Sharp ■ Informed ■ Challenging
9.8.21
Anger over pay and conditions isn’t building sufficient support for action
HGV drivers divided on nationwide strike plan O N WA R D & U P WA R D W W W. M TAWA R D S .CO . U K
NEWS INSIDE Walkers finds its balance
Drivers offered four-day week p3
Palletforce shake-up
Conroy in new EV Cargo role p4
Highway hierarchy
Cyclists given new priority
p6
OPERATORS INSIDE Air Products ...........................................p6, p16 Eddie Stobart ................................................ p3 EV Cargo ....................................................... p4 GXO Logistics ................................................ p3 Hermes UK.................................................... p3 John Lewis Partnership ................................. p3 Knowles Transport ........................................ p3 Maritime Transport........................................ p4 Palletforce .................................................... p4 Panther Logistics .........................................p18 SCS Logistics ...............................................p16 Transervice Express Transport ......................p14 TWE Haulage ...............................................p16 Walkers Transport......................................... p3 XPO Logistics ................................................ p3
Doubts are growing that there is sufficient support for a planned national HGV drivers’ strike. Action originally planned for 23 August has been delayed as the organiser, the Professional Drivers Protest Group, seeks to build support to 5,000 drivers. It now has some 3,800 members. The strike threat stems from anger among drivers at wage levels and conditions and contempt for some of the bonuses supermarkets and logistics operators have recently offered (see below). But support on the group’s Facebook site, ‘HGV drivers on STRIKE United Kingdom’, has been muted. One driver who asked who would be supporting the strike had received only 13 affirmative replies as MT went to press. Another questioned why the Facebook site did not have more members when there were over 600,000 drivers in the UK. One commentat or on TruckNetUK said: “The industry is too fragmented and drivers only care about themselves. Just give up all this talk of strikes and unions. It is never going to happen. Ever.”
Photo: Shutterstock
By Carol Millett and Tim Wallace
The RHA said the strike plan was both “unhelpful and counterproductive” and warned it would only put more pressure on the supply chain by exacerbating the driver shortage. Meanwhile, the government has rejected pleas for temporary foreign visas for EU workers and for HGV drivers to be put on the Shortage Occupation List. Instead, a consultation has been launched on allowing drivers to take one test for both an articulated and rigid truck, which would allow some learners to take the articulated lorry driver practical test without needing to pass their rigid test first. RHA MD of policy and public affairs Rod McKenzie said that extra problems caused by the ‘pingdemic’ had “now eased off” and that some of its members had “never been busier”. “But many others are saying they
can’t find drivers and can’t fulfil orders,” he added. “I can think of one very large general haulier that is very worried that it has got so many vehicles parked up. Smaller and medium-sized companies are also having serious issues.” McKenzie also warned that the bonuses being offered to drivers would not help. “All we’re doing is poaching from one company to the next using the same limited pool of drivers,” he said. “We need long-term solutions, which is about recruiting fresh blood by paying decent wages and having reasonable conditions. Younger people don’t like the tramping lifestyle that’s presented. So the creative companies are thinking around different roles and how they can dice and slice orders so they can meet customer demands but make the job more attractive for new staff.”
TAKE THE BAIT: John Lewis Partnership (JLP) has joined a growing list of supermarkets and logistics operators offering incentives to drivers amid the current industry labour shortage. JLP and Waitrose HGV drivers have been offered a pay rise of around £2 per hour across all regional and national distribution sites. Around 900 drivers currently employed will benefit from the higher pay rates. JLP is also offering a welcome payment of £1,000 to new HGV drivers with C+E licences joining the business before November. It is also establishing a new driver training programme. The move follows news that Marks and Spencer is to pay new HGV drivers a £2,000 sign-on bonus. The retailer’s offer tops Tesco’s recently announced incentive of a £1,000 bonus for new drivers, but falls behind Gist’s new offer of a £5,000 bonus. Other supermarkets promising bonuses and pay rises include Aldi, which has raised its driver pay rates, and Asda, which also recently announced a £1,000 sign-on bonus for new drivers.
CV Show preview p8 Vox pop: Driver shortages p10 Viewpoint p12 Driver training p14 Interview: Panther Logistics p18 Interview: Partners& p24
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Scania on ‘eHighway’ to electrified trucking as trial begins Scania is taking part in a major trial of long-haul electrified trucks powered by overhead wires on the UK’s motorways. If successful, it could see long-haul electrified HGVs take to the UK’s major roads by the 2030s. The nine-month trial, which is the first of its type in the UK, is being run by a consortium which includes Scania, Siemens Mobility, Costain and The Centre for Sustainable Road Freight. It is using Siemens Mobility ‘eHighway’ technology, which allows adapted trucks to attach to the overhead catenary wires. Asked if the system could deal with doubledeck trailers, Scania ERS truck manager Christer Thoren said the issue would be reviewed “to
ensure there is an appropriate solution”. Electric road proponent Justin Laney, general manager, central transport, at John Lewis, said the height differences versus Europe were “a barrier that can be fixed”. “No one is disputing that catenary is way
more efficient than hydrogen, and that also means it’s cheaper and more sustainable in simple terms, but clearly it’s more complex than that and Zemo,SRF and Element Energy are doing good work in this area.” David Landy, head of fleet at Hermes UK, added: “I don’t think the double-deckers will be the issue as it is simply a taller pantograph. However, this may cause an issue with some of the narrow clearances you see between the trailers and the bridges on motorways.” n Leyland Trucks is to participate in a DfT project this summer designed to help operators make the transition to battery electric vehicles. The £10m trial will employ 20 DAF LF Electric 19-tonne rigids.
New flexible working pattern aims to boost morale and performance
Walkers steps up with four-day week offering
By Carol Millett
Walkers Transport has launched the first four-day working week ever recorded in the logistics industry. The Palletways member, which has depots in Leeds, Manchester and Fradley, is making the offer available to its drivers, who have the choice of continuing to work a base of five days a week or moving to the new four-day system. Dubbed ‘Walkers Balance’, the initiative aims to offer flexible working patterns to suit employee lifestyles. The scheme will also
continue to offer Walkers’ Elite Driver rewards, which allows drivers to earn an extra £4,000 per year on top of their salary. Other benefits include a BUPA medical scheme, 23 holiday days and, with the four-day week, an additional
52 non-working days a year. The scheme also aims to incentivise drivers to earn more depending on the hours they work, with a higher hourly rate paid on the four-day arrangement. Group operations director Scott Hobman said the firm’s new employment programme was a landmark moment for the logistics industry. “This is a huge investment for the company and we need to ensure that it not only benefits employees, but also the business through improvements in absenteeism, morale, performance and retention.”
