Lumper Fee

What is a Lumper Fee?

A lumper fee is an accessorial charge paid to third-party services, often referred to as lumpers, for the loading and unloading of freight at a pick or delivery location. Facility, warehouse or distribution center. In other words, rather than the truck driver handling the load, a lumper is hired to perform the task.
Occasionally, the truck driver will take on the role of lumper to load or unload the cargo for which he should be paid the lumper fee.

Lumping often includes using a variety of tools such as pallet jack, liftgate…

Lumpers are typically employed by the warehouse or distribution center, although they can also be independent contractors. The services they provide include sorting, segregating, palletizing, and otherwise handling the goods. The cost for these services is the lumper fee, which is often paid by the trucking company and then billed back to the shipper or broker.

Lumper Service Price

Lumper fees can go anywhere from $150 to $600 depending on the cargo, tools, and time needed to complete the service.

Lumper Fee in the Trucking Industry

They can impact the profitability of a haul, the efficiency of loading and unloading.

Lumper services can provide several benefits, including:

Efficiency: Professional lumpers can often load and unload freight more efficiently than drivers, which can result in faster turnaround times at the dock.

Compliance: Some facilities require the use of lumpers to ensure compliance with safety and liability regulations.
Learn more about Compliance, Safety, and Accountability Program (CSA) here.

Driver’s Time and Energy: Using lumpers can free up drivers to rest or attend to other responsibilities rather than focusing on physically demanding load work.

Key Considerations Surrounding Freight Lumper Fees

Transparency: Full disclosure and agreement about who is responsible for paying lumper fees should be part of the freight- load rate negotiations. Ideally, this should be clearly documented in the freight contract.
Reimbursement: Trucking companies should establish a straightforward process for drivers to get reimbursed for out-of-pocket lumper fees.
Regulation: The Federal Motor Carrier Safety Administration (FMCSA) prohibits carriers from forcing drivers to pay lumper fees out of pocket without reimbursement.

Is Lumping Legal?

Lumping is indeed legal and companies are under obligation to pay the driver or 3PL the lumping fee. Keep in mind that drivers are often not paid their lumper fees, this way companies break the law. Also, drivers are under obligation to pay the taxes for the lumper fees. Learn more about lumping law and 49 U.S. Code § 14103 – Loading and unloading motor vehicles here.

How is a lumper fee calculated?

Lumper fees can vary depending on the location, the type of freight being loaded or unloaded, and the specific services and tools required. These fees are usually calculated based on the number of pallets, pieces, or weight of the freight.

Can I get a Lumper Receipt?

Yes, it’s important to ensure you receive a lumper receipt after paying the fee. This receipt serves as proof of payment and can be submitted for reimbursement if needed.

Learn about Rate Confirmation here.
Learn about Breakdown pay here.