Truckers United: Fighting for Fairness in the Industry

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Leveling the Playing Field: How Reforms Will Empower Small Carriers & Independent Truckers

The trucking industry, the backbone of America’s economy, has been facing increasing challenges that threaten the livelihood of independent truckers and small carriers. Mega carriers, with their vast resources and large-scale operations, have manipulated prices and wages to edge out small operators and control the market. But this trend does not have to continue. By enacting key reforms, we can restore fairness to the trucking industry and protect the hard-working men and women who keep America moving.

Here’s how we can achieve this:

1. Cutting Tax Breaks for Large Carriers

Mega carriers enjoy tax breaks and incentives that put small trucking companies at a disadvantage. These large corporations can afford to slash their prices, often at the expense of independent truckers, forcing smaller operators to accept lower-paying jobs or face financial strain. Cutting these tax breaks will level the playing field, giving small truckers the opportunity to compete fairly in the market.

The revenue saved from cutting these tax breaks could be significant. Mega carriers currently benefit from federal and state incentives, which may total in the billions annually. These funds, once redirected, could provide crucial support to small businesses, such as grants for independent truckers, improved infrastructure, and workforce development programs.

2. Implementing Trucking in the Fair Wage Act with Overtime

Truck drivers often work long hours, sometimes far beyond the traditional 40-hour workweek, yet they are frequently excluded from overtime pay. By implementing trucking into the Fair Wage Act with overtime protections, we can ensure drivers are fairly compensated for their time and effort.

This change will not only increase the earnings of drivers but will also create an environment where trucking becomes a more attractive and sustainable career. This is especially critical for independent truckers, who are already burdened with high operating costs and thin profit margins.

3. Mandatory 24-Hour Payment from Brokers to Small Carriers

One of the most stressful aspects of the trucking business is the time it takes to get paid. Truckers, especially independent operators, often wait weeks or even months to receive payment for their work. This can lead to cash flow problems, forcing them to rely on expensive freight factoring services, which cut into their earnings.

We propose making it mandatory for brokers to pay small carriers or independent truckers within 24 hours . If brokers fail to meet this deadline, they will face penalties for every day the payment is late . This ensures that small carriers and independent truckers receive their earnings quickly and can continue their operations without financial strain.

Additionally, brokers will have the option to use freight factoring to expedite payments, but truckers will no longer be responsible for freight factoring fees . The brokers will handle those costs, ensuring that truckers keep more of their hard-earned money.

4. Brokers Will Absorb the Cost of Factoring – Not Truckers

In this new system, brokers will be required to absorb the cost of freight factoring and will not be allowed to pass these fees onto truck drivers . For too long, truckers have been forced to bear the brunt of operational costs while brokers reap the rewards of controlling freight prices and delivery schedules.

By ensuring brokers take responsibility for these fees, we protect the financial interests of independent truckers. This will lead to:

- Increased Profit Margins : Without factoring fees cutting into their earnings, truckers can retain a larger portion of their income.

- Financial Stability : Faster payments and fewer fees will provide truckers with the financial stability they need to keep their operations running smoothly.

- Better Business Practices : Brokers will be incentivized to manage their financial practices more efficiently, leading to a more balanced and equitable relationship between brokers and truckers.

5. Fuel Tax Breaks for Small Carriers and Independent Truckers

Fuel is one of the largest operating costs for truckers. While large carriers often benefit from fuel purchasing power, independent truckers and small carriers bear a heavier burden due to smaller fuel volumes and higher prices. We propose a fuel tax break specifically for small carriers and independent truckers to help reduce this cost.

This tax break will:

- Lower Operating Costs : Independent truckers will see immediate savings, allowing them to invest more in their business or increase their take-home pay.

- Increase Competitiveness : Small carriers will be better equipped to compete with mega carriers, who currently enjoy greater buying power.

- Encourage Growth : Lower fuel costs will enable smaller operators to expand their operations and take on more shipments, improving the industry's overall health.

6. Mandatory Disclosure of the Original Shipper Charge

To further enhance transparency in the trucking industry, brokers will be required to disclose the original charge from the shipper . This mandatory disclosure will ensure that truckers are aware of the full financial scope of each shipment and will prevent brokers from withholding critical pricing information.

If a broker fails to disclose this information, they will face immediate revocation of their brokerage license upon the first incident . This ensures that brokers remain transparent and fair in their dealings with truckers.

This reform will:

- Build Trust : Truckers will be able to trust that brokers are providing fair and accurate pricing.

- Prevent Price Manipulation : Brokers will no longer be able to artificially inflate charges or hide critical details from truckers.

- Hold Brokers Accountable : With the risk of losing their license, brokers will be incentivized to act ethically in all transactions.

Why These Reforms Matter

The trucking industry is at a crossroads. As mega carriers continue to consolidate power, the livelihoods of independent truckers are at risk. But by enacting these key reforms, we can restore fairness to the industry and empower the small businesses and independent operators who are the backbone of our transportation network.

By cutting tax breaks for mega carriers, implementing fair wage protections, ensuring fast payments through mandatory 24-hour broker payments, giving fuel tax breaks to small operators, requiring mandatory disclosure of shipper charges, and making brokers absorb the costs, we can create a more equitable and sustainable industry where all truckers have the opportunity to thrive.

Together, we can fight for a trucking industry that works for everyone — not just the big corporations.