GXO Logistics ready to stand alone from XPO XPO Logistics has completed its spin-off of GXO Logistics. XPO will continue as a provider of freight transportation services, less-than-truckload transportation and truck brokerage services, whilst GXO will become what XPO claims is “the largest pure-play contract logistics provider in the world”. The new business will focus on the growth in e-commerce and outsourced supply chain services. Malcolm Wilson, former chief executive of XPO Logistics Europe, has been named chief executive, while Richard Cawston, who was XPO’s president for supply chain logistics in Europe, will continue in that role with GXO.
Eddie Stobart sets seal on Doncaster warehouse lease ORANGE CRUSH: Logistics firm Knowles Transport has boosted its fleet with the purchase of 50 Volvo FH460 Turbo Compound vehicles – the largest single order in the company’s history. The Cambridgeshire-based family firm said the move would support its expansion and comes in response to increased demand, with 33 of the vehicles replacing existing trucks and the additional 17 helping to support growth. The new vehicles come with Volvo’s ‘I-Save’ fuel saving technology and forward- and side-facing cameras. 9.8.21
Eddie Stobart has put its marker down on a major facility at Mulberry Logistics Park in Doncaster, South Yorkshire. The logistics firm has signed a pre-let contract agreeing to lease the 565,000sq ft unit before its construction is completed. The build-to-suit unit, which equates to approximately half of the first phase of the scheme, is located close to the A1M motorway, near Junction 34.
It has 545,380sq ft of warehouse space, as well as 15,000sq ft of offices, plus a 5,000sq ft hub office. It will also have 440 car parking spaces and room for 127 HGVs. There are plans for 72 dock and 12 level access doors. MotorTransport 3
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Palletforce boss takes newly created role to spearhead UK development
EV shakes up top team Palletforce boss Michael Conroy, pictured, has taken on the newly created role of chief executive of EV Cargo UK, as part of a major management restructuring. His promotion is part of a wider strategy by parent company, Hong Kong-based EV Cargo, to boost global revenue from $1.4bn (£1bn) to more than $3bn by 2025,
through organic growth and mergers and acquisitions. The UK management shake-up also sees Ross Eggleton, formerly UK executive vice-president of business development, take on the role of UK chief operating officer, whilst EV Cargo technology chief executive Craig Sears-Black becomes executive vice-president
of growth and innovation. Industry veteran Adam Leonard has been appointed as Palletforce’s new chief executive. His previous posts include chief executive of The Pallet Network (TPN) which he joined in 2000 as general manager, leading a management buyout in 2007. Leonard left TPN in 2016 and
in 2018 joined the fledgling Principle Pallet Network (PPN). In January 2020 he returned as Palletforce’s member relations director.
Frugal demonstrator drives Maritime Transport into 100-Actros order Felixstowe-based Maritime Transport has added 100 new-generation Mercedes-Benz Actros tractor units to its fleet – its first order from the manufacturer since 2017. The operator made the move after successful trials of a demonstration unit supplied by East Anglia Dealer Orwell Truck & Van. The company said the demonstrator was already undergoing evaluation by Wincanton when its container transport business was acquired by Maritime last autumn.
Maritime fleet director Paul Heyhoe, said: “We’d found that with our 16- and 17-registered Actros the mpg returns started to improve after they’d been on the road for between a year and 18 months, and continued doing so for a while. “The demonstrator’s fuel performance was really good from the outset. We gave it to one of our long-distance trampers, then compared the figures with the 18-plate truck he’d been in previously. The demonstrator was a full mile per gallon better.”
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Rule changes ‘increase danger’, insists RHA
By Chris Tindall
The government has forged ahead with its plan to overhaul the Highway Code, giving cyclists right of way at junctions and making HGV drivers bear the greatest responsibility to other road users. To the dismay of the industry, Transport Secretary Grant Shapps announced a raft of controversial updates to the rules of the road, creating a “hierarchy of road users” that he said would ensure those that can do the greatest harm have the greatest responsibility. The new version of the Highway Code also strengthens pedestrian
priority on pavements and when crossing and hands cyclists priority at junctions when travelling straight ahead. The RHA said it was “extremely concerned” at the “unsafe” changes, with chief executive Richard Burnett saying there was little, if any, justification for them. “The new priority rules for cycling are wrong,” he said. “We have been campaigning for years to make cyclists aware of the dangers of undertaking turning HGVs, but it now appears that they have right of way. “This will encourage unsafe
Photo: Shutterstock
Safety fears as Highway Code puts bikes first
Air Products will switch 2,000-strong fleet to hydrogen
manoeuvres by cyclists, who are then absolved of responsibility for their actions towards motorists. “The rules around pedestrian priority make sense; the change for cyclists increases road danger and collision risk. “The hierarchy of risk created by the operation of cars, vans, coaches, buses and lorries is already reflected in the additional ongoing training undertaken by lorry and coach drivers,” Burnett added.
Gas supplier Air Products and Cummins have announced a partnership to accelerate the integration of hydrogen fuel cell trucks in Europe, the Americas and Asia. Cummins will provide the fuel cell electric powertrains integrated into OEM partners’ HGVs for Air Products, which plans to convert its 2,000-strong global fleet to run on the natural gas. The demonstration phase is expected to begin in 2022. Seifi Ghasemi, Air Products’ chief executive, chairman and president, said: “We believe hydrogen is the future for heavy-duty segments of the transportation market and we can demonstrate to the world its merits by being a firstmover in transitioning our heavy-duty fleet of trucks to hydrogen fuel cell electric vehicles.”
