Last Mile

MAKAVELI

Well-Known Member
Express turns it over at the origin ramp. They don't transport it to the respective hub, they don't unload it and sort it again at the hub, they don't transport it to the destination ramp, they don't unload it and transport it to the destination station, they don't unload it and sort it at the destination station, and they don't make the final delivery. The Express expenses are slashed by more than half.

You're overlooking a LOT.
You have proof of the numbers?
 

It will be fine

Well-Known Member
You have proof of the numbers?
Express profit margin is 6-7%. The only costs to Express are the initial pickup and sort to the Ground trailer. If Express can pass it off for 50% of the revenue there’s 43% left to cover the cost of that pickup and sort and still increase profit margin. Where are you getting lost?
 

McFeely

Huge Member
Are you sure about that? Much of it will still be flown as Ground can't make next day everywhere.

The LMO scenario isn't applying the stuff that still goes on airplanes. All LMO packages have a different URSA and they get separated at the origin ramp. They never see a plane. Right now I'm mostly seeing 2- and 3-day packages.
 

McFeely

Huge Member
You are also in Colorado. Get over on the east coast where you can hit multiple large metros in a 1 day timeframe and the savings compounds.

I was just clarifying mainly about the plane/overnight issue, but you are correct. East coast density makes an SO pretty feasible.
 

59 Dano

I just want to make friends!
Are you sure about that? Much of it will still be flown as Ground can't make next day everywhere.

Let's try it this way. You get the LMO documentation that was given to you and compare it to the LMO documentation that was given to everyone else.
 

Gone fishin

Well-Known Member
These changes are basically unrealistic because of an inept ground division. For them to be reasonably effective , they’d have to pay benefits and more money to the drivers. That will take away too much profit on the contractors and won’t be worth the time.
Our ground hub is ten days behind , with perishables rotting. They’ve been through the workforce here and people won’t do the work anymore
 

AB831

Well-Known Member
These changes are basically unrealistic because of an inept ground division. For them to be reasonably effective , they’d have to pay benefits and more money to the drivers. That will take away too much profit on the contractors and won’t be worth the time.
Our ground hub is ten days behind , with perishables rotting. They’ve been through the workforce here and people won’t do the work anymore
It sounds like they need to see a Frontline video of Fat Freddy telling them how great things are.
 

vantexan

Well-Known Member
Let's try it this way. You get the LMO documentation that was given to you and compare it to the LMO documentation that was given to everyone else.
As a retiree the only documentation given to me was a swift kick in the butt. Just asking a question.
 

AB831

Well-Known Member
From my experience benefits don’t move the needle much on recruitment or retention. The job is physically demanding, most people aren’t capable of doing it for very long.
Do you have any lifers or is it a get hired, do a couple months-years, then hit the road kind of thing?
 

It will be fine

Well-Known Member
Do you have any lifers or is it a get hired, do a couple months-years, then hit the road kind of thing?
I have a handful of long time 5-10 year drivers. The ones that want to stay for awhile get moved into management positions, but a few guys just like driving and stay there. They were long term before I offered benefits though. The new hires don’t seem affected either way, I’m not attracting any different people and my retention hasn’t increased.
 
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