The first of several increases worth up to $3,200 to $5,000 a year in mileage rates and pay raises for unloading, stops and detention for contractors operating within Dart Transit Co.’s National dispatch system becomes effective February 1, 2004. The second is effective April 1, according to vice president David Oren.
”Details on the rate increases are still to be finalized, but they will include a combination of higher mileage rates and higher payments for unloading, stop-pay, and detention,” Oren said. The new rates are meant to offset rising operating costs and lower productivity that is expected from the new Hours-of-Service rules.
Dart also plans to give National contractors a new flat mileage pay option, giving them a choice between graduated or flat mileage rates. Both options will include the increases for unloading, detention, and stop-offs.
New rates for regional and dedicated contracts are still beingaluated and an announcement will be forthcoming.
“We expect that the new Hours-of-Service rules will cut into driver productivity,” Oren said. “We’re approaching that problem in three ways. First, we’re working with our customers to reduce waiting time at their facilities. That will help contractors make the most of their available driving time. Second, we’re raising mileage rates. Third, we’re increasing payment for time consuming activities such as unloading and multiple stops.”