What is YOUR plan FEDEX?
- Thread starter gixxer squid
- Start date
MrFedEx
Engorged Member
We have one. Her name is moreluck.
We'll see what happens if the 7th U.S. Circuit Court of Appeals agree with the 9th's ruling and the others fall in line along with a ruling for the plaintiffs in the ongoing nationwide class action based on ERISA.As was pointed out in today's CNBC piece on X it's spending millions on restructuring aimed at modernizing the air fleet and divesting legacy costs in an attempt to make Xpress once again porfitable despite slunping volume at X. The funding is coming from Ground and given how fast they are spending it to restructure Xpress you can't tell me that they are not concerned about what they may have to spend to defend Ground as well as what it may have to pay out in damages going forward .Ground will continue to exist but in what form and will it continue to have an operating margin nearly 3 times the industry average only time will tell.
dvalleyjim
Well-Known Member
In this business you have to pay your driver low wages but keep their hours and routes manageable. It's the best way to deal with the low percentage FedEx is paying you.
gixxer squid
Well-Known Member
A stop is a stop. I find a space, park my truck and get out. I don't know anyone at ground that gets envelopes, maybe 5-10 at most. It still requires me to get out of my truck and deliver what ever it is it may be. .14-17 cents regardless of whether its an envelope, one of the many christmas trees I have delivered or the 4 60" flat screen LCD TV's I just delivered yesterday. Yep, .68 cents for those bad boys.
Hey guys, this puts it all in perspective. Second quarter operating results Grounds revenue contribution was 31% of the corporations total revenues but that 31% revenue share generated 84% of the corporations total profit. That's right, 84% or it's profits came off a little Grounds 31% revenue contribution. Look it up yourself. The outlook for Xpress and Freight is poor to dismal. So expect X to demand even more from you for even less in return. Tensions will boil . I don't feel sorry for the guys who went into this thing whole hog and find themselves trapped between heavy debt and employees who want a compensation package that is competitive and a greedy Fortune 500 company desperate to keep it's stock from collapsing but has only one bullet in it's gun .........Fedex Ground
So true!!
Express would be more profitable if merged with Ground. Ground would be more stable if merged with express. A FedEx that looks a lot more like UPS could be coming.
Crozz
Well-Known Member
Ive said it before I see in the future express trucks will be contracted like ground.
Purplepackage
Well-Known Member
I highly doubt that, they would literally have to lay offthe entire express corporation because no current employee would be dumb enough to buy their own truck and work for less money and get no insurance
Crozz
Well-Known Member
It will slowly trickle down to the ground sector it wouldn't happen over night. If you see an express truck he is only doing international like DHL for the most part. How do you think home delivery started and now look the home brand is gone and it's only ground now.
Farming express boxes out to subcontractors would be unlikely as long as they can keep bleeding off cash from Ground to finance ongoing efforts to restructure Express and make it's margins acceptable to shareholders. Given that much of what X handles is high value stuff like payroll checks etc subing it out to contractors would from a public image perspective be embarrassing. Moreover I don't think that Freddy would want that for his baby. What you might see is a spinoff like what was done with RPS in 1995 to unlock shareholder value with a mutual service agreement. A lot would have to happen in the geopolitical climate before a G and X merger were to happen. In the meantime IC/ISP's need to prepare for even worse treatment from X by deleveraging maintaining higher liquidity and try to establish a pay and benefit package that will retain their best people. Those Q2 results end all arguements about the real reason for the existance of IC/ISP's and what they will be tasked with going forward. I sincerely hope that things will not get as bad for them as it now appears.
Purplepackage
Well-Known Member
Are you saying express only delivers international? Because that is completely wrong
59 Dano
I just want to make friends!
Won't happen. Requires too high of a degree of control over on-road operations. Airborne, and later DHL, tried to contract out much of their domestic express business. Doesn't work.
MrFedEx
Engorged Member
The username is great. I asked Mike Hunt, and he loved it.
MrFedEx
Engorged Member
We have no plan Dano, unless you count ducking, cowering, and evasion.
59 Dano
I just want to make friends!
If you insist.
MrFedEx
Engorged Member
I do. It's a cluster, and you know it. We had 10 new people driving in circles yesterday with essentially zero productivity. I doubt my station was the only one with this issue.
It will be fine
Well-Known Member
Why? We already get deliveries with appointments and evening delivery. What's the difference. Give me a handful of deliveries that need to be done by 10:30, I'll figure it out. In the fairy tail of a Ground/express merge Ground has a better fleet for incorporating the express division. No way express trucks could handle the freight we move. Same reason Ground can absorb HD better than the other way around. Bigger trucks better flexibility.
59 Dano
I just want to make friends!
I'm not worried about your station. The stations in this market area are fine, and I doubt we're the only ones with this "issue," either. Freight is arriving from the ramp around 15 to 30 minutes later than its scheduled time on a non-peak day. So far, service hasn't been an issue because we're all properly staffed for peak and everyone (well, most everyone) is making an effort to work as a team. I don't care about your station.
I'm really interested in the "Things are bad at my station, therefore the collapse of FedEx is imminent" narrative, but your post above is no different than the ones you've posted multiple times over the years.
