FedEx contractor revolt?

[59 Dano]

Depends on how much money we’re talking here. It sounds like the contractors are wanting more and you know the underpaid courier wants a raise. What’s the answer?

The answer isn't to do the most expensive option possible and kill the contractor model.

Express couriers never though making Ground drivers into FedEx employees was a smart business move until someone convinced them that such a change would open the door to easier unionization and better compensation. If you or anyone else favors the move because that's what you want and you think it'll make you better off, that's one thing. To say it's a smart business move is just ignorance.

 

[59 Dano]

It’s in the contract. There is no lawsuit. Contractors fail. Company pulls agreement and moves on to the next contractor candidate.

That's not true. Bacha himself said that when one trucking company fails, three more are there waiting to take his place.

 

[Gone fishin]

The answer isn't to do the most expensive option possible and kill the contractor model.

Express couriers never though making Ground drivers into FedEx employees was a smart business move until someone convinced them that such a change would open the door to easier unionization and better compensation. If you or anyone else favors the move because that's what you want and you think it'll make you better off, that's one thing. To say it's a smart business move is just ignorance.

You think keeping ground and express separate is a good business move ?

 

[bbsam]

So what you're saying is that you are completely capable of absorbing the economic loss that a contract termination or complete cessation of operations finding your trucks pulled out of the terminal and parked out along the road with a termination notice stamped to the windshield? If so then you are among the fortunate few...the very very few.

Yes. At this point, filing for bankruptcy is far better than losing tens of thousands of dollars per month.

And why not sell the trucks not possible? Buying new trucks for incoming contractors is even less economically possible.

Oh. And ERC. That thing making the exit ramp more attractive daily.

 

[59 Dano]

You think keeping ground and express separate is a good business move ?

Compared to getting rid of the contractor model? LOL, of course. It's not even close.

If you can get 65% of your freight delivered at a significantly lower price than the other 35%, why the hell wouldn't you?

 

[Gone fishin]

Compared to getting rid of the contractor model? LOL, of course. It's not even close.

If you can get 65% of your freight delivered at a significantly lower price than the other 35%, why the hell wouldn't you?

Because the Fedx brand sucks in both and no longer a reliable service for one. In order to fix ground Raj is gonna have to pay contractors more and that’s not happening. If they do it won’t trickle down to the actual couriers. That means the same junk they’ve been hiring , constant turnover.
The fact that when I pull up to a stop and they say you’re the fourth fedex today. Waste.
Margins for ground and express are worse.
E-commerce is the future, it can’t happen overnight but the UPS model is proven. One truck, one area. It’s really not that hard to understand

 

[UnionStrong]

Because the Fedx brand sucks in both and no longer a reliable service for one. In order to fix ground Raj is gonna have to pay contractors more and that’s not happening. If they do it won’t trickle down to the actual couriers. That means the same junk they’ve been hiring , constant turnover.
The fact that when I pull up to a stop and they say you’re the fourth fedex today. Waste.
Margins for ground and express are worse.
E-commerce is the future, it can’t happen overnight but the UPS model is proven. One truck, one area. It’s really not that hard to understand

Seems to have worked out well for all the UNIONIZED employees too. FedEx

 

[burrheadd]

I just wanna know who’s gonna sponsor the Fedex cup if things are so dire over there

 

[UnionStrong]

View attachment 396251
I just wanna know who’s gonna sponsor the Fedex cup if things are so dire over there

Porn hub

 

[bacha29]

Yes. At this point, filing for bankruptcy is far better than losing tens of thousands of dollars per month.

And why not sell the trucks not possible? Buying new trucks for incoming contractors is even less economically possible.

Oh. And ERC. That thing making the exit ramp more attractive daily.

Wait a minute you said not long ago there are far fewer prospective contractors coming in compared to the rate others are walking out. So who do you sell your trucks to if nobody's there to buy them?

 

[bbsam]

Wait a minute you said not long ago there are far fewer prospective contractors coming in compared to the rate others are walking out. So who do you sell your trucks to if nobody's there to buy them?

You are beginning to see the conundrum that FedEx is in.

They are not happy with the current group and have many “open CSAs” with nobody interested in them.

