Trucking companies often have complex employment arrangements. Some truckers are owner-operators, others are contracted drivers using company vehicles, and others are direct hires. On top of that, your office may have logistics experts, front office staff, coordinators, and more. Every person on your team is a valued member, and finding benefits that support them is mission-critical for keeping your team engaged, healthy, and happy to be part of the team. But because HR tasks and benefits coordination can be complex and costly, you need a reliable solution that maximizes value without bogging down your staff.
That's where a PEO, or professional employer organization, comes in. Explore how a PEO for trucking companies can help lower your administrative burden, protect your workers, and give them better benefits. Keep reading to see how trucking companies can benefit from a PEO.
PEOs Help Streamline Administrative Processes
You're a trucking company. That means you want most of your efforts to focus on driving, coordinating, and creating efficient, profitable routes and connections. But every company is also an administrative hub, with some degree of HR tasks that it needs to handle. These processes include:
- Workers' compensation claims management and return to work programs
- Safety and wellness training and driver incentives
- Benefits administration for retirement accounts, insurance benefits, and more
- Compliance with HR requirements at the local, state, and federal level
- Processing payroll (as well as changes to payroll, taxes, and automated deductions)
- Creating and managing processes for onboarding, training, and employee management
- Processing payroll (as well as changes to payroll, taxes, and automated deductions)
- Compliance with HR requirements at the local, state, and federal level
- Benefits administration for retirement accounts, insurance benefits, and more
- Creating and managing processes for onboarding, training, and employee management
When handled internally, these continual tasks can bog down your team. It also opens your company up to potential errors if you don't have experienced HR professionals and payroll experts on staff. But a PEO can handle all of these administrative tasks on your behalf. Because PEOs specialize in payroll management, connecting with benefits providers, and staying up-to-date on compliance concerns, you can see more effective HR administration without the heavy burden.
Improve Safety Regulations
More than many other industries, trucking must prioritize safety. OSHA reports that the trucking industry is one of the most dangerous, accounting for 11% of worker fatalities in 2017. Workers are exposed to some danger while driving, loading and unloading cargo, and maintaining their vehicles. Even certain cargo, such as industrial chemicals or gasoline, can be extremely hazardous. The more companies can do to protect your drivers, the better, as it will make your team feel safer with the right processes and training in place and lower the number of fatalities, injuries, and associated costs.
There are several different angles that your company must cover regarding safety regulations, and the right PEO can help with all of them. For example, they can:
- Ensure your company facilities stay compliant with notices and poster requirements established by OSHA
- Provide training materials and resources to stay compliant
- Manage reporting and tracking requirements for drive times, shifts, and other auditable records
Your company can also improve health and safety with wellness programs. Creating and maintaining a safety and wellness strategy can directly improve workers' health. Long-haul truck drivers are significantly more at risk of heart disease, diabetes, sleep apnea, hypertension, and other chronic conditions. You can reduce the risks of those chronic conditions by incentivizing wellness-based decisions and providing resources.
Lower Workers' Compensation Costs
Workers' compensation is required for businesses above a certain size, and different states have different requirements. For trucking companies, workers' compensation is critical for helping workers get back to health after a collision, mechanical accident, or injury. A PEO can help you navigate this landscape to comply with workers' comp regulations and requirements. They also have a deeper familiarity with the providers and processes in your area, so they can help you select the right fit for comprehensive and efficient workers' compensation to lower costs without sacrificing protection.
Provide Cost-Effective Benefits
Benefits account for approximately 31% of employee compensation costs. This cost can put many employers in a tough spot when they face exceedingly tight margins. How do you stay competitive and appealing to prospective drivers in the job market? Do you try to make do with fewer full-time employees, or are there other costs you can trim to keep up with rising costs for insurance and retirement benefits?
Trucking companies with a PEO can find a more accessible solution for tight budgets. Because PEOs have more negotiating power than individual companies, they can help secure more cost-effective benefits for your team so everyone has greater access to healthcare. That benefits both your employees and their families and helps improve retention by making drivers feel cared for.
Provide Better Benefits for Your Trucking Team With a PEO for Trucking Companies
A PEO can strengthen your organization and create a better workplace where everyone wins by offering HR administration, cost-effective HR and benefits solutions, and keeping your company compliant with safety regulations. Schedule a conversation to see how the right PEO can make all the difference!