One company has specifically asked customers not to abuse drivers. Photo / 123rf
''Dire'' and a ''storm on the horizon'' is how two experienced major transport company owners describe the state of the industry.
One has sent a letter to customers saying ''please don't abuse our dispatchers and drivers'' as an industry organisation reveals a shortage of 8000 freight drivers that is fraying nerves and causing stress.
National Road Carriers Association chief executive Justin Tighe-Umbers said this abuse was a growing trend and not isolated to the transport industry.
''It's a sad reflection of increasing levels of stress, frustration, and corresponding deterioration of mental health.''
Meanwhile, escalating costs, new truck or crane wait lists of 18 months with increased price tags of 30 per cent alongside rising wages were also taking its toll.
Orion Haulage owner Glen Mackay said the situation was ''dire and getting pretty bad''.
His company had six vacancies in the Bay of Plenty and 15 nationwide.
''We just can't get people.''
He said most customers were understanding but ''some just don't care about our problems and can get quite nasty''.
''One of my managers just sent out a letter, which I approved to go out to customers saying... please don't abuse our dispatchers and drivers. We can take it - talk to the senior manager. Or abuse me, I have big shoulders.''
A new truck that was supposed to be delivered in April was still overseas which meant more maintenance for older trucks to keep them on the road.
The company ran its own large truck workshop in Morrinsville and Mackay said getting mechanics was another problem.
''There are none in the country. We're short-staffed and have got immigrants coming in . We've got approval for six and I think hopefully three will be here by Christmas.''
Mackay was trying to stay positive and was passionate about the sector which he had been involved with his whole working life after following in his father's footsteps.
''The reality is there are people under a lot of pressure. I keep saying it is going to change but it just shouldn't be this hard. It's certainly taken a lot of fun out of the industry and life that is for sure.''
McLeod Cranes and Hiabs managing director Scott McLeod said a ''storm was on the horizon''.
''We're already under stress in our business with lack of operators. So that causes delays on people's jobs and a lot of juggling has to go on with our dispatch team. I have been advertising for drivers and operators for over six months with very few applicants, if any.''
The company had 10 to 15 jobs available.
McLeod did not see a quick solution other than employing people from overseas and he said the business already had three full-time trainers on staff so ''it's not like we aren't training''.
''The training to get someone up and running is significant. We are flat our training but that's not going to fill the vacancies we have.''
He said the consumer was ''hurting at the moment because a lot of that stuff is adjusted constantly to ensure we can pay our bills''.
''People will start to see the fuel adjustment factor on their invoices which is used to compensate for the crazy fuel prices we are seeing. You can see it in inflation and the wages drivers are now achieving... it's across the board.''
A new crane could take 18 months to get into the country and it could cost 30 per cent more next year. The company was also being asked by manufacturers to think about what parts it might need.
''Parts supply is going to be a major issue,'' he said.
''So you might have a breakdown and you might be broken down for a period of time while they source a part for you. I've already experienced that with one of my cranes where they were taking parts off new machines because of the delay in getting parts out of Germany.''
He said this year a 100-tonne crane was parked up because it took eight months for the part to arrive.
''We are sort of generating the perfect storm.''
Tighe-Umbers, of the National Road Carriers Association, said issues in the industry had a knock-on effect that impacted the economy which ''goes upstream to the end customer''.
The association estimated an 8000-driver shortage across all freight-type vehicles nationwide. That number came from a survey the organisation conducted earlier this year with members who reported driver shortages were now a critical issue.
New Zealand had more than 155,000 trucks according to the Ministry of Transport's fleet numbers, many of which are double or triple-shifted, he said.
Added to that was an allowance for the aging workforce that should but could not retire and the growth in GDP, which although modest, would result in an increase in freight – more drivers will be certainly needed in the future.
''We believe this number is on the conservative side.''
He said the driver shortage caused delays for materials, goods, services and livestock.
Some owners were back driving and under pressure, while drivers had taken on more shifts - and that is ''actually taking a toll''.
The general operating environment was ''really hard and difficult''.
More work was being done by fewer people and it was not unexpected that people's behaviour had changed. The stress of Covid added to this.
''When a customer places an order, they have often waited weeks or months for it to arrive, the truck delivering the goods is the last link in the supply chain – often a supply chain that has suffered multiple delays throughout the process. Unfortunately, the poor truck driver, who has no control over the delays throughout the process, often bears the brunt of the end customers' frustration.
''Fortunately, 99 per cent of the time drivers are patient and get on with their job, 1 per cent of the time it requires an owner or manager to get involved and remind customers how to behave.''
The association represents about 1500 trucking firms and associate members and owner-drivers, who had 20,000 vehicles.
Nick Leggett, chief executive of freight transport industry organisation Transporting New Zealand, said the driver shortage had been a factor in the road transport industry for 25 years.
The organisation did not agree there was an 8000-driver shortage because that represented 20 per cent of heavy vehicle drivers in the road transport industry.
''The supply chain would have far more serious problems than we are seeing if that were occurring.''
In its view, it was more like 2400 drivers short, a figure sourced from Dot Loves Data and PerformX, a new tool it was hoping to get funded that would provide benchmark statistics on employment and training in the industry.
''The solutions to the issue primarily lie with transport operators attracting, training and investing in new staff. Migrant visa holders are a small part of the solution.''
Leggett said the organisation had built specific NZQA qualifications plus a training programme.
''This is a great opportunity for anyone wishing to be a truck driver. We have 52 trainees in place having started the traineeship in 2021. We are hoping to build that to 1000 within 18 months.''
A survey of about 400 transport operators completed in August this year showed most were under cost pressure.
Of that number, 80 per cent had increased driver pay rates in the past year. The median hourly rate for Class 5 heavy truck drivers was now more than $31 an hour compared with $26 per hour in 2020.
He said one in five operators could not pass on any costs to customers and ''not being able to pass these costs on puts companies in jeopardy''.
He agreed delays were part of wider international and national supply chain issues and not just a trucking issue.
''So I think it is really important to focus on those customer-facing members to ensure they are supported ... which employers are clearly doing.''
Transporting New Zealand recently launched health and well-being resources including a Wellbeing Warrant of Fitness and had run a diversity programme.
''Celebrating diversity and belonging is key to improving the industry as a welcome place to be. A younger and more diverse workforce is the only way we are going to mitigate a driver shortage over time.''
Cranes Association of New Zealand Inc chief executive Sarah Toase said from her perspective, ''we are not going through anything that any other sector is not facing at the moment with increasing costs and shortages of people''.
''For the crane industry, our human resource shortage started before Covid. It has been exasperated by Covid but it's not something new.''
The association was taking a holistic view and training was vital although she acknowledged the current pinch point in the industry was skilled operators with a minimum of five years of experience on a decent-sized machine.
''So it's not possible to address the current skills shortage by training people. If you are a skilled operator in New Zealand at the moment and you're not in a job, it's because you don't want to work.
''I would say probably almost all crane companies in New Zealand would take on an operator a skilled operator today.''
One alternative to ease the pressure was to bring skilled operators in from overseas and continue to train and attract people into the sector.
Toase said it was a great career option with significant progression opportunities.
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