Firms must refuse too-low rates – RHA
Page 9
If you've noticed an error in this article please click here to report it so we can fix it.
By Robin Meczes
THE ROAD HAULAGE Association (RHA) has thrown its weight behind calls from UK hauliers for a marked improvement in backhaul rates, suggesting that the rates being offered in some cases are not commercially sustainable.
Responding to recent complaints, led by Matthew Kibble Transport, about backhaul rates as low as £1.10 a mile (CM 20 September), RHA director of policy Jack Semple said: “We urge customers to pay a sustainable haulage rate – and £1.10 a mile is not a sustainable haulage rate. “RHA members have expressed strong views that they cannot see how it is possible to operate 44-tonne trucks for anything like £1.10 a mile legally and sustainably; and that such rates are damaging to the industry.” Ironically, it seems some of the lowest rates are being paid on goods being moved in the name of some of the largest firms, said Semple. “These very low haulage rates are coming, either directly or indirectly, from some very large companies – often some of the biggest companies in the economy. But road haulage is a service, not a commodity, and we would urge the customers to ensure hauliers are paid a sustainable rate.” Although the industry is under intense pressure at the moment, hauliers need to help themselves by insisting on the right rate. “You’ve got to know what your costs are and be prepared to say ‘yes, but for a higher rate’ – or say ‘no’,” he said.
“No two operators’ costs are identical, but it is important for firms to know what their costs are, to base their rates or accept work accordingly. That includes ensuring that the payment terms are reasonable and that additional costs incurred due to delays or other changes to the agreement are adequately compensated.”