We believe capacity demand in 2019 will be the same as it was in 2018. Our economy is still doing well and any decent growth in GDP puts pressure on surface transportation. The driver shortage remains the trucking industry's chief concerns.
In 2018, IMC Companies increased driver pay for our 1,900 drivers around the country by an average of more than 30 percent. This has been the largest pay raise in our company’s history. While this has put pressure on pricing, these increases have been investments in our people. We’ve seen reduced driver turnover and have maintained quality service for our customers.
While there are still improvements to be made in driver pay and rates, I do not believe we’ll see the same double-digit price increases in 2019.
We believe the driver shortage is receiving appropriate attention and improvements will continue to be made. For example, the American Trucking Associations is making strides with Congress to reduce the driver age from 21 to 18 for interstate trucking. This would open CDL driving jobs as a career option to a new generation of young men and women.
We’ve been encouraged by many customers around the country reaching out to us about improving their processes to become “shippers of choice.” They are working to reduce wait times and ensure drivers feel respected.
We also hope that technology in the trucks will make driving more attractive to younger drivers. All of our new trucks now come with automatic transmissions, automatic braking, collision avoidance systems, and roll stability control. This makes driving a safer, less taxing job.