. Fine if the broker wants to charge .20 for the load and .80 for fuel surcharge, but at least disclose the amount that is supposed to be for fuel. Generally the only thing a broker has is a telephone and a computer, what part of that needs diesel fuel...
Doc
It amazes me that people are so stupid, if you do not like the rate DO NOT TAKE THE LOAD!Stop running mulch out of Florida for $.70 a mile and if you don't like it find a new job. As a broker we pay damn good money to haul machinery around this country ( 2.00 per mile and above ) and I am sick of hearing drivers bitch about $1.00 per mile rates that they have been offered - DO NOT TAKE THEM!!!! Bottom line is we found the freight, declared the rate, and pay the truck a fair rate. I don't care if we are getting paid $20.00 a mile as long as the truck gets a fair rate and agrees to that rate.
Now is that wrong?
Paco
This is a terrible bill. Fuel surcharges were designed to keep negotiated rate contracts somewhat aligned with variable market forces and minimize the need for shippers and agents to renegotiate every month, or even every week. IO's know what the price of fuel is today and tomorrow when they accept a load. It's up to them establish a fair rate for their services, period. What other parties agree to is outside of their control and should remain that way.
Hey, what's 500 lawyers at the bottom of the ocean?
Paco
A GOOD START!
Brian Dickerson
This Bill has been said to interfere with the law of supply and demand. "If an independent trucker doesn't want to take a load, he/she doesn't have to."
However, Truckers are at the mercy of the brokers, who have the freight, or "money".
It is a common practice for a broker to offer a much smaller percentage of the actual freight prict to the trucker when it is coming out of a "bad" area, such as Utah for example. Brokers offer about the cost of fuel in many cases, because they know they can.
I would not liken it to interference with the law of supply and demand, I would liken it to the following scenario:
In areas where there are a lot of workers available, don't pay them minimum wage. Just pay them 2.00 per hour, and if they don't want the job, no one is forcing them to take it.
Brokers are generally keeping an amount of the fuel surcharge, which shows no conscience.
Brian Dickerson
Another Scenario if I may. This is no more interference with the law of supply and demand then:
How about banks charging 60% interest plus hidden fees? And if anyone doesn't want to pay it, just don't take out the loan to fix your car so you can get to work!
Hogwash Brokers! You're taking advantage of hard working people when you've got them down.
This legislation is nothing new, there are hundreds of laws to keep unscrupulous people from taking advantage of others.
What's next brokers? We can get rid of the welfare program, if someone doesn't have enough money to get by, they can commit themselves to slavery for room and board! And if that single mom with the hungry kids doesn't want to be your slave, she can just go hungry!
klrfish
I own a trucking company and we have a brokerage authority. We all know of the brokers that don't pay after you haul their freight. They disappear into cyber land. They should be selling on ebay. My problem is with our own customers who keep 1/2 the fuel surcharge and pass the entire amount on to their customers. Let's push it all up the food chain and let the consumer feel the pain. Maybe then something will change.
klrfish62
Also, there is no way a Broker can justify keeping the FSC. The shipper is paying that charge to ensure the hauler stays in business and the system does not break down. When the trucks go, I doubt if a broker will haul it in his car.
TheOtherFoot
How's about we make this fair for everyone and the Trucker has to disclose total cost and profit on every load when they accept it from the broker? That way the broker knows when he's left money on the table and he can decide if the trucker is making too much money. No one points a gun at a trucker's head and forces him to take a load. HE sets the TOTAL price which includes fuel. He can say "$2000+$500 for fuel" or "$2500 including fuel" but the price is still the same and that's what the check is made out for. The fact is that people in business that can't make enough money to survive shouldn't be in business - they should be in government inacting stupid legislation like this.
Sandra D
I have friends and family who are truckers and have recently become very aware of the injustice that is occuring. Even though brokers have legally gotten away with keeping all or a portion of the fuel charge in the past, it doesn't make it morally right. I have to wonder how they can sleep at night knowing they are screwing others like they do. I sent emails to several Senators encouraging them to support this bill.
fairbroker
It's hard to believe that there are brokers that are not paying fsc, but I know they exist. Trucks shouldn't haul their freight. I have an established FSC table I charge my customers. Sometimes I have to pay a carrier more than I can charge my customer. So when I show the carrier a negative profit margin are they going to sue me to try to prove I'm lying? Great we can give more lawyers something to do. That will help the truckers stay in business.
