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Raising the Standards of the Trucking Industry


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CDL Training Owner Operator Lease Agreement

Jul
24,
2012
0
Truth About Trucking

Truth About Trucking

CDL training standards is one of the many major problems in the trucking industry today, which leads to a new driver leaving a truck driving career within six months.

Recent CDL school graduates face many obstacles and all too often, their chosen career does not work out as they had hoped.

For the most part, it is not their fault and the blame for “failure” falls squarely on the shoulders of the trucking companies.  We are seeing a rise in one of the most deceitful practices by the truck transportation industry toward new, inexperienced drivers: the company owner operator lease agreement.

I received the following letter by mail a few days ago from a driver requesting assistance concerning this issue:

“I have been driving for nearly two years as an owner operator under my company’s lease purchase plan after they told me that this is “where the money is.”  I came right out of their CDL training school and have been stuck in this lease ever since. “

“They talk you into it and tell you that’s where the money is, but they don’t tell you that when you sign up, you will pay for your training even if you work for them a year.  The Government pays them and you pay them, and your loan ends up being about $7000-$8000.”

“I need to get out of here! I am only making $400-$600 per week, just like most of their company drivers and they are running between 40-50 new driver applicants through their school per week.”

“I wished I had known about you two years ago, but I just recently found your site and everything you say is TRUE!  This “starter company” as you call them, is a job from Hell!”  Can you help me find another company to drive for where I can make some real money?” 

Many times I have discussed the government subsidy programs which aid in these motor carrier practices and due to the continual hardships brought on by the 2008 recession, motor carriers are pushing harder than ever before to divert drivers from a company-driver position, into the position of an owner operator.

The largest liability for a trucking company belongs to the on-going costs and expenses of the truck: insurance, maintenance, fuel, etc.  If the company can talk you into becoming a highly paid owner operator so you will pick up all of these expenses, all the better for them.  Another practice that falls in line with these company owner operator lease programs, is the constant turning-over of the drivers, usually done by cutting their miles and starving them out.

The trucks used by these motor carriers for their owner operator lease purchase programs, have been paid off many times over, by former would-be owner operators who fell for their sales pitch.  Although there are some trucking companies who offer a decent truck lease plan, I believe that overall, drivers should stay away from company lease programs.  For the most part, they are designed for the driver to fail.

Our survey took place over a 15 month period, receiving 3,611 respondents and resulted in 72% of those responding, believing that the company owner operator lease agreement is deceitful.

It is best to retain your truck through an outside lending source and stay away from the trucking company owner operator lease plan.  I recommend Lone Mountain Truck Leasing as one source for outside commercial motor vehicle financing.

As we see a rise in the desperate maneuvering by motor carriers to sway drivers into becoming an owner operator, I felt it was time to reiterate the real truth about trucking.

© 2012, Allen Smith. All rights reserved.

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By: Allen Smith

Allen Smith is a 37 year veteran who started at an early age in a household goods family moving business. He began driving straight trucks in 1977 and moved to the big rigs in 1982. His experience within the industry includes; owner operator, company driver, operations manager, and owner of a long distance HHG moving business, taking many of the long haul moves himself when needed. Allen Smith, a truck driver advocate who is driven by the desire to help others succeed within an industry where injustice, unrewarded sacrifice, and lack of respect and recognition exists. Allen and his wife Donna are hosts of Truth About Trucking ”Live” on Blog Talk Radio. Other websites include AskTheTrucker, TruckingSocialMedia, NorthAmericanTruckingALerts, TruthAboutTrucking, and many Social Media websites. In 2011 Allen and Donna hosted the first Truck Driver Social Media Convention, designed to create unity and solutions for the trucking industry. This is now being extended through the North American Trucking Alerts network as those within the industry join forces for the betterment of the industry. Allen strongly supports other industry advocates who are also stepping up to the plate to help those who share honesty, guidance and direction. He believes that all those involved in trucking need to be accountable for their part within the industry, including drivers, carriers, brokers, shippers, receivers, etc… The list of supporters and likeminded people grow daily, networking together and sharing thoughts and ideas for the betterment of trucking. He has coined the popular phrase "Raising the standards of the trucking industry"

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