Highway Transport Inc, Knoxville TN, has announced a driver pay increase in addition to its recent decision to begin paying drivers based on practical miles. The increase is based on a driver’s length of service, the carrier said.
The adoption of the practical mile system, combined with the pay increase, represents the largest driver pay improvement in Highway Transport’s 58-year history. In the past, drivers received longevity pay increases after reaching five and 10 years of continuous service. The new pay scale rewards drivers by issuing pay raises more frequently, after completion of three, five, seven, and nine years of service.
“These pay enhancements reflect Highway Transport’s desire to not only recruit new drivers, but retain our most crucial asset, the professional chemical tank truck drivers currently employed by Highway Transport who are trained on our systems and understand our customer’s needs,” says Gary Reagan, vice-president, operations. “The driver shortage is real, and those companies that figure out how to retain their drivers and keep their tractors staffed will succeed. At Highway Transport, we are trying to structure our culture, compensation, and benefits so that it becomes a difficult decision for a driver to leave our company.”
With the new pay package, a system driver can generally expect to earn gross wages of $55,000 to $60,000 annually and another $5,000 in accessorial pay. Regional drivers can expect to earn gross wages of $50,000 to $53,000 annually from the new mileage scale and another $5,000 in accessorial pay.
In addition to competitive pay and longevity rewards, the company offers free medical insurance for drivers after 15 consecutive years of service. "For every three consecutive years of tank truck driving, insurance rates get reduced by 20 percent," Greg Watkins, company president, said. Ultimately, after 15 years of service, our drivers do not have to pay anything for their family health insurance.”