Key Takeaways

• According to a publication by Newsweek, A trucking company based in Fort Worth, northern Texas, is "offering to pay experienced drivers $14,000 a week—$728,000 a year."

• The increase in pay is said to be caused by the fact that the United States is struggling with a nationwide shortage of truckers.
• An article by WFAA revealed that Dallas trucking schools are seeing more applicants, interest from transportation companies as the supply chain crisis continues.
•  Vision CDL Truck Driving School told WFAA that its class sizes are getting bigger and that trucking companies are scooping up grads after post-certification.

Introduction

• The research provides an overview of three insights that support the idea of opening a commercial trucking school in Dallas. These include proof of an increase in pay for truck drivers in the area, an increase in the number of applicants for commercial truck driving in the area, and a shortage of truck drivers in Dallas.

Shortage of Truck Drivers/Increase in Pay for Truck Drivers

• According to a publication by Newsweek, A trucking company based in Fort Worth, northern Texas, is "offering to pay experienced drivers $14,000 a week—$728,000 a year."
• This is as a result of the U.S. struggling with a nationwide shortage of truckers.
• The United States has been experiencing a truck driver shortage for over 15 years now.
• A shortfall was first announced in 2005 when the numbers were about 20,000. This number had "skyrocketed" to about 50,700 by 2017.
• In 2018, the industry reported an even greater shortage, "largely due to robust industry freight volumes."
• One of the largest factors causing the shortage is the relatively high average age of the existing workforce.
• The problem has been exacerbated by the COVID-19 pandemic, which led to the "temporary closures of state DMVs and truck driver training schools [and] dried up the already fragile pipeline of new drivers entering the trucking industry," according to a letter sent to Congress by 117 organizations representing the U.S. supply chain.
• Due to the already crippling driver shortage, companies in supply chains across the economy are facing higher transportation costs, leading to increased prices for consumers on everything from electronics to food.
• According to the letter sent to Congress, 70% of the country's freight is transported by commercial trucks, and the industry is estimated to require an "additional 60,800 truck drivers immediately—a deficit that is expected to grow to more than 160,000 by 2028."
• The trucking industry is forecast to need about 1.1 million new drivers over the next decade, to cope with increased demand from customers and to replace retiring workers.
•  Sisu Energy, which claimed to be a cutting-edge trucking company says applicants must be above 25 years, with at least two years of experience, and must have a commercial driver's license.
• Jim Grundy, CEO of Sisu Energy, told Texas TV station KENS 5: "Insurance companies won't insure you if you're not 25 years old if you don't have two years of experience. So, as a new driver coming out, these opportunities aren't available to you."
• The company's director of recruiting revealed to Newsweek that its highest earners make about $14,000 dependent on the amount of loads of sand they run.

Increasing Applicants for Commercial Truck Driving

• An article by WFAA revealed that Dallas trucking schools are seeing more applicants, interest from transportation companies as the supply chain crisis continues.
•  Vision CDL Truck Driving School told WFAA that its class sizes are getting bigger and that trucking companies are scooping up grads after post-certification.
• Daryl Monmouth, an instructor who helps get potential drivers their learning permits revealed that freight operators are reaching out to Vision to scoop up grads after they get certified to drive.
• According to him, "We have companies calling us and wanting to come and interview our students."
• At Vision, Collier said he supports lowering the minimum age requirement.
• According to him, "If you can go and die for your country at 18, you should be able to drive a truck."

• In August, Eric Fuller, the CEO of U.S. Xpress, told 'Yahoo! Finance' that his company has doled out 30% to 35% in total pay increases over the last 12 months.

Research Strategy