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Decarbonisation agenda is set to top the bill at Freight in the City Expo
Call it quits on carbon By Hayley Pink
Government ambition to decarbonise the road transport sector could see smaller diesel trucks up to 26 tonnes banned from 2035, with larger trucks following by 2040. That’s only 15 years away, so fleet operators need to act now and make sure they are up to speed
with the latest vehicle technology and R&D work taking place. Freight in the City Expo at London’s Alexandra Palace on Tuesday 28 September is the place to hear from leading industry experts on the topic of decarbonisation, and see the newest zeroemission models on the scene. The free-to-attend one-day show
will equip you with all the knowledge you need to start your journey on the transition away from diesel, from trucks, vans and micro-vehicles to tyre technology and charging infrastructure. The exhibition in one easy-tonavigate hall includes a topical conference in the centre. Leading industry presenters include TfL Commissioner Andy Byford, whose keynote speech will focus on work taking place to keep freight moving in the capital as it looks to recover from the Covid-19 pandemic. HS2’s head of logistics, meanwhile, will talk through the fleet tactics used to mitigate the environmental and road safety impact of lorry movements across its sites; while DPD will share the latest green initiatives it is working on in urban areas. Elsewhere, Logistics UK will update delegates on the latest urban regulations, while Grid Smarter Cities will share its knowl-
edge about the benefits of digital kerb management being deployed by local authorities. ‘Electric unplugged – taking your first steps with electric CVs’ will offer expert guidance from Harris Maxus, Campbells Consultancy, Renault Trucks UK & Ireland, and Siemens eMobility. The afternoon debate will look at the future of urban delivery vehicles and how this will be shaped by the government’s Transport Decarbonisation Plan, as well as a providing a round-up of exciting new technology in our ‘Innovation Insight’ session. You can view the full conference programme, check out the latest exhibitors confirmed to attend and register for your free place at freightinthecity.com
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Ford unveils new telematics system as Harris Maxus shows off SAIC EVs
Lightweights set to steal the show
By Steve Hobson
Operators running diesel vans may be wondering what will replace them when their sale is banned in 2030, but a visit to the CV Show might provide some answers. Ford will have its usual large stand at the CV Show with no fewer than 20 vehicles on show – though the focus this year will be on software rather than hardware as the manufacturer will be showcasing its latest telematics system, FORDLiive. Data is handled at the European FORDLiive centre at Dunton in Essex, which then links to the Transit Service dealer network. “Once we have directed vehicles there from Dunton, they operate a triage service so vehicles are prioritised according to what can be sorted there and then, or whether there needs to be a discussion about a courtesy vehicle with the right equipment onboard so the business can continue to operate,” said Oliver Rowe, Ford of Britain product affairs manager. “There is a 60% improvement in uptime as a result.” This figure applies to the current line-up of internal combustion vehicles and it is widely expected that battery electric vehicles (BEVs) will require far less repair and maintenance. But Ford remains unsure about the pace of take-up 8 MotorTransport
of EVs despite the government ban on the sale of non-zero emissions vans in 2030. “In the van world it will be interesting after 2030 what exactly the rule is on new sales,” said Rowe. “Will all vans be BEVs or plug-ins then? It seems difficult to get a straight answer. But yes there will be a switch of focus for FORDLiive and it will become more a discussion in 10 years’ time about the efficiency of routeing and how operators handle the last mile.” While Ford continues its research into hydrogen, the focus for the coming years will very much be on BEVs. There are now 25 variants of the 2-tonne battery electric E-Transit which has a range of 220 miles – more than enough, bearing in mind that Ford reckons the average van only travels 70 miles a day. It also includes 230V sockets to allow the use of conventional power tools on-site. Ford will have an electric version of all its vans available by 2024, with an electric version of the Transit Custom coming in 2023. The latest models in the Maxus electric van range, the e Deliver 3 and the e Deliver 9, will be on
display at the CV Show. The previous model, the EV80, was one of the first OEM battery electric 3.5tonne vans on the market when it went on sale in 2017, capturing significant sales as a result. Mark Barrett is general manager of Harris Maxus, the Warringtonbased importer of the Chinese vans made by SAIC and formerly known as LDV. He said the latest models were much improved on the EV80 and, despite stiffer competition from the European brands’ electric offerings, would be of strong appeal to drivers.
“We have gone beyond buying a token trophy electric vehicle,” he said. “The electric works and it works well. So the product is now speaking for itself and the flexibility of the variety of battery options in the e Deliver 9 to match the range and payload is a big plus.” With a maximum range of almost 220 miles, few van operators need have concerns about the e Deliver 9 coping with typical last-mile delivery routes. The price of diesel vehicles is now increasing as the cost of meeting ever stricter emissions standards rises and their expected life span falls, Barrett said. “EVs are about double the price and the grants are getting smaller, but costs of electric vehicles will fall to balance that out,” he said. “Maintenance is 50% to 70% less and it is more like 70% on stopstart operations. Mention the word ‘DPF’ to any fleet operator and you get a similar reaction from them all!” The ban on sales of new diesel and petrol vans up to 3.5 tonnes in 2030 has led to fears of a shortage of zero-emissions vehicles, but Barrett is confident vehicle supply at least will keep pace with demand. “The biggest concern for every manufacturer now is batteries,” he said. “Battery technology is accelerating at a rapid pace – SAIC has invested in a joint venture with CATL [the Chinese battery manufacturer that supplies Tesla] which now seems to be one of the best moves it has ever made. It gives us access to the latest batteries and management systems.” ■ The e Deliver 9 is shortlisted in the Clean Fleet Van of the Year category of the 2021 Motor Transport Awards. The winner will be announced at the Grosvenor House Hotel in London on 2 September.
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VOX POP Have you raised pay? Will it ease the driver shortage? Bob Terris, chairman, Meachers For a number of years we have increased pay and benefits well in excess of inflation. In June we increased pay by three times the inflation rate. Pay increases will help with retention and attract new employees, but financial help for prospective entrants to the industry and improved pay and conditions is the long-term answer. Recognition of the contribution our industry makes to the economy will help, but the costs involved will have to be passed on, which will be inflationary. Clive Brooks, MD, ABE Ledbury We implemented an inflationary increase in July in our annual review. I see very little impact with the government’s initiatives. As safety must always be our primary concern I don’t subscribe to increasing hours. The extra availability of tests is welcome but just a small piece of a bigger puzzle. Companies aren’t increasing drivers’ wages to induce more people into the industry, but purely just to poach from each other. The answer is to encourage new talent in the industry with training programmes and improve working
conditions. The increase of government funding towards apprenticeships will help, but the rest is down to us. Stuart Charter, MD, Aztek Logistics In the short-term we have increased our driver pay, but we have also had to increase our costs to customers, which long-term compounds the problem. Government attempts to ease the driver shortage pour petrol on a bonfire started, perhaps unintentionally, as part of the Brexit process. Extending drivers’ hours, for example, is fundamentally dangerous, as is latest consultation on reducing the number of qualifications to speed up the process, which will only serve to put inexperience in the driving seat and encourage the wrong kind of motivation. Moreton Cullimore, MD, Cullimore Group We have increased pay twice this year for drivers, but the construction market is very competitive so the increase to the bottom line is straight out of our margin. That means we haven’t been able to give the larger pay increases seen elsewhere. Pay across the UK has increased several times
LETTERS
this year, but this isn’t bringing more HGV drivers to the job market, it’s simply about trying to retain them. The real issue is much wider – facilities, safety, regulations and cultural changes are a huge part of the problem, all of which need to be addressed together. It is disappointing that it takes a pandemic for the penny to finally start to drop. Dan Cook, operations director, Europa The driver shortage has rapidly increased pay rates and Europa has increased salaries in the past month. But if paying more entices a driver from another company we are simply shifting the problem around, so we are investing in in-house training to create extra drivers, hopefully over the next six to nine months. The government needs to classify HGV drivers within the Shortage Occupation List and invest in creating new drivers. Also, tight-timed window deliveries, the expected norm these days, do nothing to increase vehicle and driver optimisation. They drive inefficiency to be at fixed places at fixed times, which don’t necessarily make logical sense to an optimal routing plan. The consequence is that firms double the capacity to achieve the same activity.
