Why Is The
CMCA and MCAA So Important?
Roughly 80% of
same-day ground deliveries in our nation are made by the myriad of
Independently Owned and Operated Courier companies which, in turn, rely on tens
of thousands of Independent Contractor Drivers. This proven business
model allows us to conduct our successful operations, while providing both
livelihoods to those ICs, as well as the overall contributions our combined
efforts make to our local economies.
But our use of these ICs
is now under fire on several fronts.
State Governments, looking for
creative ways to bolster sagging revenue bases, are attempting to legislate the
elimination of ICs from many business models. The mindset is that if they can
force Courier Companies to make these IC's actual employees by passing laws to
outlaw ICs, they can then collect additional payroll taxes.
The same tactic is being
considered at a Federal level, for collection of new and additional Federal
taxes from your business.
Insurance Companies are
also lobbying various legislators to outlaw the use of ICs as their own
potential revenue stream. If your drivers were suddenly required, by law,
to become your employees, then you, as the company owner would be responsible
for insuring those drivers. In a pool of twenty drivers, for example, the
insurance company could take the driver with the worst record, and base their
rates for the entire company on that driver's performance.
Labor Unions have long
sought to increase their membership, and thus their collection of Union Dues by
targeting ICs and the companies who use them. Under our current IC
business model, they cannot approach our drivers with the goal of organizing
them. Should laws be passed eliminating the IC business model and
requiring those drivers to be hired as payroll employees, it would be open
season for Labor Unions to attempt to organize those employees.
Collectively, or
individually, these threats from legislatures, insurance companies, or
unions could devastate our industry as we know it. But there is a way to
protect our right to the freedoms of Capitalism and the continued success of
our day-today operations. In order to protect the IC model in our state,
everyone in our industry need to establish and build professional
relationships with those local and state lawmakers who have the potential to so
drastically affect our livelihoods.
The CMCA and
MCAA were created to support businesses involved in the same-day messenger
and courier industry, educate people and lawmakers about our industry and to
promote the long standing reputation and business practice utilized within our
industry.