trucker
I hear don't take cheap freight over and over. Well let me smack down some reality. I am in Vegas, To the truck about $2.25/mile to come out. The rate quotes by 20 different brokers on various loads have not been over $1.50/mile Now I have to share that with the Company I am leased to. Leaving me at around $1/mile. The cost of fuel at $4.70/gal= around 85cpm I have to spend. My profit for the return trip will be around (minus)48cpm I will pay to go home. The $1 per mile simply means I won't pay as much to go home. $1.50 was the best out of 20 loads. I did my part for 2 days sitting in Vegas saying NOOO. I have a wife and 2 small boys whom I miss very much. Real Estate Brokers are kept to a 5 or 6 % commission. What could the load brokers be so scared to show in the rates. Enough is enough, I am just trying to keep a float out here and the freight brokers seem to be keeping to much of the rate. The customers I have wouldn't be my customers any more if I have to charge both ways.
math teacher
trucker,
If you are losing 48 cpm going home, then you didnt make any money going to Vegas. You saw the $2.25/mile and got greedy. You needed to realize supply and demand which means you should have gotten more to Vegas.
Hang around the business a little while (if you can) and you might figure out the rates needed to go anywhere.
Also, take a 3 trip running average and if you arent making money, you are really in trouble.
Scooby
"the other foot" says it best. Why is it okay to look at one side and say "hey you're making too much money"
People we live in America, it's a free market economy, it's capitalism. ALL BUSINESS ARE OUT TO MAKE A PROFIT. If you can't do your own math and negotiate to make a profit, get out. "Math Teacher" sums it up well also, read his post. To want someone elses pie and to share in the wealth is communism.
Guess what, I spend money to market myself, I spend time and resources trying to get the loads, I spend time and resources billing the shipper and numerous other administrative fees. When I turn my load to a truck, the truck has invested nothing at that point to verbally accept the load...and I'm gonna PAY HIM to haul it. He doesn't pay me a dime for my sales services getting him the loads in the first place. And I pay him well because I need him, but in America I shouldn't be forced to show him what my profits were.
Worked Over
"the freight brokers seem to be keeping to much of the rate"
1. that's not true in my case, I'm having record lows and have many loads I lose money on where I'm paying the truck more than I was able to negotiate out of my client.
2. So what if that's the case. Run your business the way you see fit and don't take brokered loads. Last I checked it's still a free country and a man can charge whatever a person is willing to pay.
Scooby
Trucker,
Real Estate brokers are kept to 5 or 6% commission, but guess what..both sides PAY THEM! We are the only broker that doesn't charge a fee from both sides. Real Estate brokers make commission of the sell and the buy, same for stock brokers. You know why, becuase they did all the damn work to find the buyer and the seller. Just like we do, yet we pay you, and pay you a rate that you accept.
Nunya
All you crooked brokers are leeeches, now GFY's
Charles
I am just flabbergasted that we are "crooked" and "leeches". As pointed out we are the only industry middlemen that do not charge both sides. We pay you. You don't like it go out and bust your tail to get clients like we do.
To tell us to GFY's...hey good look getting back home if this bill passes, cuz brokers I know will drop OO's like a big rock.
We're gonna do things they say can't be done
To all of you selfish brokers, YOU DID NOT PAY FOR THE FUEL PERIOD. IF YOU DON'T WANT TO PAY THE FULL FUEL SURCHARGE THEN BUY YOUR OWN TRUCKS, PAY FOR FUEL, REPAIRS, DRIVERS, AND EVERYTHING ELSE. IT'S THAT SIMPLE YOU SHOULD NOT BE TAKING MONEY FROM YOUR HELP. WITH OUT THE O/O YOU WOULD PROBLEY BE SHUT DOWN. IT IS THEFT NO MATTER HOW YOU LOOK AT IT. EITHER FROM THE O/O OR FROM THE COMPANY GETTING CHARGED. WE SHOULD NOT HAVE TO PAY TO KEEP YOUR COMPANY UP AND RUNNING. IF YOU WANT TO KEEP THE FUEL SURCHARGE BUY YOUR OWN TRUCKS, AND ACTUALLY PAY FOR THE FUEL.