Send your letters to the editor at steve.hobson@roadtransport .com
Further to the recent article in Motor Transport entitled ‘Trade bodies too meek on DVS’ [MT 12/7/21, P6], I am writing to reject claims that we have failed to represent the road transport sector in relation to the Direct Vision Standard (DVS) and are “ready to go along with any measures that Transport for London (TfL) comes up with”. We have strongly objected to the introduction of DVS since plans were first announced by the Mayor of London, Sadiq Khan, in 2016. Since then, these objections have been relentless and widespread amongst policy and decision makers, which include the Mayor of London, the current and former Secretary of State for Transport, and several current and former government ministers. In addition, there has been significant dialogue with the current and former TfL Commissioner, Head of Surface Transport and the wider TfL team. We have not held back in publicising our opposition to DVS and specifically the speed with which the scheme was being rolled out and the damage this would inflict on SME businesses that make up 85% of the sector. It is important to note that as the pandemic took hold in early 2020, we were instrumental in securing a delay to the implementation of DVS, requesting the Secretary of State for Transport for his immediate intervention to ensure critical supply chains would be able to continue in the capital. A few months later, we forced an apology from TfL following a DVS-related press release that contained misleading and inflammatory language, promoting a distrust and hostility towards operators of heavy goods vehicles when referring to their relationship with vulnerable road users. I am sure you will agree that we are right to challenge the suggestion that we have been afraid to represent the interests of our members and the wider industry on this matter and I hope this letter helps to clarify this. Rod McKenzie MD – policy and public affairs, RHA 10 MotorTransport
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We have not held back in opposing TfL
Trade bodies lacked action over DVS The article on our trade bodies’ lack of action on DVS is totally correct [MT 12/7/21, P6]. How many restrictions are transport companies going to face before a bit of common sense prevails? My solution would be to give the mayor, and London, a pleasant two-week holiday from all road transport. I feel sure that would focus their approach to our vital industry. James Adams, JR Adams (Newcastle) 9.8.21
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Let the migrants do the job N o one can now deny that the HGV driver shortage is very real and starting to affect deliveries. After years of the RHA and Logistics UK being accused of crying wolf, the sheep are now being well and truly devoured. Steve Hobson The problems with getting more young Editor people to drive trucks have been well Motor documented, but solutions remain thin Transport on the ground. I’ve covered other industries including utilities and construction, and logistics is not unique in being seen as a not particularly attractive industry for school leavers. Brick layers and sewerage workers are probably even less recognised than truck drivers, but do an equally vital job. The problem, as Driver Require’s think-tank has identified, isn’t a lack of younger drivers with HGV licences. The real problem is convincing them to work in an industry that has been forced by competition to squeeze pay and conditions to the point where it is no longer generally a good place to work.
Is it time to accept that logistics, like London restaurants and construction, has to rely on immigrants to do the jobs that our homegrown workers do not want to do? Isn’t it a cruel irony that operators are offering signing-on bonuses of £5,000, while migrants desperate to come and work in the UK are paying £10,000 to be smuggled across the English Channel? Brexit and the illusion of taking control of our borders to limit immigration to the tens of thousands – remember that Tory pledge during the referendum campaign? – has stifled the legal flow of people into the UK who would be very happy to drive an HGV or forklift truck. The whole idea of having a list of skilled occupations that are allowed to employ immigrants is ridiculous – it is the lower-skilled jobs that we need migrant labour to fill. No one is saying driving a truck is not a highly skilled job that should command more respect, but the sad fact is it is no longer a well-paid profession on a par with say train driving or plumbing.
Data is key to ‘new normal’ in insurance H Wayne Stuckey Head of underwriting Rideshur
GV fleet managers face many business challenges as operations return to normal. But for fleets of all sizes, data and analytics are fast becoming an important part of the landscape. The rise of smarter vehicles, 5G connectivity, smart roads, telematics-based insurance, and digital management applications for fleet operations is a growing trend. These provide fleet managers with the data to support better business decisions, and to upgrade and expand their fleet to improve efficiency. They also provide the most competitive insurance options, as insurers use telematics data to update insurance policies based on real-time driver performance, as well as other factors including time, location and weather. Most of this data is gathered through day-to-day telematics monitoring. More recently, in-cab cameras have added the ability to track driver attentiveness and other activity. Combined, they help identify best practices and weaknesses, prove compliance with business and driver policies, and support operational and strategic decisions. The widespread capture of data is becoming commonplace, especially for the purposes of fleet insurance. Already common in personal vehicle
12 MotorTransport
insurance, data and analytics can deliver real-time telematics insurance updates to provide the best value to the fleet and to encourage improved driving standards to maximise savings. Deploying telematics-based analytics and insurance across a fleet will ensure drivers are more efficient and careful on the road as every trip has a risk score based on how the vehicle is driven, who drives it and the environmental risk. This risk score is turned into an insurance premium. Insights are produced to help drivers improve their performance, which can improve their risk score and lower premiums. The number of accidents is reduced, leading to less vehicle downtime, saving on maintenance and business costs. Insurers using data this way can provide accurate risk models powered by machine learning to create evolving company fleet insurance scoring and pricing. As more insurers turn to similar technology-based offerings, it will become a typical part of the fleet package, along with other smart technologies that can boost fleet performance.
