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Old 05-13-2008   #1
    Could The TRUCC act backfire?
OXN
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I think the TRUCC act is great, it's at least a good start but it doesn't go far enough, many companies still get a flat rate and use a fixed formula to pay out fuel, and if the shippers really are in the brokers pocket sorta speak they can fairly easily circumvent the law in many ways. I agree they should be on our side, but let's face it, the shippers already know the brokers are taking most of the money, if they wanted to do something they would have long ago.

Let's look a little deeper: If the same Trucking Company/Broker that takes half the O/O fuel surcharge suddenly can not have any access to those funds why would they even bother their shipper for more money in the name of a fuel surcharge. Their only motivation for pursuing the extra funds? It was just another valid reason to play the shipper for more money saying "the trucks that are getting help on the fuel are the trucks that will take your loads" this kind of scare sales tactic only allowed the Big Trucking Companies and the Brokers to scheme more money for themselves. If they are shut off from the money they will eventually find it less and less necessary to bother their shippers for any extra funds, especially in times when keeping good shippers become increasingly more difficult. Oh of course some big companies will sell the idea that they are still getting top dollar in fuel surcharge from the shipper; as an incentive to keep O/O's, but these will turn out to be only from certain reliable shippers that they have a pretty secure account with, but probably not the majority of contracts they have.

Let's face it, these people are money motivated, take away the money, take away the motivation to collect any more money's from the shippers on behalf of the O/O. You might say how could they neglect their drivers like that? well, consider that now, even now, they are taking in some case more of the fuel surcharge from the loads than the truck is paid in fuel surcharge; does that give you any idea how ruthless these people are? If these people cared for the truckers they would never sit back knowingly watching the truckers dying and agonizing in their bitter financial pain, and as if only to lean back and laugh as they take another sip from the chalice of our fuel surcharge remedy and eat of the fat of our money from the loads.

Could the TRUCC act backfire? I think so; What will we need then? to mandate a fuel surcharge from the shippers?, then we would have to mandate load prices, and then of course layover and drop pay, and I guess everything about the business. which in the end if this happens the same guys that are going to great expense to make a $100,000 investment and a life full of paper work and headaches will be reduce to making about what they make now, less than minimum wage.

Last edited by OXN; 05-13-2008 at 09:11 PM.
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Old 05-13-2008   #2
 
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its all about transparency, if you know a load has a gross of say 2000 bucks on it and the broker only offered you 500 all inclusive leaving him a profit of 1500 while your 500 has to pay all expenses would you take the load?? I would hope not and neither will very many o/os.
Transparency will put us on a level playing field is it any wonder the brokers are scared to death of this bill??
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Old 05-14-2008   #3
    great article in favor of the TRUCC act
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Land Line Media Blog: Bad brokers and bottom feeders
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