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LA Harbour Trucking Association say most independents happy with status
DESPITE an apparent drift from the owner-operator west coast harbour trucking model towards the Teamster union-backed employee model, most truckers prefer their independent status, according to the Harbour Trucking Association (HTA).
Looking at the 14,000 drivers in the Los Angeles-Long Beach port complex, more than 10,000 are considered full-time because they work exclusively or primarily in the harbour, said HTA executive director Weston La Bar.
Citing a study by economist John Husing, Mr La Bar said 80 to 90 per cent of those drivers are independent contractors and 80 per cent of the owner-operators prefer that status, reported Newark's Journal of Commerce.
"By and large, the drivers prefer to be owner-operators because they find it financially rewarding and they like the flexibility," he said.
The main gripe of drivers is pay. The pro-employee driver side say 2010 average pay of 75,000 owner-operators, including 25,000 in California, was US$12 an hour, after fuel, insurance and repair expenses.No so, said Mr La Bar, who says that recent west coast port disruption arising from the longshore labour talks resulted in truckers able to increase rates and levy dwell time surcharges, because shippers were anxious to secure capacity.
A recent HTA study determined that the annual gross wages for owner-operators (before deductions for fuel, insurance, etc.) is now $2,650 per week, up from $1,600 per week in 2008, Mr La Bar said.
Also, the study determined that earnings for employee drivers who drive company trucks and have no expenses for insurance or maintenance, is about $800 per week. Those drivers also receive medical and other benefits, which independents do not receive.
The Teamsters have been successful in several high-profile misclassification cases. The companies reclassified the drivers as employees, and in two of the three cases the drivers voted to be represented by the Teamsters.
Employee status is a key factor in the Teamster drive to organise owner-operators because independent contractors, by law, cannot be organised by labour unions, but direct employees can be.
Looking at the 14,000 drivers in the Los Angeles-Long Beach port complex, more than 10,000 are considered full-time because they work exclusively or primarily in the harbour, said HTA executive director Weston La Bar.
Citing a study by economist John Husing, Mr La Bar said 80 to 90 per cent of those drivers are independent contractors and 80 per cent of the owner-operators prefer that status, reported Newark's Journal of Commerce.
"By and large, the drivers prefer to be owner-operators because they find it financially rewarding and they like the flexibility," he said.
The main gripe of drivers is pay. The pro-employee driver side say 2010 average pay of 75,000 owner-operators, including 25,000 in California, was US$12 an hour, after fuel, insurance and repair expenses.No so, said Mr La Bar, who says that recent west coast port disruption arising from the longshore labour talks resulted in truckers able to increase rates and levy dwell time surcharges, because shippers were anxious to secure capacity.
A recent HTA study determined that the annual gross wages for owner-operators (before deductions for fuel, insurance, etc.) is now $2,650 per week, up from $1,600 per week in 2008, Mr La Bar said.
Also, the study determined that earnings for employee drivers who drive company trucks and have no expenses for insurance or maintenance, is about $800 per week. Those drivers also receive medical and other benefits, which independents do not receive.
The Teamsters have been successful in several high-profile misclassification cases. The companies reclassified the drivers as employees, and in two of the three cases the drivers voted to be represented by the Teamsters.
Employee status is a key factor in the Teamster drive to organise owner-operators because independent contractors, by law, cannot be organised by labour unions, but direct employees can be.
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