Serge and Marc-Andre Hubert.
“The goal was to make sure the drivers did not pay the price of the
new regulations,” says Marc-André Hubert, the fleet’s operations
manager. “We wanted to reassure them that the amount would be the same –
or even more – with the electronic log.”
“The decision is kind of our statement that we were not afraid of the
new regulation,” said president Serge Hubert. If anyone was to shoulder
the burden of added costs, it would be CH Express.
The fleet’s approach to Hours of Service doesn’t actually change. “We
are not afraid of the new rules of the game because we already impose
them,” Marc-André says. “But we understand that our drivers can have
A couple of drivers were skeptical at first, wondering where the scam was. “There is none,” he stresses.
The hourly compensation is based on the Electronic Logging Device,
calculating actual hours of work and driving down to the second rather
than using PC Miler.
“The calculation was simple,” says Marc-André. “Our drivers were paid
42 cents per mile. Based on a speed of 100 kilometers per hour and a
distance of 1,100 kilometer per day, it is $25 an hour for a senior
driver [more than two years of experience]. A junior driver [less than
two years of experience] earns $21 an hour. The hourly wage ceiling is
set at $28 per hour for drivers who have five years or more of seniority
in the company.”
On-duty activities other than driving earn a rate of $18 per hour.
There are still other bonuses to consider. Each pick-up or delivery
is paid $ 25, in addition to the hourly rate. An hour of this work, for
example, would earn a driver $43 an hour, Serge says.
“When we do [Less Than Truckload], we want the driver to be
encouraged to put the most partial loads on his trailer. We have
established our system so that it is very beneficial for the driver to
make these stops. These are bonuses to efficiency.”
Another $75 per day is paid for oversize loads, while every stop that registers a clean roadside inspection earns another $50.
“We like our carrier rating to be good, and this initiative helps us
do that. The drivers receive a bonus upon presentation of the inspection
documentation, which is included in our files. We know who went to the
inspection and how much time was spent,” Serge says.
Drivers can legally work 70 hours a week, of course, and that is
typically divided into 55 hours of driving and 15 hours on duty. CH
Express pays time and a half after 60 hours of work
Strictly from an accounting point of view, the executives expect
salary costs to rise 10-20% with the change. But recruiting, security,
and service costs are expected to drop.
“By opting for a pay per hour, we bet we do not have to worry about
recruitment and retention. We are willing to pay the price for good,
professional, courteous, and safe drivers, and I am comfortable selling
the professional service at the price it is worth. But I’m not
comfortable paying for a driver who wants to drive in an unsafe and
non-legal way,” says the CH Express president.
It’s about more than financial figures, however. They claim to have
approached the pay issue first and foremost from the human side of the
“For a long time, the pressure has been absorbed by the drivers. The
whole industry says, ‘Traffic is your problem. Waiting time is your
problem.’ Now, [these] are no longer the problems of the drivers.
Whether a truck driver is traveling at 10 kilometers per hour because of
congestion, at 70 kilometers per hour because of the weather, or at 100
kilometers per hour, it’s the same thing. The meter runs and it is
paid. This takes away frustration and ensures that the driver can
provide better service and be safer,” Serge says.
The word of the new pay structure spread quickly.
“It’s not very difficult for us to recruit now. It was … madness
when we announced our pay per hour. Drivers were applying everywhere,
even from the United States,” he adds.
“Recruitment is no longer a priority topic in the company right now.
And this allows us to focus on our strength, which is to sell
Source of article click here : Today's Trucking