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How the lack of holiday bonuses for truckers could impact the economy
Working during the holidays poses a heavier burden on certain sectors, with road freight transportation being one of the most affected. Although employers typically offer bonuses to workers during these times, many argue that these amounts do not adequately compensate for the additional effort required in December.
During the festive period, truck drivers anticipate working 15 extra hours per week, and according to a GoBankingRates report, 38% of them are certain to work even on Christmas. The pivotal role of truckers in keeping the country’s flow intact remains essential. Drivers are familiar with seasonal patterns and acknowledge that this year will require more effort than the previous one, hence they seek bonuses proportional to the hours dedicated to work.
The extensive time on the road takes a toll on truckers’ stress levels, as well as their social and family life, affecting their ability to cope with the demands of this busy season. Many workers admit it’s challenging to find time for holiday shopping, and often, their extended hours strain family relationships during this time of the year.
Will truckers receive holiday bonuses?
The decrease in consumer spending and rising costs has left many companies in a precarious situation towards the end of the year. During the crucial Black Friday and Cyber Monday weekend, several entrepreneurs report significantly lower sales.
According to a survey by PublicSquare and RedBalloon, both small and large companies plan to decrease or eliminate holiday bonuses this year. 42% of business owners who typically grant bonuses have decided to abstain this year. Another 28% stated they would continue to provide them but with reduced amounts. Only 5% expressed an intention to increase holiday gratuities compared to previous years.
Truck drivers may be disappointed by their employers’ decisions regarding holiday bonuses. Although 92% believe they deserve a bonus, only 51% expect one. Half of this group considers seeking other employment if they don’t receive a bonus. Additionally, 25% are already contemplating a job change, and 23% are evaluating the option of a complete career change.
Economic Consequences
The United States has faced a shortage of truckers for several years, though its severity decreased after the pandemic. According to a report by Warrior Logistics, the shortage was expected to decrease by 20% in 2023, based on a recession that has not yet occurred, according to most economists.
The road transportation sector contributes over $700 billion annually to the Gross Domestic Product (GDP). If 25% of truckers leave the industry early in the next year, this could trigger problems in the supply chain, product shortages, and a decline in GDP. The demand for truckers could increase, leading to an even greater shortage. According to Warrior Logistics, this would result in 160,000 new drivers needed by 2028.
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