We are gonna do things they say can't be done
I didn't read scoobys post before I posted my comment. So here is another one. You do not pay your o/o now where close to what the load pays you just to get there before fuel. So there is your profit for all of your time. We don't want your pie as you said we want our pie not yours when you didn't pay for it. I could care less how much money you make off the load before fuel, but don't charge a fee for fuel then not give it to its rightfull owner. I don't care how you look at it it's THEFT, and anybody in the right mind with any kind of honesty can see that. FOR ALL OF YOU WHO THINK THAT IT IS O.K. TO KEEP THE FUEL SURCHARGE, I FEEL SORRY FOR YOU AND YOUR FAMILIES.
We are gonna do things they say can't be done
TheOtherFoot- You are right people who don't make enough money in buisness shouldn't be in buisness. If you don't make enough money on the load before the fuel surcharge then you need to go out of buisness. Obviously you brokers are not all that smart, and can't make your own money so you want someone else's. You say well the o/o don't have to take it, or they can charge more money well why don't you do the same, charge more for the load and pay the fuel surcharge to the o/o OH! I forgot they might not like your price,and will find someone else to do it. Then were does that leave you. Same situation we are in. Like I said earlier (your words) If YOU don't make money go out of business, because that fuel surcharge is not yours. Sorry your stealing is about to come to an end.
Eastbound and Down
This is a serious problem. You guys driving think we are getting fuel sur charges. We don't. There is nothing to keep, steal or swindle from you. We negotiate a rate between ourselves and the shipper, a FLAT RATE. Then we negotiate a rate with the truck, A FLAT RATE. There is no fuel sur charge and that is where we have a misscomunication.
Scooby
We gonna do -
WE get the load from the shippers it is ours how can we be stealing it..it's ours in the first place. However it's sold to the shipper, it's ours. Keep reading TheOtherFoots' post over and over until it sinks in. You set your own rate between yourself and the broker whether you want to call it $2000+$500FSC or $2500 flat, you set your own rate.
We're gonna do what they say can't be done
O.K. you brokers who say that you get no fsc. O.K. you may not bill for fsc, but do you not use the price of the fuel cost up your prices? Yes you do. So are you trying to tell me that you would charge the same "flat rate" to take a load from ohio to texas that you were charging this time last year? No I don't think you are. And the company that I am leased on with pays us by the mile then a fuel surcharge problem is they are keeping half of the fuel surcharge that is wrong no matter what excuses you want to make. Like I said earlier if you don't want to have to pay full fsc then buy your own trucks have payments on that, then buy fuel, pay a driver, hope like hell the truck doesn't break down in the middle of a run that will cost you some more money, and then have someone tell you that you are not getting full fsc. I Gaurantee you would have a different out look.
Eastbound
Your logic is flawed.
We ARE buying a truck. We are paying for the lease of a truck and driver. We are paying you a flat rate; in that flat rate it is up to you to accept, deny, or negotiate more because you know you have fuel, truck payment, depreciation etc. It's on you brother, but there ain't no standard FSC coming out of the shippers, and I ain't keeping or stealing anything. Hell, obviously its in my best ineterests to keep my trucks happy and rolling. But his bill is unAmerican no matter how you slice it.
luzsilver
cheapest brokers r in new jersey . pay fair or the o/o are going to disapear all will become company drivers and then brokers will only become dispatchers for
5mouths2feed
HEY PEOPLE! SHUT-UP! Stick with the subject. This is about FSC NOT rates. Anyone not passing through any part of the FSC is a thief plain and simple. If a driver is too dumb to figure his CPM and then he has no business in business but the FSC is just that. Who cares how much a broker makes off of the rate, I care about what he steals from me. ALL of the FSC is mine.
5Mouths2Feed
As to the brokers that cliam they can't get more from the shipper I humbly reply DON"T TAKE THE CHEAP LOAD!!!!!That works both ways....
To those that claim they do not get FSC......LEARN HOW TO RUN YOUR BUSINESS!!!!!FSC is part of the cost of shipping....
The fact is you take the cheap load or "do not charge the FSC" and then expect to find some desparate driver that hasn't seen his family in 3 weeks to haul it for nothing.
