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NRMCA 2007 Developing Industry Leaders Driver Recruitment and Retention. La Jolla, CA March 18 – 21, 2007. Developing Industry Leaders Group Members. Darryl Keiser, New Holland Concrete Brad McMahon, Transit Mix Concrete David Semones, Lafarge North America Matt Smith, Smith’s Ready Mix - PowerPoint PPT Presentation
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NRMCA 2007 Developing Industry Leaders
Driver Recruitment and Retention
La Jolla, CAMarch 18 – 21, 2007
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Developing Industry Leaders Group Members
Darryl Keiser, New Holland Concrete Brad McMahon, Transit Mix Concrete David Semones, Lafarge North
America Matt Smith, Smith’s Ready Mix Leif Yderstad, Lafarge North America Tom Zais, Texas Industries (TXI)
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2006 DIL Driver Recruitment and Retention Summary
Driver Recruitment and Retention Survey Distributed Through NRMCA
Results of Survey - Factors Impacting Recruitment & Retention: Labor Pool Hours of Operation Compensation & Benefits
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2006 DIL Driver Recruitment and Retention Summary
(cont.) DRR Task Groups Objective – Develop strategies to solve Driver
Recruitment and Retention Issues Recruitment Strategies
1. Improve Image of Industry through Communication
2. Customizable Material to Promote Industry
3. Conduct Labor Pool Market Research
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2006 DIL Driver Recruitment and Retention Summary
(cont.) DRR Task Groups Retention Strategies
1. Comparative Compensation Statistics
2. Develop Front Line Supervisor Training
3. Promote Industry Image
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2007 DIL Group Objective
Conduct Market Research to Identify Comparative Compensation Statistics
Identify Benefits Most Important to Drivers
Understand Why Drivers Leave the Industry
Provide Best Practice Recommendation
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Wage and Benefit Survey Summary 2006 ComparisonClass B Drivers Southeast
Short HaulS. Central Short Haul
National Truck Drivers Long Haul
US Labor Dept
Concrete
NRMCA Nat’l Averages
Hourly Rate Avg $15.00 $16.82 $17.50 $16.34 $16.19
Salary Avg $35,000 $37,600 $40,000 $33,980 $35,847
Hourly Entry Rate $12.50 $12.65 $15.25 $14.40
Top Hourly Rate $18.00 $22.50 $24.37 $21.58
Incentive Pay Attend/Safety Bonus
Load Bonus Mileage Bonus Mileage/Load/Safety/Attend
Vacation 1-2 weeks 1-3 weeks 1-5 weeks 1-5 weeks
Health Benefits Yes Yes Yes Yes
Retirement Plan Yes Yes Yes Yes
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2006 NRMCA National Mixer Driver Championship – Driver
Survey 27 Drivers Participated in Job Satisfaction Survey Championship Driver Demographics
Average years with company was 11. 2 years Average years driving mixer 13.1 years Driver championship competitors represented 16
states. The biggest US concrete producer states, CA, FL, and TX (~ 25% US annual capacity), represented 31% of the driver championship participants.
The sample pool of drivers is not a valid data set for comparison against mixer drivers in the industry-at-large.
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2006 NRMCA National Mixer Driver Championship – Driver
Survey Goal of Survey: Ascertain Positive and Negative Aspects of Job
Top 5 Job Satisfaction Factors ranked in order:
1. Relationships with co-workers2. Condition of equipment3. Company Reputation4. Company emphasis on Safety5. Company valuing diversity
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2006 NRMCA National Mixer Driver Championship – Driver
Survey Top 5 Least Satisfying Job Factors ranked in order:
1. Management lack of involving drivers in company improvement
2. Disciplinary Actions by Supervisors
3. Supervisor hiring – interviewing – driver selection process
4. Management lack of recognition for a job well done
5. Management not encouraging drivers to share ideas or feed back.
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2006 NRMCA National Mixer Driver Championship – Driver
Survey Top 5 Reasons Drivers Quit Their Job
1. Work Hours
2. Pay / Compensation
3. Supervision / Management
4. Job Duties
5. Lack of Respect or Recognition
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2006 NRMCA National Mixer Driver Championship – Driver
Survey Condition of Equipment Highlight Driver personal connection to their truck and
sense of personal ownership Management policies that respect the sense of
personal ownership Drivers should be dispatched by name not truck
number
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Best Management PracticesWages and Benefits
The Ready-Mix Industry appears to be relatively competitive with respect to wages and benefits across all trucking industry segments. Areas of key importance:
Financial Security and Retirement Programs Consider 401(k), IRA, or a Profit Share vesting
Performance Rewards Consider performance pay programs to equitably reward top
performers and tenured employees Hours of Service
Clearly identify expectations of position in hiring process and continually reinforce the importance of scheduling flexibility in communication program
Consistency Exercise consistent wage treatment between locations of all
employees
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Frontline Management Training
The Changing role of a Supervisor Transitioning from Employee to Supervisor Skills needed to be an effective Supervisor Developing others – Building a team Progressive Discipline Recognition of a Job Well Done NRMCA will Launch a Front Line Supervision
Workshop this Fall
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Best Management PracticesConsistent Personnel Management
Weaknesses Areas for improvement:
Establish consistent communication pipeline with drivers
Emphasize front-line management and daily contact with supervisors
Publicly recognize and reinforce positive behaviors
Continually educate front-line personnel on executive vision and strategic initiatives
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Best Management PracticesCommunication Enhancement
Monthly Employee Newsletter Establishes a consistent communication
pipeline with drivers Presents opportunity to publicly recognize and
reinforce positive behaviors and organizational successes
Should include photos of personnel, events and activities that represent the spirit of the organization
Should include personal executive updates on goals, initiatives and strategic vision for the organization
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Best Management Practices
Feedback Establishment Execute an annual employee survey (sample survey in appendix) Should be anonymous Investigate employee perceptions on organizational
and management strengths and weaknesses opposed to an evaluation of employee satisfaction
A survey specialist should be engaged to assure collection of valuable information
2 NRMCA Committees (Operational, Environmental, and Safety as well as Educational Activities Committees) have recommended for the NRMCA to conduct a national mixer driver survey
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Best Management Practices
Feedback Establishment Implement employee suggestion/comment mechanism Provide suggestion boxes and comment cards at each plant or
truck base location Consistently respond to suggestions through newsletter or
posted memorandums at each plant or truck base location Management should acknowledge all suggestions and respond
appropriately by taking action or explaining a lack of action
Publicly post organizational initiatives and progress reports Should include overall organizational performance Declaration of organizational goals and monthly progress
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Best Management PracticesAdvancement and Training
Opportunities Concrete Delivery Professional Program
NRMCA Program to enhance prestige and professional recognition
Driver Trainers/Mentor Drivers Provide supervisory experience and establish
personal connection with other drivers. Facilitates sharing of best practices.
Concrete Technologist Certification Enhances QC and offers new career paths to
drivers
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Summary
The wages and benefits offered by most R/M companies are relatively competitive with other trucking organizations. Most trucking companies fail, however, in fundamental personnel management practices. Driver Retention can most significantly benefit from the implementation of sound personnel management practices and the establishment of clear lines of communication with each employee. Several BMPs have been identified through the course of our research and continued identification of programs should be encouraged to differentiate the R/M industry from other trucking segments.
