New branding!

FedExMan

Well-Known Member
This is kind of like a FedEx civil war. The contractors at ground just want to be accepted lol. I don't think Express and ground will ever merge because to do that surely turn this company into unionizing. It's all about control at Express. I do see Ground hiring full time employees with company trucks to faze out contractors.
 

bacha29

Well-Known Member
According to the numbers it would appear that the the decision to double Ground's capacity did not at the time take into consideration the entrance of Amazon into the delivery business which would appear to be a game changer. If all they are going to handle is Amazon would appear to not make a huge dent in the business but at the same time that Amazon box more often or not contains items that would have otherwise been bought at the big box stores.And don't forget the good old USPS, the carrier of the last resort.In addition if we get the slow down in the economy many are expecting we may see an industry with too much capacity. If that were to occur anything is possible when you are looking at an industry wide effort to rapidly divest itself of surplus capacity.
 

bacha29

Well-Known Member
This is kind of like a FedEx civil war. The contractors at ground just want to be accepted lol. I don't think Express and ground will ever merge because to do that surely turn this company into unionizing. It's all about control at Express. I do see Ground hiring full time employees with company trucks to faze out contractors.
With all due respect. Ground's contractors are the company's anti union firewall. All contractors have or will soon have multiple routes. They hire the drivers with terminal management approval to deliver from the trucks the contractor owns but operates under Ground's operating authority. Now a contractor's drivers can under Taft Hartley vote to go union. But as another multi route contractor wisely pointed out, the moment that contractor's drivers vote to go union XGround will not renew that contractor's operating agreement.
 

dmac1

Well-Known Member
This is kind of like a FedEx civil war. The contractors at ground just want to be accepted lol. I don't think Express and ground will ever merge because to do that surely turn this company into unionizing. It's all about control at Express. I do see Ground hiring full time employees with company trucks to faze out contractors.

You are right. There will NEVER be a merger. Express drivers will be eliminated, and all packages will go to ground. Not this year, not until the conversion to all ISP is complete for at least a year.
 

MAKAVELI

Well-Known Member
From someone who chose Gary Busy as their icon, anything you say is meaningless.
I didn't choose it. Lost a bet but that's beside the point. The cost, loss of control and brand will keep Express employees. You have come up with absolutely no facts to back up your claim.
 

dmac1

Well-Known Member
I didn't choose it. Lost a bet but that's beside the point. The cost, loss of control and brand will keep Express employees. You have come up with absolutely no facts to back up your claim.

It is a fact that operating two terminals is more expensive than one. It is a fact that ISPs have costs about 50% lower than fedex express for drivers. It is a fact that eliminating terminals, carrying costs of the fleet, and avoiding hiring all the managers, personnel and HR people will save fedex money. It is a fact that fedex want to reduce operating costs and limit liability. It is a fact that legacy costs like retirement can be cut if fedex reduces the number of employees.

It is simply common sense to realize that their is ni impediment to fedex using contractors to carry more and more of the cargo at lower cost.

Anyone who doesn't accept these facts, and claims there are no facts to support a change is mind blank, kind of like Gary Busey. Maybe your moniker does fit.
 

bacha29

Well-Known Member
You are delusional.
When an industry unexpectedly finds itself caught up in an expansion mode, a new and formidable competitor and a slowing economy all bets are off. Express is not going anywhere but it may have a smaller role in the future And rest assured the last thing the vast majority of Ground contractors would want is to have to take on additional classes of marginal shipping such as they are now experiencing with Smartpost.
 

oldrps

Well-Known Member
There will be a day when the operations merge, when it will happen is anyone's guess. Someday Fred will retire and the replacement will probably make that call. Wall Street will put pressure on FedEx someday to eliminate the two networks to save money. I feel they will go with the contractor model as it offers the best anti-union solution and lowest cost.

The biggest reason why much hasn't changed is that it is probably many years away from happening. It has been over 17 years since they bought RPS and not a word of merging. The only difference is that Ground is now much larger and Express is not growing. When I worked at RPS 17 years ago, we said the contractor model could not grow any larger, they will never find enough drivers. That didn't happen, not saying that it still couldn't happen.