Freight Broker
Firstly, a large amount of the freight we broker is based on flat rates that come from the carrier telling us what they need, then we add our profit to the top ..... no fuel surcharge is discussed. Secondly, about another 1/3 of the freigh we move gets to us at the last minute because our customers can't find trucks themselves, in these cases, we typically pay much more than the regular market dictates. Thirdly, there are lanes that routinely pay $2.50 - $3.00, but carriers wont take them, for example, any reefer freight from CA or the Midwest moving to the east coast pays $2.75pr mile minimum right now. Lastly, someone wrote earlier that opening up the books on fuel surcharge, is just going to make the line haul rate cheeper, he is exactly right. When will this country realize that putting band aids on residual issues will NEVER fix the main issue at hand, in this case, Anericas inability, or unwillingness to do what it takes to get off the nipple of OPEC.
broker
Firstly, a large amount of the freight we broker is based on flat rates that come from the carrier telling us what they need, then we add our profit to the top ..... no fuel surcharge is discussed. Secondly, about another 1/3 of the freigh we move gets to us at the last minute because our customers can't find trucks themselves, in these cases, we typically pay much more than the regular market dictates. Thirdly, there are lanes that routinely pay $2.50 - $3.00, but carriers wont take them, for example, any reefer freight from CA or the Midwest moving to the east coast pays $2.75pr mile minimum right now. Lastly, someone wrote earlier that opening up the books on fuel surcharge, is just going to make the line haul rate cheeper, he is exactly right. When will this country realize that putting band aids on residual issues will NEVER fix the main issue at hand, in this case, Anericas inability, or unwillingness to do what it takes to get off the nipple of OPEC.
roberto
brokers are hiding what ever money the get for the trucking that we do. There a law that states that we should be able to see what they get per trip. they we any thing to keep our eyes away that.
Scooby
Roberto - do you want to live in a Socialist state? I think you should have to show your mechanic what profit you make on every run. I think you should pay him a tool sur charge. That way if he sees what profits YOU are hiding, he can charge you more to fix your rig. How about that deal?
wrongway
I support this bill i could care less how much the broker makes on the line haul the problem is with the flat rate is there is no fuel surcharge posted so therefore the companies that have trucks leased on are not treating us fairly on the break down once the company starts taking a hit on the line haul rate then they will start saying to the brokers and therefore the brokers will demand more money from the shippers scooby have you ever looked at your repair bill the mechanics do charge a surcharge a lot of times called shop materials and its not based on any materials used its a percentage of the bill
ex trucker
All of you freight brokers had better start buying your own trucks. July is here. Federal Highway Use taxes are due and with the industry life support July is the month when you will see a MASSIVE WAVE of trucking closures. You have taken advantage of the slow economy and have been kicking the truckers while they are down. We have sucked it up but have been taking notes. The survivors will take great joy in watching your CHEAP FREIGHT ROT on your docks.
andrea
My husband is busting his butt out on the road for three weeks at a time and getting zero money for his hard work. The companies are getting their product and the company he leased onto is getting their money. It's not fair. He has gotten 6 pay checks in three months. PASS THE BILL!!!!!!!!!!!!!!
Harold Simmons
If we were doing research right we already have discloser. A carrier can walk into most brokers office and ask to see thier load. Full discloser on it what we charged the shipper and what was paid to the carrier. If you think you are getting over brokered dont do another load with the broker.I would suggest that congress and OOIDA spend more time screening there customers and make sure they are meeting there Government mandates ( workmans comp, Social Security, Unemployment, Medicare etc.) Then when a carrier who can charge less by hiring so called Independent Contractors ETC this might help even out the rates around the country. Also go against the shippers on the east coast or in Texas etc Why should the Produce buyers always have to pay high prices lets gouge our bread and butter and then haul a load for nothing to get back out there and gouge them again. No wonder you are always fighting a claim, Hell you cant work fairly thats why.
mort
Its not you brokers that are paying the truckers. You guys simply stepped in and made it impossob;e for a trucker to get loads with out you. Now you take the fuelsurcharge and stick it in your pocket. Maybe truckers are arguing the wrong thing. Instead of fighting to get the money owed to us we should be fighting to get rid of the brokers and the there would be no problem on getting our money.
patty
Anybody heard of CHRobinson? Now tell me brokers arent thiefs.
Scooby
Mort - it's not impossible. Get on the phone and call shippers yourself. Spend all the time and money brokers do just to get the loads in the first place. Go for it. If you do you'll find out that FSC is not standard from shippers. Shippers say " have I a freight allowance of X on this lane. We say "that's not enough we have to pay our drivers enought to make money". They say "here's a little more but if you can't do it for that I'll find someone else.". Shippers set the rates everyone.
You are right though when you say you are arguing the wrong thing. The issue is the cost of fuel and our country's dependancy on forgeign oil. The pressure needs to be applied here, not at brokers. A year and a half ago broker's weren't theives...the only thing that has changed is the cost of fuel.
