Nussbaum Transportation is rolling out what company leaders describe as the largest compensation update in company history. The new pay package includes higher mileage pay, increased weekly guarantees, a new driver profit-sharing program, and expanded transition incentives.
The Hudson, Illinois-based carrier announced the changes May 26, saying the updated package is aimed at rewarding current drivers while strengthening recruiting efforts in several core Midwest markets.
Maverick Transportation recently announced significant driver pay raises, as well.
“Our Professional Drivers set Nussbaum apart by living our Vision and Values in a job that can be quite challenging,” Bill Wettstein, president of Nussbaum Transportation, said in a statement. “They deserve this pay increase, and we are excited for them to continue sharing in the value that their hard work and dedication have created.”
Mileage Pay and Weekly Guarantees Increase
The pay changes primarily affect irregular-route over-the-road dry van drivers, with the largest increases targeted at what Nussbaum calls its “Key Locations”: Carbon Cliff and Chicago, Illinois; the Chicago-to-Kenosha, Wisconsin corridor; Indianapolis; and Columbus, Ohio.
Current OTR drivers received a 3-cent-per-mile raise along with a $50 increase to their weekly minimum pay guarantee.
For new hires, starting pay increased 5 cents per mile and weekly guarantees rose by $100 compared to earlier this year.
Drivers hired in key locations will receive an even larger boost, with starting pay up 10 cents per mile and guarantees increasing by $200 weekly.
Carrier Introduces Driver Profit Sharing
Nussbaum also launched a fleetwide profit-sharing program that will allow drivers to receive quarterly bonuses tied to company performance.
According to the carrier, payouts in an average year could equal roughly 2 cents per mile, while stronger years could push bonuses beyond 4 cents per mile.
The company said the move is designed to give drivers a more direct stake in Nussbaum’s financial performance.
New drivers joining the carrier will now receive a $3,000 transition bonus paid out within their first six months.
Nussbaum said drivers hired in key markets could earn between $86,000 and $95,000 during their first year
Nussbaum Transportation
Nussbaum also doubled its Early Exit Option from $1,000 to $2,000. The program provides financial assistance to new hires who decide within their first 90 days that the company is not the right fit.
The carrier said the policy supports its “No Surprises” recruiting philosophy by encouraging transparency during the hiring process.
First-Year Earnings Could Reach Mid-$90,000 Range
Nussbaum said the updated compensation structure is expected to significantly increase annual driver earnings.
The company estimates new irregular-route dry van hires will earn an additional $5,000 to $6,000 annually, bringing expected first-year pay to between $81,000 and $92,000 depending on experience.
Drivers hired in key markets could earn between $86,000 and $95,000 during their first year, with second-year earnings potentially exceeding $100,000 through tenure raises, performance incentives, and the carrier’s Professional Certification program.
Before the latest increases, Nussbaum said the top 30% of its OTR drivers already averaged $100,000 annually. The carrier expects that figure to rise after the new pay package takes effect.
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