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Quote of the Day
"The achievements of an organization are the results of the combined effort of each individual."
-- Vince Lombardi
Statistics: The Numbers Add Up for Owner-Operators, Recruiters
Everyone loves statistics. Here's a few gleaned from the TCA's Independent Contractors Division meeting held in Chicago in September.
* Approximately 273,000 owner-operators were operating in 2005.
* The average net income for owner-operators in 2005 was 46 cents per mile.
* Average age for owner-operators: 54 years
* The average miles for owner-operators through the first half of 2006 was down 4.5 percent.
* The average revenue for owner-operators through the first half of 2006 was up 11.8 cents per mile due primarily to fuel surcharges and increased compensation.
* The industry-wide driver turnover rate stood at 110 percent.
* Fifteen percent of owner-operators changed companies in the past two years.
* A slow down in speed of 10 mph adds 7.6 cents per mile in revenue.
* Good retention tool: It costs an owner-operator approximate $13,000 to change companies, including $6,500 in lost time while preparing for a job change and going through orientation and another $5,000 to get back up to speed (finding new customer base, new dispatch system, etc.).
* It costs a company an average of $8,000 to recruit a new owner-operator.
Source: American Truck Business Services