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Driver shortage
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Training daze
The industry’s recruitment problem is now at critical levels, yet finding a co-ordinated response seems impossible. Louise Cole examines what the sector is doing – and what it needs from government
W
ith the current driver shortage, training new and existing drivers should be a priority. With no easy funding route for licence acquisition though, too few hauliers are prepared to train the new blood the industry is crying out for. The Trailblazer Group for transport and logistics has created a new apprenticeship, but not without internal as well as procedural struggles. The old category C apprenticeship became C+E on 1 August, which solves one problem but leaves the industry without a funded category C licence acquisition route until the new Urban Driving apprenticeship comes in, probably in January 2022. Jim French, co-chair of the Trailblazer Group, is also MD of Road to Logistics, which is successfully training new drivers but has no current access to its own funding. It is therefore using training providers who can access funding from the Department of Work and Pensions (DWP) and other pots. He says a major stumbling block is the regulatory prohibition on using funds for ‘licence to trade’ training, which forces training providers to attach other funded modules to the licence acquisition course. The only direct route for operators to get licence acquisition funded is to use the Trailblazer apprenticeships. The C+E apprenticeship will come with £7,000 and the Urban Driver Apprenticeship £5,000. French says that major logistics operations are already placing hundreds of C+E apprentices with training providers. The main issue with the apprenticeship scheme, says Paul Johnson, MD of Transervice Express Transport, is that licence acquisition training only occurs in the back end of the year and it is hard to keep young people engaged until they can finally get behind a wheel. Tom Cotton, head of licensing and infrastructure at the RHA, says: “The apprenticeship is currently the only mechanism for funding, but it isn’t really suited to licence acquisition. Ideally the whole system would be overhauled.” The All Party Parliamentary Group (APPG) on appren-
14 MotorTransport
LEVY POTENTIAL: The logistics sector is failing to make the most of the Apprenticeship Levy, though some operators feel reforms to allow funds to be used for direct training would drive up numbers
ticeships records that 60% of UK employers took on no apprentices at all in 2020. In 2019/20 there were fewer than 9,500 apprenticeships across the entire transportation and storage sector. The category C driver apprenticeship typically attracted around 2,000 candidates a year, but this fell to under 700 in the 2019/20 cycle. French bemoans the fact that the logistics industry’s Apprenticeship Levy money is currently going to waste. “Of £500m paid in, the industry has withdrawn £50m,” he says. Sir Mike Penning MP, chair of the APPG for road haulage and logistics, says the group will try to have the levy regulations tweaked so this money can support licence acquisition directly. He says although the fund has a two-year rolling deadline, the money is ring-fenced for the benefit of the inputting sector. Penning says he must also play the ‘critical friend’ and underlines that hauliers themselves must make the job of driving more attractive and invest in training. Johnson and others in the industry suggest a government-backed student loan should be made available for licence acquisition, repayable through earnings. Meanwhile, more SMEs seem prepared to pay for training from their own pockets in order to progress candidates through the elements of work and skill attainment they and their insurers believe is necessary. Johnson has replaced two 18-tonne vehicles with two 7.5-tonne rental vehicles for which he uses drivers with grandfather rights. He’s bought several 3.5 tonne curtainsiders with tail-lifts on which he trains up candidates with a clean driving licence. The vans take six pallets and 1 tonne of payload, and he says that while it’s not the most efficient form of haulage, they remain the most productive vehicles on the fleet, going back and forth on short runs. This not only gives him the opportunity to progress drivers to his insurers’ satisfaction, but also to make the job more appealing because short runs lend themselves to split shifts and flexible working. Transervice has offered upskilling to all its existing drivers to ensure that van drivers progress to category C, and C to C+E, so that they can bring in fresh candidates at the bottom. ➜ 16 9.8.21
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Driver shortage
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“It’s not a quick fix,” says Johnson. “We give people plenty of experience at each stage, but currently you wait up to 17 weeks for a test, so there is no rushing the process.” The government sent out an open letter to industry on 20 July saying it would increase test capacity from 2,000 a week to 3,000 a week to make up for the shortfall. There are also delays with provisional licences, says French. The government is currently consulting on granting provisional C+E licences at the same time as provisional C licences, which would effectively mean candidates can pass directly to training on artics without being qualified on rigid vehicles first. French hopes that a national DWP fund for driver training can be established. Currently, the DWP budgets are devolved to local centres, meaning that while Road to Logistics has had success in Liverpool, it got nowhere in Bristol. The government’s letter offers some hope: “A DWP driver training pilot is underway, as part of the wider Road to Logistics scheme and we encourage industry to access their local Jobcentre Plus network.” Insurance for new drivers remains an issue. In theory the levy fund could also be used to underwrite a young or inexperienced driver insurance scheme, although this comes close to public funding underpinning commercial activity, and so is likely to be more problematic. Transervice works closely with its insurer to persuade them of new drivers’ calibre, but still pays hefty excesses. “We need a government-backed insurance scheme to
allow hauliers to bring in young drivers or those with less than two years’ experience,” Johnson says. Banbury-based TWE Haulage is adept at bringing in young people, as its MD and operations directors are both under 30. Chair Trevor Edden employed young driver Dale McMillan (left), creating a bespoke scheme which gave him experience of every aspect of the business and progressed him slowly through his licences. He now drives an artic. “Dale is a great driver, not just in terms of safety, but because he understands every role and so never causes us a problem,” says Edden. Heysham-based SCS Logistics is also thinking outside the box. MD Sandra Cottam-Shea believes in giving all her team external qualifications to support their career prospects, and has used Apprenticeship Levy money to put managers through degrees, as well as full supply chain apprenticeships for new starters. A recent recruit is Jo Thompson (left), who initially qualified herself to drive horseboxes. She was originally on an apprenticeship but progressed so fast SCS decided to simply fund her category C+E. “She’s been an asset to the company ever since joining,” says Cottam-Shea. “We actively support and pay for training from apprenticeship courses to upskilling our Class 2 drivers to Class 1. If you have a good team member, they are so worth the investment. We are happy to take new drivers on and accept the hike in insurance as we can train them to our aspirations and standards.” n
A SAFE PLACE TO STAY : WHAT’S THE SECRET TO DRIVER RETENTION ?
16 MotorTransport
understanding of key points as the course progresses. The company saw a 67% cut in trips, slips and falls in the three months after releasing the module, compared to the previous year. DriveTech also recommends ‘nudge video’ training. Its Driver’s Mate product has hundreds of 90-second videos that encapsulate messages about compliance, driver behaviour and cost savings portrayed through short stories and designed for watching on mobiles. David Wales, product solutions specialist, says: “We have particular success with ‘nudge videos’ as part of a wider training plan. It encourages better behaviours and is designed to refresh a driver’s awareness and ensure a change in attitude, so learnings are applied in practice.”
