CCJ Innovators: Highlighting Innovative Carriers
CCJ Innovators showcases companies in the trucking industry that have implemented creative solutions to address various challenges. If you are aware of a carrier that exemplifies innovation, please reach out to CCJ Editor Jeff Crissey at [email protected] or call 800-633-5953.
Rick Williams and the Launch of COTC
In 1992, Rick Williams transitioned from being a truck driver to co-founding Central Oregon Truck Co. (COTC) with a few partners. Initially, the company began as a broker for local and regional freight in the Pacific Northwest, but it has since expanded to operate over 300 trucks from its base in Redmond, Oregon.
A Commitment to Quality Drivers
Williams credits his background as a truck driver with providing him insight into the importance of high-quality drivers within a trucking company. His goal for COTC is to create an environment where top-notch professional drivers want to build their careers. “We aim to ensure that when we recruit quality drivers, they feel at home here,” Williams, the CEO, stated.
Acknowledgments and Workplace Attributes
COTC has been acknowledged as a Best Fleet to Drive For by the Truckload Carriers Association (TCA) for five years in a row. Finalists for this recognition are selected by CarriersEdge, an online training provider, based on management interviews and driver feedback. Key features that make COTC attractive for drivers include competitive pay, incentives, and a unique approach to reducing pay fluctuations while tailoring work experiences.
Stability in Driver Compensation
To address pay fluctuations, COTC compensates drivers for all actual and approved dispatch miles, including empty miles, without rigid cutoff dates affecting payroll. Additionally, the company offers a minimum pay guarantee program, aiming to ensure drivers earn a minimum of $4,250 monthly, with many earning more. This setup is perceived as a “salary plus” system that rewards performance across various metrics, ensuring 98% of drivers can achieve extra pay through performance incentives.
Development of Driver Benefits
COTC provides extensive benefits paid 100% by the company, including life, health, vision, dental, and short-term disability insurance. The firm also offers a comprehensive tax-savings plan that encompasses a safe harbor 401(k) with matching contributions, flexible healthcare accounts, and a weekly per-diem payment option that helps drivers save on taxes. COTC’s driver recruitment process focuses on ensuring a good fit between the company and potential hires, moving away from traditional recruitment titles.
Enhancing Driver Satisfaction and Retention
Despite operating over 300 trucks, COTC maintains a personal connection with its drivers, knowing them by name. This personalized approach includes greeting drivers with their names upon entering company facilities and utilizing technology to keep lines of communication open. As a result, while the company experiences a turnover rate of 85%, this figure includes various circumstances such as those not passing orientation or drug tests. Actual turnover rates drop significantly for drivers who stay longer, reflecting the effectiveness of COTC’s culture and benefits.
