Quote:
Originally Posted by Uturn2001
When the HHG guide was first developed it was to standardize mileage between two zip codes (main post office to main post office), by the shortest route.This way a customer would be charged the same mileage for deliveries between cities. Though today that short route may not be a legal route for a large truck to take which is where a big portion of the unpaid miles come from.
Now move forward to today. With computer mapping, satellite mapping, etc it is possible to figure mileage by truck route virtually down to the address, but many companies still use the HHG since that is the way it always has been done.
Sadly, there are companies that charge practical truck miles for freight moves and then turn around and pay drivers HHG, there by pocketing the difference and padding their profit margins.
More and more companies though are going to paying practical routed miles. While they may say they are doing this to be "fair" to the driver it is really used more as a recruiting tool.
And a good one ( recruting tool ) at that. Any seasoned driver will read that as a 8% to 10% " bonus if you complete the run. That means that if your CPM is .35 you will get .38 to .39 Vs. HHG @ .35.
BTW: that 8 to 10 % was what mine usually came out to when I ran OTR. Use to pi$$ me off really bad.