This post is the second in a two-part series.
In my last blog post, I shared that people often ask me, “Should I pay my drivers by the day or by the hour?” My answer is based on comparing both methods, and I'll tell you why I recommend paying drivers by the hour.
Paying by the day is still most common because it’s a holdover from when delivery volume was consistent and only 5-days per work week.
As a result of adding residential service and e-commerce, package volume swings now vary widely on a daily basis. Paying drivers by the day has made business owner profitability more challenging.