Photo: Shutterstock
A Driver Require study done in 2016, and recently updated, highlighted that the industry’s issue was not only, or even mainly, with a lack of vocational drivers; it was a lack of vocational drivers who wanted to be in the hire and reward sector. The report says that of the 200,000 new drivers who qualified over the previous decade, 150,000 had chosen other careers. Many of these drivers will never have intended to work in logistics; one of the biggest sponsors of HGV driver qualifications is the Army, for instance. However, the report is correct that the industry does not simply have a recruitment problem – it has a retention problem. It highlights 9,500 drivers retiring each year and a further 20,000 quitting to pursue other options. So can training really help retention? Global industrial gas company Air Products believes the answer is a resounding ‘yes’. “Robust safety training can definitely help attract drivers, and also retain them,” says Mark Pawsey, UK and Ireland distribution manager. Air Products has 353 drivers in the UK but only three have left in the past two years. “We know this is in part due to the excellent training we offer – from the 12-week induction training to our modern approach to refresher training,” says Pawsey. “Drivers can see from the word go that we care about their safety, we invest in and look after them.” Air Products has embraced little-andoften app-based training to continuously train drivers in safety. The app offers gamified and animated micro-lessons with frequent repetition of key messages, through which it can cover 31 topics over a three-year cycle. It’s fully auditable and drivers must answer questions, and show
‘Bite-sized and continuous’ seems to be the current message in terms of delivering effective training. Pawsey refers to the ‘Ebbinghaus forgetting curve’, which models how learned information fades unless frequently reviewed. Video-based safety company
SmartDrive Systems believes that drivers who feel valued and protected are more likely to have loyalty to their employer. This includes continuous development through coaching, and knowing there are systems in place to protect them against wrongful accusations of poor driving. SmartDrive offers continuous monitoring of driving behaviours and coaching insights on any triggered event which can be fed back to drivers alongside the video. “The best results in terms of safety, protecting drivers and cost control come from continuous monitoring and feedback on driver style,” says MD Penny Brooks. “Our coaching insights are always on point and, coupled with the video footage, make it clear and understandable for the driver. It also gives an audit trail of incidents and actions taken. “Most HGV drivers are already skilled in terms of handling the vehicle, so skillsbased training has limited results. We must focus on behaviours. Drivers’ approach, their attitude to risk and distraction behaviours – these are what push up collision risk.” Ian McIntosh, CEO of RED Driver Risk Management, says he believes that excellence appeals to most drivers, that insurers are more receptive to operators who train for excellence because it shows in their liability figures, and finally that younger drivers are very receptive. “They don’t have that ‘been there, done that’ attitude that used to be quite prevalent in the industry,” he says. “They want to learn new things.” He believes that in-person training is always best, with ‘two-on-one’ optimal as this allows one driver to be coached while the other consolidates and passively learns, with each having regular breaks. 9.8.21
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Profile: Panther Logistics
I
Where two’s company...
t is now eight months since two-person delivery specialist Panther Logistics was acquired by US-based logistics firm AIT Worldwide Logistics, and former commercial director Gary McKelvey stepped up to become MD. Panther pioneered next-day delivery for bulky two-person items a decade ago and the Covid-19 pandemic has seen the company grow rapidly in the past 12 months, with 2020 turnover up by 20% to nearly £70m as volumes shot up 76%. The pandemic lockdown saw millions of people stuck at home, leading to large increases in volumes of white goods, gym equipment such as exercise bikes and garden furniture. But coping with this ramp-up of demand for two-person deliveries that often involve Panther staff going into consumers’ homes meant some big changes to working practices. “We had to adapt and change a number of processes quite dramatically,” says McKelvey. “Very quickly, those processes included no longer requiring the signature of the consumer and ensuring that we only offered certain services if there was an absolute requirement for them. “So at the height of the first lockdown, we were the only carrier not to fully remove room-of-choice delivery. We recognised that not all of our customers have someone in the home to help them. Some may be disabled or pregnant, for example, so we kept that service there for when the customer absolutely needed our support.” However, this commitment meant customers had to play their part, keeping doors open and standing away. Panther also enabled as many office staff as possible to work from home, providing the necessary IT equipment to maintain a safe and efficient operation. Retaining the ability to enter homes and have two people in a cab also meant a huge investment in personal protective equipment (PPE), which was then in short supply. “We followed the government guidelines, so two men were allowed in a cab as long as masks were worn and there was good ventilation. We followed all the rules, but we also, along with a couple of clients, introduced cars where the second man would drive behind the van and carry out the delivery.”
18 MotorTransport
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The Covid-19 lockdown meant bumper business for ‘driver-and-mate’ delivery specialist Panther Logistics – even if it did mean some big operational changes. Steve Hobson found out how it worked Panther has also been using hand-held signing terminals for its delivery crews for several years and introduced procedures for recipients who did not want to use this virtually contact-free method. “By maintaining regular communication with our customers we have not had any issues. Clients were very understanding because everyone was in the same boat,” says McKelvey. “We’ve been very clear with clients in terms of how we communicate, so there were no surprises for anyone.”
Drive for staff
The growth in e-commerce in the pandemic has meant Panther has been on a recruitment drive to meet demand for home deliveries, as well as expanding its fleet of vehicles its depot network. “Compared with the volumes Panther budgeted for in April, May and June last year, we were up at least 25%,” McKelvey says. “And then that grew throughout the year. If you look at year-on-year for January, February and March, compared with last year pre-Covid, the business is up 75-80% in terms of delivery volume. “That’s been across every sector we work in. At the beginning it was it was all appliances such as fridge- ➜ 20 9.8.21
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Profile: Panther Logistics freezers because everyone was panic buying food. When the gyms closed there was a huge spike in gym equipment and bikes, because people wanted to continue to exercise. “And then it started to shift to garden furniture, homeware and mattresses with the thought of a summer holiday no longer on the horizon. The firm’s two-man delivery operation is supported by a storage and warehousing operation in Castleford with around 30,000 pallet spaces. Panther works for a number of big-name retailers. “We are able to store, pick and pack, label and dispatch,” says McKelvey. “We do the bulk of the final mile, but we also pass some of that volume to other carriers to do the final mile, if it is a parcel or smaller delivery. “The benefit of Panther is that we have a real spread of work, which has been a contributory factor to our continued growth. For example, when Covid-19 kicked in and a bed manufacturer we work for in the UK closed FULL CONTACT: Keeping the factory for nine weeks, we had a mix of customers clients informed about enabling us to manage the peaks and troughs. deliveries has been a key The spread of sectors, and having clients large and part of Panther Logistics’ small, means the company is not affected by seasonality. Covid-19 success, says MD While few people would ever go into a store, buy a sofa Gary McKelvey or a fridge and take it home, the closure of non-essential retail in the pandemic did benefit Panther. The pandemic will also undoubtedly see a decline in bricks and mortar stores and the shift to online will become a permanent feature, so Panther’s increased volumes will remain. This could then have implications for where stock is kept, with fewer products being held in stores for local delivery and more regional or national warehousing. “Retailers are going to have to look where they hold stock,” McKelvey argues. “You only need to drive by the two motorway junctions where we’re based in FOCUS_Hellmann_Aug21.qxp_Layout 1 26/07/2021 Northampton and see all the facilities being erected. 11:08 Page 1
motortransport.co.uk
There are huge warehouses being built all over the place to provide large retailers with the storage space necessary to help them to cope with increased online purchasing.