Patty - explain how brokers are thiefs? Being a theif means you stole something. When you book a load with the broker, you a booking a load with THEM not the shipper.
Trucker wife
Listen Congress. We have big problems out here with brokers, companies, shippers. We cannot have guys out here rolling for 2 weeks with no pay. Andrea is right, as we just got no pay. Nothing, zippo. Tell the shippers to go buy there own damn trucks, and tell the brokers and companies to get it together as our services need to be negotiated properly.
I'm thinking all 3 entities are not to bright as they expect free Labor, and costs are being passed but not to the trucks. CHR, TQL, Landstar, UTI, all of them and companies are nothing more than a rip off with bad negotiators. Letting shippers call the shots. Stand up truckers! We have labor issues out here and the wives of these truckers are not happy. You wanna deal with educated women, keep NOT PAYING OUR GUYS, and we are going to shove up a broom up all your asses!!
Shippers you need to quit dictacting what you will pay, we do not tell you what to retail your products for. Then you want a free truck. Kiss my ass!!
Trucker wife
Brokers you need to sit down, as you are the worst NEGOTIATORS. Most you guys don't even know Transportation. All you know is what you can keep. Thats it! You are our worst enemy. You have not allowed negotiation out here for 2/3 years and get your commission from the trucks instead of the customers. You also need to quit lying and also stealing.
I've read all these posts, and I don't think a lot of you even know what it takes to move our economy? Someone said, Is 4 bucks fair to a truck? A dumb broker once again bidding freight. You brokers and companies want these trucks to move at 1.30 a mile, and under 2 dollars. We can't do that. We need 3.50 a mile at least, tell the cheap shippers that, or your no good at negotiation. Also quit stealing your commission from the trucks, get that from the customer build it into your costs. I'm fed up with the brokers lies, and fed up with the shippers who want labor for nothing. This industy EXPECTS FREE LABOR!!
Fool
Congress it is time to implement a minimum based on fuel, just don't call it regulation. The trucks out here are having a hard time even getting a minimum.
Also brokers need to be brought to real-estate on commissions, instead of what they can secretly keep from the trucks. We have no idea what the costs of their services are, neither do shippers. We just all know we are going broke, while their profit margins continue to climb. Something is really wrong out here. What we need is a minimum correlating with fuel costs, and then the fees revealed on what the services of utilizing companies and brokers are costing us through Transparency. We already have regulation, as shippers are regulating the market and brokers and companies are keeping the truckers at a average. If you don't think thats regulation behind secrecy, you better think again. Its is going on all the time out here.
Its a war zone out here, everyone is heading home broke. Congress needs educated on this bill.
Tired
Once again - Real Estate brokers get paid by both sides people. Brokers are providing a service to truckers and paying them to to it. In real estate both the listing seller and the buying entitity pay the broker. UNDERSTAND EVERYONE.
Nobody expects free labor, but the expectation that you can figure out your own operating expenses does exist. That means figure out how much in fuel, repair, etc you need to make plus what you pay yourself and don't take anything less. It's that simple. I can't understand why brokers are labeled thiefs and liars for paying a rate to the driver that he/she agreeed upon up front. YOU have the supply so YOU need to negotiate, not us. If I make an offer and you accept it that is not stealing, that's called business. And if you accept a rate below what you truly need that is called bad business.
Fool
Once again, real-estate agents are Transparent in their fee. And they also take 4-7% and either keep that or split it. Property freight brokers take what they can for themselves, or if its a split, it is well beyone 4-7%.
Shippers need to pay the brokers for the service, as its made the trucks compete not on moving freight in a market, but competing with mere arm chair warriors sitting at home brokering in their pajamas. The shipper has no idea what the services cost them nor do they care, as the service is taken away from the trucks based on what a broker can keep in secrecy of a rate. Make those shippers put the rate on the BOL like all military loads do, then you will see some honesty brought to the table.
TQL's profit rose by 50% yet they say they are feeling the crunch on fuel...LIARS.....
Tired
Yes real estate agents are transparent in their fee TO THEIR CLIENTS THAT THEY REPRESENT.
Freight brokers are transparent in the fees that they charge to THEIR CLIENTS THAT THEY REPRESENT - THE SHIPPERS.
Freight brokers PAY carriers for their services. They carrier is charging the fee. Real estate agents to pay you to sell your house you pay him.
