Solving the Driver Shortage by Improving the 1099 HR Experience
In the last 18 months, retail businesses were forced to pivot into the last-mile labor space. This pivot dramatically increased the volume and complexity of delivery. As a result, the world has a better understanding of the need for last mile labor and the value of last-mile services. Contingent workforces aren’t going anywhere and it’s important for us to embrace and lean into the 1099.
Despite the dramatic increase in the number of drivers (to date DDI has onboarded 100k drivers), the driver shortage still exists. Clearly, more drivers isn’t solving the shortage. So the issue is becoming how to increase the output of the existing workforce.
Strategies From Our CEO
DDI’s CEO, Aaron Hageman, recently addressed the driver shortage issue at Home Delivery World 2021. What’s his solution to solving the shortage? Improve the 1099 HR experience through these 3 strategies.
Strategy 1: Community and Engagement Within the Workforce
First, communication with drivers is vital. We need to understand what’s important to them, what they want and need, and what’s changing for them in this constantly shifting landscape. Second, we must create more community for the workforce. This is done through partnerships specifically created to support workforce needs with the goal of increasing engagement.
Strategy 2: 1099 Products – Solutions for the Solo-preneur
Entrepreneurship is hard. We strive to empower drivers by offering solutions to common issues. This includes access to automotive services such as roadside assistance, as well as benefits typically associated with W2 employees. We offer benefit solutions including health, dental, life, even pet insurance. We also provide integrated solutions to navigate the complex tax landscape.
Strategy 3: Technology and Mobility
We are using technology to increase the earnings opportunities of 1099 drivers by creating mobility. We are using technology to manage the complex matrix of driver needs against ever changing product needs. Partnerships with like minded companies such as Checkr and Branch help facilitate this mobility. For instance, through Checkr, background checks are used to qualify for immediate access to driver opportunities.
More drivers can’t be the only option to solve the driver shortage. The drivers already exist. Our goal is to improve the 1099 HR experience to increase driver satisfaction and thus increase retention. We have to create a great experience to convert those that are interested and keep active drivers active. Improving the experience for drivers improves the experience for our clients.
With our unique solutions, knowledgeable staff, and over 25 years of industry experience, DDI provides a seamless experience for connecting customers with driver-partners. Through our proprietary platform we provide full-service tools in human resources and driver management from:
- Recruit, Onboard and Enroll Top Quality Driver-Partners
- Assist with Accounting, Payroll and Tax Services
- Provide Risk Management through Compliance and Legal Expertise
- Protect your Business with Occupational Accident Insurance, Contingent Liability Insurance and Screening Products