I know from reading these boards that Express drivers don't think that a Ground driver can do what they do, but I feel you are wrong. You are looking at your current route going there is no way that a Ground driver can do this. You are right, they couldn't deliver what you have on your van at this time, it is ALL Express. When you combine all the packages, the amount of Express volume vs Ground volume should be small and they will deliver the morning commitments first, then do straight-line deliveries. About 2 - 2:30, line up their remaining deliveries by the later commitment times. I am going to guess that a UPS driver does this daily.

Why they are changing the colors? Probably just bored people in a meeting in Memphis trying to justify their jobs or it may be step 1 of a 20,000 step process to merge the divisions. Time will tell. You will know the merge process is starting when they start installing Haz-Mat placards on all the Ground trailers.
 

dmac1

Well-Known Member
Have you addressed the need for front counters, for CSA's, for dispatch? Most stations have a mechanic. The priority freight must be on time, but under your scenario many contractors will be scrambling to obtain vehicles when one goes down because of no dedicated mechanic. Tell me why FedEx went through all the cost cutting measures in the last few years if they are going to turn it all over to contractors anyways? Why the whole pay raise exercise when they could've just kept the status quo since it's all going contractor anyways(and the turnover would've been a good excuse to do so)? Too many holes in your hypothesis.

Yes, the ground terminals will have employees, just like they do now. They couldn't eliminate express drivers a few years ago under the IC model. The ISP model, when fully in place, will allow them to force the 'contractors' to accept more work. And since delivery time is a customer demand, they can pass on that demand to the contractor ISP, who will then pass it to his(her) drivers without the legal issue they faced with the RPS model.

They need to make up a pay raise schedule to keep current drivers happy. As I said, they can't convert until they go ISP nationally. And it will be gradual, first an unannounced halt to hiring, then just slowly preparing the infrastructure to make the final switch.
 

vantexan

Well-Known Member
Yes, the ground terminals will have employees, just like they do now. They couldn't eliminate express drivers a few years ago under the IC model. The ISP model, when fully in place, will allow them to force the 'contractors' to accept more work. And since delivery time is a customer demand, they can pass on that demand to the contractor ISP, who will then pass it to his(her) drivers without the legal issue they faced with the RPS model.

They need to make up a pay raise schedule to keep current drivers happy. As I said, they can't convert until they go ISP nationally. And it will be gradual, first an unannounced halt to hiring, then just slowly preparing the infrastructure to make the final switch.
Have yet to see this happening anywhere so until it does not buying it. But hey, I'm gone in January anyways.
 

Gone fishin

Well-Known Member
You are right. There will NEVER be a merger. Express drivers will be eliminated, and all packages will go to ground. Not this year, not until the conversion to all ISP is complete for at least a year.
You have to be a troll just trying to get attention or you know nothing about the business. Check please
 

Fred's Myth

Nonhyphenated American
No one at Express believes that we do anything so unique that we can't be substituted for or replaced. Like a wise old man once said, stick your finger in a bucket of water, and when you pull it out, check to see how big a hole you've left.
What Ground posters on here can't seem to grasp is the mind-boggling complexity that Memphis has imposed on Express for the simple job of delivering cardboard. THAT is what you cannot profitably duplicate. Retarded metrics from people in Memphis who simply need to justify their jobs, regardless of the impact it has on efficiency, or profitability.
So until you experience that black hole of stupidity firsthand, you will remain blissfully unaware that your "business" is as much in jeopardy as my job as an Express courier.[/QUOTE]
 

Fred's Myth

Nonhyphenated American
No one at Express believes that we do anything so unique that we can't be substituted for or replaced. Like a wise old man once said, stick your finger in a bucket of water, and when you pull it out, check to see how big :censored2: you've left.
What Ground posters on here can't seem to grasp is the mind-boggling complexity that Memphis has imposed on Express for the simple job of delivering cardboard. THAT is what you cannot profitably duplicate. Retarded metrics from people in Memphis who simply need to justify their jobs, regardless of the impact it has on efficiency, or profitability.
So until you experience that black hole of stupidity firsthand, you will remain blissfully unaware that your "business" is as much in jeopardy as my job as an Express courier.
[/QUOTE]
Really??? They censored "a hole"???
 
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