So will they simply terminate the contract and have another 700+ open CSAs? How do they do one without the other? They probably don’t. On the off chance that they suddenly have 700+ interested parties, then the market for the vehicles is there. Otherwise they are stuck with the contractors they have until more of them simply walk as well.

 

[floridays]

You are beginning to see the conundrum that FedEx is in.

They are not happy with the current group and have many “open CSAs” with nobody interested in them.

So will they simply terminate the contract and have another 700+ open CSAs? How do they do one without the other? They probably don’t. On the off chance that they suddenly have 700+ interested parties, then the market for the vehicles is there. Otherwise they are stuck with the contractors they have until more of them simply walk as well.

What type truck do you put on the road?

 

[bbsam]

What type truck do you put on the road?

Not sure what you mean

 

[floridays]

Not sure what you mean

Used 700's, 900's, did you purchase used express vehicles?

 

[bbsam]

Used 700's, 900's, did you purchase used express vehicles?

I have a 2003 International 1200, a 2011 Freightliner 1000 and an assortment of 2016 and newer 500s, 700s, and 1000s

Some guys had some old Express trucks years ago but management went on a rampage about leaks. Those old Cummins are great motors but sealing them up is nearly impossible

 

[yadig]

The answer isn't to do the most expensive option possible and kill the contractor model.

Express couriers never though making Ground drivers into FedEx employees was a smart business move until someone convinced them that such a change would open the door to easier unionization and better compensation. If you or anyone else favors the move because that's what you want and you think it'll make you better off, that's one thing. To say it's a smart business move is just ignorance.

Hey goobar! Are you paying attention? Contractors are fixing to walk if they don’t see a significant raise. I know you love cheap labor and this has got to be killing you!

 

[bacha29]

You are beginning to see the conundrum that FedEx is in.

They are not happy with the current group and have many “open CSAs” with nobody interested in them.

So will they simply terminate the contract and have another 700+ open CSAs? How do they do one without the other? They probably don’t. On the off chance that they suddenly have 700+ interested parties, then the market for the vehicles is there. Otherwise they are stuck with the contractors they have until more of them simply walk as well.

Shoring up Ground will require sacrificing corporate margins for several years at least. The question is are they willing to do it or are they just going to allow the OPCO to die away on it's own? Hopefully they've come to the realization that you can't ask people to invest money in the venture then cuff them around and slap them around treating them like endured servants and second class citizens. In addition to which by inserting the multiple route requirement, they required to you put even more money at risk and still treated in the same disrespectful way.

And now that they've cut rates to at best bare survival level creating huge non serviced areas the vast majority of which are depressed rural areas...well....that's a Fedex problem that requires a Fedex solution. So when peak comes and those huge open areas remain and boxes are piled to the ceiling and they come running to you trying to pressure you to solve a mess they created you'll just stand there with that Buggs Bunny look on your face and say nothing.

After awhile they'll just turn around and go look for somebody else they think they can either can con into or coerce into taking on that impossible task while you just stand there grinning like a possum .I get it now.

 

[bbsam]

Shoring up Ground will require sacrificing corporate margins for several years at least. The question is are they willing to do it or are they just going to allow the OPCO to die away on it's own? Hopefully they've come to the realization that you can't ask people to invest money in the venture then cuff them around and slap them around treating them like endured servants and second class citizens. In addition to which by inserting the multiple route requirement, they required to you put even more money at risk and still treated in the same disrespectful way.

And now that they've cut rates to at best bare survival level creating huge non serviced areas the vast majority of which are depressed rural areas...well....that's a Fedex problem that requires a Fedex solution. So when peak comes and those huge open areas remain and boxes are piled to the ceiling and they come running to you trying to pressure you to solve a mess they created you'll just stand there with that Buggs Bunny look on your face and say nothing.

After awhile they'll just turn around and go look for somebody else they think they can either can con into or coerce into taking on that impossible task while you just stand there grinning like a possum .I get it now.

I believe you do.

 

[STFXG]

TL;DR
#PurpleFriday

 

[bbsam]

TL;DR
#PurpleFriday

Where’ve you been!