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Results of new study suggest over 60% of UK hauliers set to make layoffs

A new study of 105 UK HGV “fleet decisionmakers" conducted by Webfleet has found that almost two-thirds of those surveyed anticipate making layoffs over the next 12 months to cut costs.

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The research, authored by Webfleet, Bridgestone’s Fleet Management Solution, is titled “The cost of business squeeze” and can be downloaded free of charge.

According to Webfleet, The research was conducted among 210 UK fleet decisionmakers (105 with decision-making responsibilities for van fleets; 105 responsible for HGV fleets) in January 2023 through online polling by research consultancy Perspectus Global.

The percentage figures detailed in the report represent those survey respondents who gave a definitive answer (e.g. yes/no or agree/disagree).

When asked to agree or disagree with the statement “We expect to lay-off fleet staff (e.g. drivers, managers and administrators) over the next 12 months in order to reduce costs”, 64% of the respondents in HGV sector agreed.

Despite the above, 52% of the HGV fleet respondents said they anticipated their business would grow in the next year.

The biggest concern among hauliers was rising costs.

“Fuel – typically one of the biggest fleet operating costs – topped the list of the biggest cost increases, cited by 69% of fleets (73% of van fleets and 64% of HGV fleets). This was followed by drivers wages and overtime (49%) and SMR (41%). Rising energy costs saw 24% of van fleets cite EV charging,” writes Webfleet.

Webfleet also found that fuel is biggest target for cost savings, closely followed by vehicle procurement – earmarked by 33% and 29% of fleets respectively.

Another interesting takeaway from the research was that 80% of HGV fleet respondents indicated that cost pressures have delayed their plans to upgrade their fleet. The same amount believe the economic situation will delay the electrification of road transport.

Finally, some other key HGV fleet figures from the report are as follows:

  • 75% said they plan to buy cheaper tyres than normal to try and save costs
  • 80% agreed that the ‘cost of living’ crisis is negatively impacting the mental health of their drivers
  • 73% agreed that their drivers are under more pressure due to existing cost pressures
  • 64% said they were considering changing their career
  • 74% agreed that fleet management systems and processes need to be reviewed to help reduce stress on our drivers and the fleet department

Photo © Copyright Mat Fascione and licensed for reuse under this Creative Commons Licence