If you’re out and about on December 4, 2017, you may notice truckers out in force protesting the controversial ELD Mandate. One report says protests have been planned in at least 40 states in advance of December 18, 2017, which is when Phase 2, the Compliance Phase, of the ELD Mandate takes place.
Thanksgiving is a day of thanks for the blessings bestowed upon us. As this year comes to a close, once again I find myself thankful to be a part of the towing community. The towing community has provided the privilege of meeting and working with people from all walks of life. Many of these people have become my closest friends.
In my neck of the woods, most tow companies pay their drivers by a commission. While the commission system may be the preferred choice for your company, a commission system, absent some other factors, is not an exception to the record keeping, minimum wage, and overtime requirements of the Fair Labor Standards Act (FLSA). This means that tow companies still need to maintain records of hours worked either through a time clock or set schedule. This also means that employees must be paid at least minimum wage if their commission divided by their hours worked doesn’t equal minimum wage. Finally, employees must also be paid overtime if they are not exempt.
The sale or auction of abandoned vehicles left with tow companies can provide a nice revenue boost for tow companies. Most states, including my home “states” of Kansas and Missouri (Kansas City is a border town), have a statutory lien procedure designed for this. If tow companies follow this procedure, they can obtain a “title” to the motor vehicle and sell it for a profit.
If you are going to claim a lien on a towed vehicle, please understand your state law. I have been hired a number of times to draft “checklists” for tow staff to follow anytime a vehicle is towed. I think these types of checklists are great ideas because every step of the procedure must be strictly followed.