Driver turnover at large truckload fleets declined to 71% in the fourth quarter, the lowest level in six years, according to the American Trucking Associations.
The turnover rate at large carriers, defined by ATA as fleets with more than $30 million revenue, has now declined for four straight quarters with the most recent decline being 10 percent.
The rate at smaller fleets dropped 16 percentage points to 64%, the lowest level in five years, according to ATA.
“Continued declines in turnover rate reflect the overall choppiness of the freight market,” ATA Chief Economist Bob Costello said. “As inventory levels throughout the supply chain are drawn down to more normal levels, and freight volumes recover, we should see turnover rise along with concerns about the driver shortage.” The turnover rate at less-than-truckload fleets dipped one point to 8%, the lowest level since the first quarter of 2016.
The ongoing driver shortage serves is a major factor in tight over the road capacity, which is a problem for shippers because they need to pay higher rates in order to get their freight moved in a timely and efficient manner