The story so far
Founded in 1989, Panther began specialising in twoperson delivery in 2011, spearheaded by Colin McCarthy who became MD a year later and led a management buyout in 2016. It then enjoyed an eight-year period of growth, doubling annual turnover to £60m. But McKelvey says that the same year saw a review of its strategy. “From 2013 to 2018 we were growing very quickly, and in 2019 we decided to change the business,” he says. “We took the business down in size in terms of turnover, though we still had the same infrastructure. That allowed us to really focus on bringing in the right type of volume through 2019 and sorting out some processes sitting underneath that. “So in 2020, with the uplift in volume, we had the right infrastructure and the right processes, and we didn't have to put in any additional huge overheads or fixed costs. It was all variable cost in terms of subcontractor usage, staffing and transport, based on volume. “So Panther has had a profitable year off the back of strong additional volumes.” Added to the challenges of the pandemic, McKelvey said that the enforcement of IR35 by HMRC has involved “a lot of admin”. Having operated a fully compliant self-employment model for many years, all Panther’s subcontractors are limited companies with a contract, but they remain free to work for other carriers. Panther does not guarantee them work, although work is offered every night for the following day that they can choose to accept or not. Environmental considerations too feature highly ➜ 22
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Profile: Panther Logistics on the Panther agenda. McKelvey says: “As the UK heads down its ‘road to zero’ we have set some goals and are working with our partners to do some trials of electric vehicles for home delivery. We’re looking at different suppliers and have partners lined up in different areas of the country. London will be the first test area for us.”
Quick smart
While someone buying a new sofa might not be too bothered about speed of delivery, a new washing machine or fridge-freezer is usually a distress purchase, and Panther’s business model is built on next-day delivery. “We are a next-day carrier. That’s our speciality,” says McKelvey. “But within the range of our clients, next day doesn’t work for some of them because of the product type. For example, for Samsung we have a 9pm cut-off for the order given to Panther for a guaranteed next-day delivery. They are based in Wellingborough and we have collections from their Park Farm DC right up to 1am that come back to Lodge Farm for sorting to make the connecting trunks to the final-mile depots. We are a true next-day carrier, and for that particular client it is seven days a week. “But Silentnight beds are on an eight-day lead time from when we get the order. We send the link to the consumer, who books their day of choice. They can’t get anything quicker than eight days because mattresses are made to order. We only see the stock the day before, because we don’t want it coming in here too early.” Panther has offered a Sunday delivery service since 2018 and demand for what has traditionally been an unpopular day for home deliveries is building slowly. “It's probably about 25% of a midweek day, but it’s growing,” says McKelvey. “It obviously took a hit through Covid-19 because everyone was at home every day of the week and Sunday is a premium day.”
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The company communicates with recipients on average five or six times ahead of their delivery, depending on the lead time, starting a week before the delivery date if Panther has received the order file but not the product. The day before, the recipient is given a two-hour window, which is narrowed down further on the day of delivery with further messages. “I’ve been in two-man home delivery for a career which has spanned 17 years, during which time I have seen a huge culture shift in consumer behaviour. In the past customers would have accepted waiting for a delivery, but today they expect the same service as if they were receiving a small parcel,” says McKelvey. “The dynamic has changed and communication is at the heart of that, with multiple messages being sent to ensure customers are kept fully updated from point of order through to delivery.” n
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22 MotorTransport
9.8.21
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Insurance
motortransport.co.uk
Risk with reward
Partners&, the specialist in business and private client insurance, employee benefits and risk management, has become the Motor Transport Awards partner for the Partnership Award. Steve Hobson reports
F
“If the industry were a car manufacturer, one in two of the cars rolling off the production line wouldn’t work. That is not good enough. So I decided to walk away from these practices and create a business that sets a new benchmark for providing advice.”
ormed in April 2020, Partners& was created by bringing together four quality insurance brokers to offer improved risk management capabilities, insurance broking and employee benefits expertise, to become what it describes itself as a “next generation” insurance adviser. The business is led by CEO Phil Barton, who has worked in the insurance and financial services sector for almost 40 years, including leadership roles with the likes of Jelf, part of Marsh McClennan, the largest insurance broker in the world, while John Marks is client partner specialising in providing bespoke solutions for the haulage and logistics industry. He has been in the insurance industry providing specialist solutions for the industry for nearly 40 years, working at Jelf for 13 years and with John Lampier & Son for 25 years.
