Schneider National Just Changed Their Rules - Time For An Exit Strategy

[Mike]

Anybody who has tried to lease a truck to Schneider this year has ran into a couple roadblocks. You must have an EPA2010 or newer engine, and you must have a collision mitigation system installed on your truck.

The EPA2010 engine requirement kicked in sometime last year, but existing contractors were grandfathered in to any changes that new contractors faced.

Well, that all changed this week.

Existing contractors are being given until no later than August 1st, 2018 to upgrade their equipment, at which point, all trucks must have a collision mitigation system. The allowable systems are the Bendix Wingman, Meritor OnGuard, or Detroit Assurance.

No Collision Mitigation System, no contract after this date.

For the past year or so, there have been no changes here that have been for the better. It's like somebody pulled the lever and everything good about this place has been circling the drain.

I guess they are now reaching the point that they are simply no better than any of the other mega fleets, as far as owner operators go. Seems like all they want are company drivers and lease purchase drivers who basically have to toe the company line. So much has changed recently, but this most recent change basically puts an end to people like me who have been here for more than three years, and others who have been here as long as 30 years.

It's their business, and they have the right to run it however they see fit, but this was an absolutely horrible business decision. It was a decision that will hurt their reputation.

 

[ironpony]

 

[Sinister]

Bullet dodged?

I was all set to go, but didn't like the 400 a month for payment and insurance BEFORE other deductions.

 

[Duck]

#NotMyPumpkin

 

[Mike]

Bullet dodged?

I was all set to go, but didn't like the 400 a month for payment and insurance BEFORE other deductions.

You wouldn't have been effected.

 

[Injun]

400 a month for payment and insurance

Actually, that's not bad at all. That's just insurance, nothing else?

And yes, Mike, corporate suits love gizmos and gadgets. I wish I could disable the front end collision shit in this truck.

 

[Ranger_375]

Not surprising. 4 of my friends, one who was an IC over there running pumpkins with ya'll recently shifted camps to a new upstart. They are all enjoying what they're doing, but He's outright loving it. He was tired of the nanny big freight mentality that was bleeding more and more into the IC section of things.

Your mileage may vary, company name on request.

 

[Sinister]

Actually, that's not bad at all. That's just insurance, nothing else?

And yes, Mike, corporate suits love gizmos and gadgets. I wish I could disable the front end collision **** in this truck.

Sorry... 4000 a month. Payment and insurance were right around a grand a WEEK.

 

[Mike]

He was tired of the nanny big freight mentality that was bleeding more and more into the IC section of things

It's been a fairly rapid change here over the past several months. They took a great program and decided to systematically destroy it I guess. I just wish, that when I bought this truck, they would have been upfront about their planned changes. All they had to do was tell me that they planned on getting rid of my truck and I would have taken it to another option back when I bought it.

What's really sad is there are people here still in lease purchases on 2011-2014 trucks. It wasn't until 2014 or later that these trucks started getting all this collision equipment installed, so these unfortunate lease purchase folks are faced with getting their trucks upgraded (for several thousand dollars), or they could trade the truck and lease another truck (after investing all that money into their current truck), or hoping to be able to finance the remainder of what they owe on it and leave (most lease purchase drivers are not in financial shape to get a loan like this).

Until now, I thought that things just seemed sketchy due to the company losing freight (or at least owner operators were no longer seeing it), and hopeful that things would straighten back out. Seems like they are content to go in an entirely new direction though, which is a shame.

 

[GAnthony]

It's been a fairly rapid change here over the past several months. They took a great program and decided to systematically destroy it I guess. I just wish, that when I bought this truck, they would have been upfront about their planned changes. All they had to do was tell me that they planned on getting rid of my truck and I would have taken it to another option back when I bought it.

What's really sad is there are people here still in lease purchases on 2011-2014 trucks. It wasn't until 2014 or later that these trucks started getting all this collision equipment installed, so these unfortunate lease purchase folks are faced with getting their trucks upgraded (for several thousand dollars), or they could trade the truck and lease another truck (after investing all that money into their current truck), or hoping to be able to finance the remainder of what they owe on it and leave (most lease purchase drivers are not in financial shape to get a loan like this).

Until now, I thought that things just seemed sketchy due to the company losing freight (or at least owner operators were no longer seeing it), and hopeful that things would straighten back out. Seems like they are content to go in an entirely new direction though, which is a shame.

i had said many many months ago, the end of the o/o is coming. not necessarily the independents, (although, i DO SEE that happening as well in the future) but most certainly the ones leased on with big companies. the lease operators will most likely come to an end as well, putting those that can barely afford the upgrade, back into company trucks.

it's control they want. they know they cannot control an o/o leased on with them, but they can control all others, company drivers and thier lease to own deals.

as the insurance industry dictates what equipment is mandated, the "average" o/o will have to either put up, or sell out. it's only a matter of time, for all.

 

[Electric Chicken]

They're going public.

 

[GAnthony]

They're going public.

could be another reason, i didn't remember that till now.

 

[Mike]

They're going public.

Gonna be really funny if they end up with a big fat Class Action lawsuit on them right about the time they go public.

 

[GAnthony]

Gonna be really funny if they end up with a big fat Class Action lawsuit on them right about the time they go public.

get in on the fun.

 

[Mike]

get in on the fun.

I would love to see Schneider forced to compensate for the cost of this equipment either towards actually getting the equipment, or towards the cost of moving to another company.

Been thinking about doing something different, but I don't like it being forced upon me. Moving a truck from one location to another is costly. Even the fastest moves are costly in terms of downtime. Thousands of dollars at stake due to a move, sometimes I wonder how/why some people move trucks so often.

 

[GAnthony]

Mike, this crash avoidance system, is it a federal mandate.>??

or a Schneider mandate.????

 

[Injun]

Mike, this crash avoidance system, is it a federal mandate.>??

or a Schneider mandate.????

Schneider.

...and I'm rethinking the planned stock purchase. Think I'll skip it for a while.

 

[Electric Chicken]

Yeah I won't lie I still don't feel at "home" here as an employer. Dunno if it's a sellout vibe or what. Or like every day you could get fired for something stupid in the minor sense. I don't feel comfortable enough to even wear the uniform.

At USX I felt comfortable almost right from the start. Maybe because I knew the terminal long before any of them did.

Dunno how long the money is going to be enough to keep me here. Or how long before shareholders decide we make too much.

It's weird.

I guess you could say I feel more like a temporary fill in than an employee.

 

[GAnthony]

Yeah I won't lie I still don't feel at "home" here as an employer. Dunno if it's a sellout vibe or what. Or like every day you could get fired for something stupid in the minor sense. I don't feel comfortable enough to even wear the uniform.

At USX I felt comfortable almost right from the start. Maybe because I knew the terminal long before any of them did.

Dunno how long the money is going to be enough to keep me here. Or how long before shareholders decide we make too much.

It's weird.

I guess you could say I feel more like a temporary fill in than an employee.

seek employment elsewhere's.....

before serious changes take place, like them telling you to "pack a bag, just in case, we gotta send you someplace, far, far away"......

 

[Electric Chicken]

Yeah but then there's the flip side. I'm having appliances delivered tomorrow around noon. Ordered them Sunday. But today I lock myself out of my truck and am currently sitting on my second rework for Commiefornia. This all pushes me into finishing around 4pm if I follow the 14/10 pattern. I ask if I can get a couple short runs tonight/tomorrow to be home in time. And they're like "sure no problem what time do you need to finish up? Everyone will be notified."

So. How can you leave that kind of flexibility?