Slow start to higher rates move
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THE Prices and Incomes Board announcement that hauliers would be justified in negotiating higher rates to cover actual costs increases has provided what little confirmation was needed regarding the situation, Mr. H. J. Baker of Victory Transport Ltd., Southampton, told COMMERCIAL MOTOR this week.
Mr. Baker's company made the first move for higher rates in November Starting with the largest customers and it has been working down through the list. This month, he said, the firm generally succeeded in achieving a satisfactory uplift on general and international haulage. It had found that most businessmen quite appreciated that some move was necessary to cover costs faced by the haulier.
Contracts made with his company's customers had proved quite satisfactory, said Mr. J. L. Dunn, of Hall and Glasgow Road Carriers Ltd. In general the response on suggested rises had been sympathetic. While there were still some negotiations in progress, in most instances letters had been received accepting the new terms and saying that the reasons were fully understood.
Subsequent to the go ahead from the Prices and Incomes Board, said Mr. K. A. Beresford, of Beresford Transport Ltd., from Stoke on Trent, there appeared a much better chance than previously of reaching agreement on new rates. His company had just put forward a 10 per cent higher rate on earthenware for shipping and this had been accepted by one important customer. His firm's intention was to seek all round increases for its traffic but there had not yet been time for these to be implemented.
When given the facts many businessmen can be convinced that road transport has been faced with serious difficulties in the recent past. For this reason, commented Mr. G. D. James, of Brekin Roadways Ltd., Wellington, Shropshire, an improvement in charges of 71 to 10 per cent is not out of the question. Up to the present his company had enjoyed reasonable luck in this connection, he said. Although its speciality is abnormal indivisible loads for which spot prices are quoted it also moves regular traffic on which new agreements have been reached.
Leonard Green (Haulage) Ltd., of Rawmarsh, Rotherham, is aiming at a rise of 5-74 per cent in charges, Mr. Leonard Green told COMMERCIAL MOTOR. In various cases adjustments of this order had been accepted but in others discussions still proceeded. In order to operate economically, said Mr. Green, some increase is essential.
The rates structure is being looked into now, said Mr. G. Durham, of R. Durham and Sons Ltd., Middlesbrough, to see how much its costs had, in fact, risen. When it was ascertained what increases were necessary approaches would be made to customers, probably at the end of this month, he said. It was possible that the larger loads would be unaffected but like everyone else, the firm was experiencing considerable difficulty with 3-ton lots and similar smaller loads.
The 50 members of the Fife and District Tipper Operators Association increased their rates on January 1 by is per hour. The honorary secretary, Mr. T. Gaitens, said the customers had all agreed to the increase without complaint. The Association had explained why the increase had to be made.