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<blockquote data-quote="dmac1" data-source="post: 3511754" data-attributes="member: 60252">You are ignoring the truth. Those expenses are already being paid by fedex through the ISP. Thousands and thousands of ISPs doing screening, interviews, etc, etc is already paid for, and fedex already has a Human Resources Dept. Do you really think that it is better, faster, or cheaper to have thousands and thousands of ISPs doing human resources work, payroll, training, etc than it is for fedex to use their already existing resources??????? If so, then you are completely nuts.Fedex can also buy vehicles using mass purchasing power cheaper, and hire in-house maintenance. Reducing overlap, reducing facilities, reducing the number of managers to run the fewer facilities are all savings. Fedex from the start has hired employees. If Fred was in love with contractors, he would have subbed out the delivery end from the start. He was STUCK with the &#039;contractor model&#039; when he bought RPS and he wanted an &#039;instant&#039; entry into the market. Since then it has basically been an experiment, and in the meantime Fred is learning how to manage ground delivery, and the ONLY reason for not using employees is the union, and possibly the big cash outlay to buy out the ISPs. As soon as you see Fred buying out a single contractor, including the vehicles, and running that service area, the end will be near. Fedex doesn&#039;t need to buy a whole new fleet, they can buy the best of the current fleet, and directly hire the drivers who are currently driving those vehicles already.</blockquote>

[QUOTE="dmac1, post: 3511754, member: 60252"] You are ignoring the truth. Those expenses are already being paid by fedex through the ISP. Thousands and thousands of ISPs doing screening, interviews, etc, etc is already paid for, and fedex already has a Human Resources Dept. Do you really think that it is better, faster, or cheaper to have thousands and thousands of ISPs doing human resources work, payroll, training, etc than it is for fedex to use their already existing resources??????? If so, then you are completely nuts. Fedex can also buy vehicles using mass purchasing power cheaper, and hire in-house maintenance. Reducing overlap, reducing facilities, reducing the number of managers to run the fewer facilities are all savings. Fedex from the start has hired employees. If Fred was in love with contractors, he would have subbed out the delivery end from the start. He was STUCK with the 'contractor model' when he bought RPS and he wanted an 'instant' entry into the market. Since then it has basically been an experiment, and in the meantime Fred is learning how to manage ground delivery, and the ONLY reason for not using employees is the union, and possibly the big cash outlay to buy out the ISPs. As soon as you see Fred buying out a single contractor, including the vehicles, and running that service area, the end will be near. Fedex doesn't need to buy a whole new fleet, they can buy the best of the current fleet, and directly hire the drivers who are currently driving those vehicles already. [/QUOTE]

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