What is your choice as a company driver

company driver

Novice truck drivers in their business of cargo transportation meet the dilemma of rates. Which of the two rates are more profitable for them: rate per kilometer or a certain percentage of gross profits? An answer to this question mainly depends on whether truckers work for a driver company or carry goods as owner operators.

A trucker hired by a company should make the correct choice between these two options. We professionally advise to accept a payment option that provides a percentage of gross profit. But it should be noted that not all companies give a trucker the right to make such a choice.

Speaking about the work of owner operator jobs, they usually work at a rate per kilometer. Their rates are higher than for drivers working for operator companies. The owner operator jobs generate more revenue per unit of cargo they carry. But they still have to pay all costs for operating their trucks and own business.

Attractive percentage of gross profit

An experience of the overwhelming majority of truck drivers shows that long-distance transportation for many hours at a pay-per-kilometer rate is not as profitable as it seems. That is because an employer is interested in increasing the number of cargo lots or orders, and not in long-distance runs. He is interested in shorter distances.

The trucker salary based on a percentage of gross profit brings his and employer financial interests closer. Both parties are always satisfied with the financial results of orders being executed.

Does the trucker salary suit everyone?

A salary in the form of a certain percentage of gross profit is the most common trucker’s remuneration form. Such employers used to pay truckers only a percentage of truck trips without setting a flat salary or hourly rate. More executed orders mean more salary. They believe that this makes drivers work efficiently.

It seems quite easy to calculate a salary that suits everyone. A company pays a trucker a certain percentage for each trip. And it’s in the bag. But with such a primitive approach, an employer can lose the driver’s motivation, embroils drivers, and loses in profits. An employer should act more subtly.

What is the essence of a complex salary?

The legislation of EU countries does not contain direct instructions obliging an employer to establish a fixed part of the wage. But there is another requirement. A final amount to be paid cannot be lower than the norms established by relevant national labor laws.

Almost all European national legislation compose a trucker salary of constant and motivational parts. The first one should be constantly stable and greater at some level or equal to a national minimum wage. The second one depends on particular employee productivity. This will be the percentage of gross profits.

How much do truckers make in the USA and EU?

Now you know in brief the optimal payment method for truckers supported by the national legislation of EU countries. Further, we will see how much an average trucker earns in the USA and some countries of Western Europe.

According to data from the U.S. Bureau of Labor Statistics, the median annual income for heavy truck drivers is $39,260. It translates to an average hourly wage of $18.87. The median income from the occupation is $37,730.

A salary of the truckers in Spain depends on the type of company in which a trucker works or whether he is an owner operator. The latest collected data shows that the average salary of a truck driver in Spain ranges between 1,500 and 1860 Euros per month. In Germany, a large-scale analysis found that the highest salaries per month are between 2,600 and 2,650 Euros. The lowest average salaries are between 2,200 and 2,250 Euro.

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