Doing things right
Apart from the breadth of its services and the depth of its experience, the other aspect that sets Partners& apart from other commercial insurance brokers is that it provides full advisory services to its clients, rather than simply selling insurance in a transactional way as a broker focused on price alone. “After 38 years in financial services, my view was that it was not serving its clients well enough,” says Barton. “Never has that been better illustrated than through Covid-19. If the pandemic has taught the industry anything, it is that clients were largely unaware of the risks they were exposed to and did not truly understand what they had bought. Hence why there was so much confusion over business interruption cover.” In January 2021 the UK Supreme Court ruled in favour of thousands of policyholders and against the insurers who had argued that business interruption (BI) policies did not cover the effects of Covid-19 and the consequent government lockdowns. “People thought they had bought BI cover, but didn’t really understand the wording of their policies,” says Barton. “My view is that, in general, the industry has not been serving clients well. Material claims, with the propensity to impact clients’ business plans, typically take three years to settle, often go to litigation, and when they are settled clients typically only receive 60% of the potential indemnity they might have expected. 24 MotorTransport
Not about numbers
WEALTH OF EXPERIENCE: Partners& CEO Phil Barton, above, and client partner John Marks, below. The business specialises in offering customers advice, rather than just selling on the basis of price
Barton argues that insurance brokers have become too focused on commoditising insurance, stripping out cost and competing on price alone. When combined with the race for scale amongst brokers, the client seemingly has been forgotten. But Partners& takes a different approach. “We are committed to challenging that, and creating a better outcome for clients,” Barton says. “We are more interested in risk protection advice and resolving the client’s broader issues, seeing ourselves as advisers covering the wider risk issues that our clients face and getting the advice right at the outset. “Interestingly the insurance companies are absolutely aligned to our approach. The large brokers have been able to leverage their scale with insurers, so value has migrated from the insurer to the broker and the insurers’ margins have narrowed. “When scale is over-rewarded, capital comes to the market with the sole intent of scaling, which encourages M&A. These big brokers then seek to cut costs, reduce their claims offering, diminish their risk management service and provide remote advice via call centres in order to make sense of their financial models.” Marks goes on: “If you look at the motor risk, which is normally the largest risk protection purchase for a haulage and logistics business, the underwriters [who decide if applications for cover should be accepted and on what terms ] have had their authority reduced and are working within much smaller parameters because actuaries [who analyse financial risk using mathematical and statistical models] are running the numbers. “We are seeing underwriters saying ‘Sorry, this is all I can do’. So the market has reduced, though who is in and who is out constantly changes. We are now back to a bespoke approach and simply sending detail to numerous underwriters is not going to get the desired result. “The market has contracted, but we are now starting to see some who weren’t in the game coming back. Knowing the underwriters well is really key.” ➜ 26 9.8.21
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Different insurers will also take on different risks, and a typical owner-managed haulage business could have 10 risks covered, each of which could be with a different insurer. “For me, every solution is bespoke,” says Marks. “It is what is right for the client every single time.” When looking for an insurer to take on a particular risk, really understanding the client’s business and operation by carrying out a thorough investigation and presenting all the facts “warts and all” is vital. “The more knowledge and information we can give an underwriter – including what the client isn’t doing well or what has gone wrong – the better,” says Marks. “They will then trust us and know over a period of time that the information we give them is all there and they can underwrite the risk knowing exactly what it is. Fair presentation of any risk is a key part of the adviser’s role.”
BUSTING THE MYTH: Fleet managers shouldn’t fall for the myth that using telematics will automatically cut insurance premiums – using the data properly to avoid accidents will reduce premiums
Breaking the internet
A growing element in risk management for every business is cybersecurity and here insurers want a lot of information about the measures operators are taking to stop the hackers and recover in the event of an attack. “We can provide clients with a bespoke report that compares them to their peers and tells them where their risks sit in red, amber and green bands,” explains Marks. “That enables them to very quickly identify the risks and consider either purchasing protection or accepting them. That is then a truly informed decision.” Barton argues this is the “fundamental role” of a risk management adviser. He says: “We see it as our role to help the client understand the risks and present them accurately and holistically to the market. The rest of the
market has failed to do that consistently.” While fitting telematics to vehicles to monitor driver behaviour has been claimed to reduce insurance premiums, Marks says it is in fact only when telematics and driver training has been shown to drive down accident rates that insurers will cut premiums. “A lot of telematics companies were saying ‘You will get a reduction in your premium’, but the truth is that in a decent size fleet that isn’t going to happen,” he says. “The numbers still drive the premium. You can have all the telematics, but if the drivers are still having accidents, then your premium is going to increase. “The other issue is that if you have telematics data for your drivers and do nothing with it, you could be culpable. The data might be telling you that a driver is likely to have an accident because he has lots of harsh braking and is speeding. But if you just file it away and then he has a bad crash, it is clear it was coming and you did nothing about it. “Telematics is very good for risk management, but it won’t solve the problem unless you use the data. I often advise transport company MDs ‘If you’ve got the data, give it to someone to look at and do the work’. Even if it’s only the worst five, get them in, highlight why they are top of the list, and explain that it is not acceptable and give advice and training to help them improve. “That will go round the yard like wildfire and the culture will start to embed that the company will not put up with sub-standard driving but are willing to work with the driver to help improve performance.” The problem is that the driver shortages mean transport managers might not be able to dismiss drivers due to poor driving as there is no one to replace them. But if this approach leads to more accidents, then the company – and industry – will pay in the form of higher premiums. “A lot of insurers I’m talking to are talking about rate hikes already,” says Marks. “And even for those companies with a reasonable claims experience, insurers are looking for rate increases. Good risk management is key and we want to support the industry by giving bespoke and relevant advice to help reduce the risks and therefore claims, and ultimately premiums.” While no one is saying agency drivers are necessarily any worse than those on the payroll, the increased risk they pose has been on the insurance companies’ radar for a number of years. “There is a specific question now on every insurance company proposal form asking ‘Do you use agency drivers and if so what percentage of your staff is agency?’ Those with high agency use tend to have more claims. If an operator is using 25% agency, that is much higher risk than someone with 2%,” he says. n
An increasingly important risk factor for operators is the driver shortage crisis and the policies operators need to put in place to recruit and retain drivers by looking after and motivating them is an area Partners& is able to advise on. “The recruitment market has become a lot tighter, but most of our competitors completely ignore that perspective,” says Barton. “Everyone focuses on the wheels and cargo, but this is an aspect the adviser should be considering if he or she is doing a complete job for the client.” Those operators looking to recruit and train young people however often meet resistance from insurers unwilling to cover HGV drivers under 21, despite evidence that well-trained younger drivers can outperform their 26 MotorTransport
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CONVINCING INSURERS TO COVER YOUNG DRIVERS
more experienced counterparts. “Drivers aged 18 to 21 are an exception and a lot of the London market looks for drivers age 25 to 65 with two years’ experience,” acknowledges Marks. “This is something I’m challenging because I understand the industry and I’m saying to insurers ‘We have a problem, there aren‘t enough drivers’ and even if a 19- or
20-year-old puts himself through his Class 1, he can’t get a job because no one will insure him. That is very unfair. “We are doing some investigatory work in the training world with hauliers wanting to employ young drivers to find out what support, grants and additional incentives are available. We can then go to the insurers to say ‘They are doing it properly and you have to let operators with a trusted process make the decision on whether they want to put that risk on their policy’. Yes, there will be an excess, but we need the insurance industry to help the operators out of this mess. “We are passionate about the haulage and logistics industry and want to provide real support and advice to help improve the risk and reduce the cost of risk protection.” 9.8.21
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