What are lumper companies?
Lumper companies are third-party businesses that load and unload freight from trucks and trailers, usually at warehouses and distribution centers. They are a common part of the logistics chain, especially at grocery and retail receivers.
What lumper companies do
- Unloading trailers: Lumper crews physically remove pallets, boxes and other cargo from trailers.
- Loading trailers: Some also load trailers, placing and securing cargo for transport.
- Sorting and staging goods: Some lumper companies sort goods by product or order and stage them for further processing or delivery.
- Inventory tasks: In some cases, lumper companies handle inventory tasks, such as tracking the movement of goods and keeping counts accurate.
Why receivers use lumper companies
- Efficiency: Experienced crews can load and unload trailers quickly, which can shorten turnaround times.
- Cost: For a warehouse with fluctuating freight volumes, lumper services can cost less than employing dedicated staff for loading and unloading.
- Experience: Lumper companies often have experience and equipment for handling different types of cargo.
- Flexibility: Lumper services are available as needed, which suits receivers whose volumes change.
Lumper fees
Lumper fees are the charges for the services lumper companies provide. They can vary depending on several factors:
- Location: Fees tend to be higher in major cities and transportation hubs.
- Type of cargo: Freight that needs special handling or equipment may cost more.
- Volume of cargo: Larger shipments take more labor and time.
- Time of day: Fees may be higher outside regular business hours or during peak seasons.
Types of lumper fees
- Per-pallet fee: A fixed amount charged for each pallet loaded or unloaded. This is common.
- Per-hour fee: An hourly rate, often used for large shipments or floor-loaded freight.
- Minimum fee: A minimum charge regardless of the amount of work performed.
- Fuel surcharge: Some lumper companies add a fuel surcharge.
What carriers should know before paying a lumper
When a load requires lumper service, a trucking company should:
- Confirm who pays before you book: Check the rate confirmation for lumper terms and whether the broker or shipper will reimburse the fee.
- Get it in writing: Agree on the scope of work and the fee in writing to avoid disputes later.
- Keep the receipt: Get a receipt for every lumper payment and send it with your paperwork so the fee can be reimbursed.
- Check insurance: Make sure the lumper company carries insurance for damage or injury during loading and unloading.
If you'd like help reviewing rate confirmations and collecting accessorials like lumper fees and detention, see our back-office services. You may also want to read about detention pay for owner-operators.
Conclusion
Lumper companies are a regular part of American logistics. Understanding their services and fees helps carriers plan for them, get reimbursed and keep freight moving efficiently.