Tired
That should read:
REAL ESTATE AGENTS DON'T PAY YOU TO SELL YOUR HOUSE YOU PAY HIM.
So let's please stop using that argument the relationships aren't the same.
The argument that if we could all agree might make some headway is the cost of fuel and our goventments inability to get energy independant.
Just another opinion
If things are ethically sound, transparency shouldn't be a issue. What we have out here is the market has been lost, and the competition has become brokers/carriers.
MONEY. If your booking travel (Loads)and the competitive edge is lost in booking a load based on "What someone can Keep" instead of the Market that will dictate what is truly going on. We have problems. This is going on. Transportation has lost the "Market" and load boards have become a means for brokers/carriers to compete with each other, as a broker makes his commission off what he can keep. Many times we have several hands in this one load. In turn we have lost de-regulation, and gained "Secrecy" in the Market rates that shippers are offering. Then we have theft of Servies, as the broker is not getting his pay (commission) from the customer, but from what he can keep from a truck behind a mask of secrecy. It would benefit everyone shippers/carriers to know what this service is costing them?
Just another opinion
People are getting Transparency and profits confused. Profits are transparent even to the IRS, and many companies profits are on the web. O/O asking for Transparency is not a dirty word. A court order can do the same thing, as O/O sign a CONTRACT, on the percentage they agreed to sign there trucks on for, if the company is skimming on loads, and truly not following their own contracts on the amount they take for their percentage, law suits will hit fleets. As we cannot just discard the terms that O/O signed up under to offer companies their equipment for a percentage to the company.
Look at the Landstar case that still isn't resolved. Case in point. People in this industry cannot produce binding contracts, that fail to mention that your FSC will be kept, amongst other skimming of loads, and then cry when the fleet gets a court order to see what loads pay and signed contracts that said, "We will sign on with your company, for x amount of a percentage to you off the rate."
Honest Broker
This industry is set up in a system, that allows many loop holes for people to take advangtage of the truckers.
I don't care who you are, when big checks come in and people really have no idea the costs to truckers or care. A self sense of entitlment will kick in. It goes like this. I set out to take 10%, then 20%, now 30% and now 40%, and pretty soon 50%. And the rates reflect this across the board or we have a lot of brokers who work with some really cheap shippers out here. I know because I broker, and have to watch myself, that I do not get greedy or it would be so easy to ripp off the trucks. I've done it a few times, but couldn't look in the mirror the next day. The prey is easy out here. Other brokers and brokerages know that. This is why they are fighting this. Many times I try to tell the truckers, ask the brokers what the shipper is paying, see if they will tell you. Honest brokers will have no qualms about it. I am here to make a living, but not a killing.
Honest Broker
Do some homework Congress. Ask shippers how many of them actually enter into contracts with brokers? I bet you will find, very few, as why would a shipper strap his options to one brokerage with a contract? When no non-asset brokerage can guarantee anything? They can't even guarantee a shippers customer a truck.
Shippers should be on alert who they utilize, if they want to keep costs down for their customers.
Honest Broker
Tried: I can tell you are trying to sell "buy my line", and most likely another broker out here with little experience trying to survive off one load.
The first fallacy you make is this: You are not the one paying the freight charges. A broker is a conduit of the funds, and the rate that the shipper is paying is to be paid to the carrier by utilizing a broker as the conduit. I can tell you already do dirty business, as you believe that you pay the carriers for their services, thats not true. A carrier brings you a truck, as a arranger you agree to a percentage and how honest you are with your customers is up to you.
Brokers are able to play both sides and when it comes to money they play it really good to their benefit. You know this tired and I do to. So give it a rest.
Frederick (SilverSurfer) Schaffner
There apparently seems to be some miss-understanding to this issue. The fuel surcharge was created after the '73 trucker strike. This legislated the person paying the fuel bill was to receive the fuel surcharge, only it was neglected to protect the person paying the fuel bill with transparency to ensure they weren't getting robbed. These TRUCC bills corrects that mistake from '73.
This is an issue of companies and brokers keeping a portion, or all, of a charge which is dedicated to the person paying the fuel cost. Fuel surcharge is not a freight rate. It's tacked onto the bill based upon fuel price variances. Brokers don't pay the fuel costs, which is what the surcharge is for, and the law states the surcharge portion of the freight bill goes to the person paying the fuel costs.
I vote for passage of these bills. It's time to protect professional drivers...the backbone of our economy.
Safe Trails and God Bless,
www.theamericandriver.com