How Much Can You Expect to Make Being an HGV Driver?Posted by Nabin Shaw on September 27th, 2019 This is probably the most popular question that we are asked by the new drivers that would like to make a career change into HGV driving, and it is a worthwhile question to ask. In just about any career, you need to know whether you will be compensated well for the work you will be doing, and the pay is one of the biggest considerations for any type of job move. Unfortunately, in this industry, there is not a definitive amount when it comes to what HGV drivers are paid. Yet there are a few useful guidelines, a couple of statutory minimums and a few trends which can assist you in determining if the pay bracket is a worthwhile move for you. Here are a few guidelines to help you make a more informed decision. Statutory MinimumsThe HGV industry is mainly governed by its own set of rules, yet factors such as the minimum for legal wages will still apply. This ultimately means you will still be covered and protected by the National Minimum Wage, the Apprentice Levy, and the National Living Wage. To match up with the National Minimum wage, the minimum wage per hour that you can expect includes:
Yet this is just the minimum amount that you will be paid legally, and this is not an indication of what you will actually get paid. Most of the employers are aware of the value involved in paying drivers more in order to encourage and promote better performance. The National Living Wage is made to provide liveable and secure wages for all employees regardless of age. The National Living Wage for the employees aged 25 and older with the level set originally at £7.20 in 2016. This amount was increased to £7.50 in the year 2017, and then to £7.83 in 2018. From 1 April 2019, the level increased again to £8.21, which equates to an impressive increase of 4.85%. The Apprenticeship Levy came into effect on the 6 April 2017, for the businesses that have a payroll cost (gross) of over £3m that are now required to pay 0.5% of the gross payroll. The levy payers are able to claim this payment back through only approved training such as England, Trailblazer apprenticeships. Driver SubsistenceIn regards to reimbursing the drivers, a lot of controversies has played out over the last few years. The new system which was introduced by HMRC has caused much confusion along with a lot of extra work. This was followed by another system which came into effect on September 2017. This system involves laying out the size options for the employers which allows them to pay and reimburse their drivers in a manner that is more consistent. These include:
Agreed Industry Scale RateEven though there are no payment amounts that are set, there is still an industry scale that is agreed on for pay or reimbursement in regards to paying for HGV drivers who work and sleep away from their homes. This is a scale that was put in place many years ago, which has remained consistent since 2013. For the drivers that have a sleeper-cab, the amount is set at £26.20, while for drivers that do not have a sleeper-cab this amount increases to £34.90. The employer decides whether they would like to reimburse these costs or rather choose the option of using this scale. This often varies depending on what company you are working for. You can be sure that your employer is checked by the HMRC if they use this scale to make sure the company is sticking to the rules. The Good NewsIf all the above-mentioned information sounds a bit confusing, there is a bit of good news. 79.1% of drivers have reported that they received an increase in pay from the previous year, with the increase amount average being around 2.57% of their salaries. The rate in the South was higher, while slightly lower in the North. On average, around 85% of the HGV drivers earn well-above the set National Living Wage. Like it? Share it! More by this author |