HINTS FOR HAULIERS.
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A Consideration of Further Opinions Received from Supporters and Critics of the Project for Forming a Haulage Trade Association.
T' HE WHOLE OF the haulage industry, including the clearing-houses, • are strongly in favour of something being done in furtherance of my scheme for stabilizing rates and preventing, so far as epossible, rate cutting. I have several letters from the biggest haulage contractors, such as that which appears this week on page 766, from the Allied Transports, Ltd., from hauliers of medium range, such as Mr. Bacon, of Leicester, whose letter appeared in last week's issue, and from small hauliers like Messrs. Stoneham, whose interesting contribution to the discussion also appears on page 766. Tho clearing-houses are represented, as regards published letters, by the Nottingham Chamber of Commerce (see page 738, last week), and by Mr. Gaminong, whose critical communication, reproduced .on page 767, I shall deal with in a moment. I have many letters from the leaders of the haulage industry in the country, from the best-known and most-widely respected members of the trade, who prefer to remain in the background for the present.
Not all of these correspondents see eye to eye with me as regards the methods which we should adopt, but that does not matter in the least. Differences of opinion of that kind can be settled later. The present need is for something to he done, and for that purpose some suggestions were necessary. I have made them, and will stand by them, or vary them as conviction alters, under the fire of criticism from members of the trade who are willing to help by putting forward alternative suggestions.
Rate of Commission to Recoup the Clearing house.
Mr. "0.1)." has been complimenting me on the scheme (see The Commercial Motor, January 23rd, .1 ages 704-5), and, again, his letter has, as it were, crossed my article in the post. -.Little fault., indeed, can be found with his definition of a legitimate clearing-house as " one which pays customers' rates, less 10 per cent. (or less) commission, and declines to accept.traffic at rates below the economic level."
• In a well-organized establishment, 10 per cent. should be sufficient to recoup the clearing-house, it is, of course, most essential, in order to keep haulage charges as low as may be consistent with • good service, that they should have to bear as little deadweight, from haulier to customer, in. the way of commission chalges, as possible. The declining of traffic at less than economic rates is equally essential, and is one of the things which the Association would assist in enforcing.
• Mr. " C.D." goes on to point out, as is perfectly correct, that there is no valid reason why "the • present arrangements of clearing-houses acting for traders and hauliers should not have worked satisfactorily." Precisely, nor is there any valid reason why you should lock your house doors before you go to bed at night, Mr. C.D." It is the nonvalid that gives us all the trouble, and it is to circumvent the non-valid that hauliers and clearinghouses must combine for protection.
:Anew point is raised by Allied Transports, Ltd.'s
• -letter. It is not one which I had overlooked, but • is one which I have not previously discussed. It is 'suggested that the Association should eliminate the clearing-house entirely, by forming its own, co-operatively, or taking other steps to provide the same or 'similar facilities. I believe this to be possible, and have actually suggested it as a weapon which the Association might properely use when fighting clearing-houses which refuse to behave in accordance with the reasonable rules of the Association. I do not think, however, that, any good purpose would be served by endeavouring to eliminate clearing-houses altogether. I have invarieb:y found, in business life, that the best establishments, other things being equal, are those which arc run by private enterprise, for a reasonable profit. . ,On the whole, this very large haulage company is emphatically with us, and is willing to waive the point to which I have just referred.
The Principal Object in View.
The answer to the question which is raised in the " letter from Stoneham's, on page 766: " I take it that it (the Association) would include all classes of haulage I" is, of course, in the affirmative. The case of rate-cutting which is'quoted in that letter is precisely the type of thing which the industry as a whole, for its own good, must stop. The principal object of the Association will he to stop it.
Mr. Gammons, as most of my readers are aware, represents the clearing-house side of the industry : his contempt for his competitors appears to be. very strong. At the same time, whilst throwing cold water on the scheme as I propose it, he is clearly of the opinion that something must be done, and soon. I quote from his letter : " If ever the road transport industry is to be on a really satisfactory °basis this can only come about by the combined co-operation of trader, haulier and clearing-house
Co-operation, yes. So long as we do not try to get everyone in it. I have still to hear of the first really successful association of •• tradesman and customer, and I do not believe that .any good purpose would be served by inviting the 'trader, who is, after all, the customer of the haulier, to become a member of a hauliers' association whose principal business will be to decide the prices which they are to charge that trader for their services. No, Mr. Gammons, let us have co-operation of the haulier and the clearing-house. They both serve the same customer, but we must leave that customer out of the . Association, except for occasional consultation.
The Risks of Boycotting.
Mr. Gammons proceeds : "In the meantime, the shortest, quickest, and only effective way to eliminate the illegitimate clearing-houses—the source of at least 95 per cent, of the present trouble—is to boycott them." Exactly. But who is going to do the boycotting,. how is the boycott going to be made sufficiently widespread to be effective, and how is the knowledge as to the concerns which must be boy-eotted to be disseminated? Nothing can be done. _without risk of coming into contact with the law of libel, unless an association such as I am advocating is formed. It must be one incorporated on tradeunion lines, otherwise even it dare not take the steps .which are necessary before a boycott can be made effective. Such an association can advise hauliers, whether they are actually members of the association ornot, of the names of delinquents, and can use means,' both persuasive and forceful, to enforce its boycott.
Now, then, Mr. Gammons, cut out all the cackle about what I know, or do not know, about the operations of elearing-houses--at least • I know enough about the aforesaid law of libel to keep my pen quiescent where it Is advisable—and get together with us on this scheme, with which I. know very well you are, as a matter of fact, in sympathy. We can do' with your useful help, and I really believe we are going to get it.
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Now, to repeat. The proposal is: To form an 'association of haulage contractors of all classes-including motor coach -proprietors—and. clearinghouses. The association will have, as its main object, the elimination of rate-cutting in any shape or form, and will direct its energies against all or any members or branches of the haulage trade who indulge in it, or bring it about by any means whatever As a weapon of attack against those who infringe its rules, it will use the principle of boycotting. The association will be supported, financially, by the subscriptions of its members, which subscriptions will be small, and graded, by some means or other, according to the extent of the business of the individual member. It will have other activities besides the principal one named above, but there is no need to discuss them at length now.
• Will each reader of this page who is genuinely interested put his name and address an a postcard, as well as one or other of the following two sentences :— I am in favour of the formation of a Haulage Trade Association as suggested in your articles " ; or
"I am not in favour of the formation of a Haulage Trade Association as suggested in your . articles."
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Postcards should be addressed to ine, care of The Editor, The Commercial Motor, 16, liosebery Avenue, London E.0.1. _
NorE.--Since writing the above I have received Mr, Gammons's 'endorsement of my own belief that
he is "with us." THE SKOTCH.