any more news on dhl/fedex merge?

Discussion in 'UPS Discussions' started by coldworld, Feb 20, 2008.

  1. Coldworld

    Coldworld Well-Known Member

    Is there any more news about this, and what do you all think would happen if this merger did go through, do you think anything would change. I remember everyone was up in arms about fedex and the post offices friendship to put letterboxes at the post office in exchange for post office freight on fedex planes, but not sure that was successful because some of the boxes were taken out. Just wondering what you all think? Just when you think fedex has puttered out of steam, they pull some rabbit out of a hat. Honestly, what is ups REALLY doing to help stomp these guys out?
     
  2. U(s)PS Guy

    U(s)PS Guy Guest

    the USPS has been putting freight on FedEx planes ever since 9/11, just an FYI. They have been doing the same with UPS and DHL since then as well. Before 9/11 the major airlines moved mail freight for the USPS, but since then it is a security issue and a big hassle they don't want to deal with. FedEx is the largest handler of postal volume outside of the USPS themselves, handling 8 million pounds of mail across the country per night. UPS only handles a little over 800,000 pounds. I'm not sure what DHL handles, if anything anymore.

    And before you go asking how i know this, I work at UPS SCS as the team leader for postal operations at my facility.
     
  3. BLACKBOX

    BLACKBOX Life is a Highway...

    I guess you could can put to rest the rumor of DHL buying Yellow Freight. You are correct about why UPS doesn't try to get new revenue projects like USPS and the possible merger of DHL/FDX domestic ops. Seems like UPS is just content to sit back and watch from the sidelines.
     
  4. tieguy

    tieguy Banned

    ups has their share of the usps volume. not sure they really want a whole lot more. most of your post office volume is low cost / low revenue shipments.
     
  5. ups79

    ups79 Active Member

    If you are the "team leader for postal operations", why aren't you doing your job and getting more volume?
     
  6. MrFedEx

    MrFedEx Engorged Member

    My wife had a DHL delivery 2 nights ago and I spent 5 minutes talking to the driver, who was very concerned that the FedEx buyout was going to happen. He based this on the fact that DHL was basically giving the drivers everything they wanted on their upcoming Teamsters contract and fighting nothing. According to him, this was atypical of DHL management and a very bad sign. A "major announcement" is to made March 6th at DHL, so he thought that was when they were going to drop the bomb.
     
  7. Coldworld

    Coldworld Well-Known Member

    Interesting, just one question. Since fedex probably flies half empty planes, the post office volume is probably badly needed to fill them up. Do you really think that ups would want 8 million pounds of freight, since it seems like we probably have more bulky air instead of mostly letters from fedex.

    One more thing, do you get involved in the ups "basic" service in your job? I would like to know more about it and how much this service is actually hurting the post office.
     
  8. FAVREFAN

    FAVREFAN Member

    I thought we went over this topic before. There is no buyout or merger. DHL is trying to unload a small part of it's less profitable operations(u.s.Freight) FDX might be interested because they could make money off of this volume.
    The media has made all of this clear in recent weeks.
    March 6th might be the new contract announcement, just a guess on that though.
     
  9. Coldworld

    Coldworld Well-Known Member

    There was talk about this again....
     
  10. U(s)PS Guy

    U(s)PS Guy Guest

    I am doing my job, and very well I would like to think. My facility is consistently ranked third in the nation for accuracy and effectiveness. The decision to add or decrease volume, however, is not mine to make. That decision is made by a joint UPS-USPS group that is way up the ladder and of which I have no contact with. Thanks for the attempt at insulting my abilities though. Try again :)
     
  11. U(s)PS Guy

    U(s)PS Guy Guest

    I never said that we are purposely lagging behind FX in the postal division. I know that UPS does not want that large amount of freight, because for the past two years at peak (the only two I have been involved in), the operation at my facility completely shuts down for 2 weeks. UPS would rather allocate the positions on the planes to UPS freight instead of USPS freight, and I can completely understand why. Hopefully once the 19 new 767's that UPS bought last year are all in the fleet peak time postal ops will not drop off like they have. I believe that UPS is taking this one small step at a time, seeing how much they can handle before adding more weight.

    I am unsure of what you mean by "basic service", can you clarify?
     
  12. ups79

    ups79 Active Member

    Must of had some effect or you would not have responded. Accuracy comes when numbers are small. Lets see you increase that volume. What exactly do you do to keep your job? How necessary are you?
     
  13. MrFedEx

    MrFedEx Engorged Member

    FedEx planes almost always fly full domestically. They actually keep "hot spares"(727's) at all of the hubs to fly the extra volume when they blow-out the wide-bodies. Not so sure about International. There is a big difference.
     
  14. scratch

    scratch Least Best Moderator Staff Member

    "Basic Service" is our cheapest type of service offered to big shippers. We make one delivery attempt, and can Driver Release at any stops, including apartments and businesses. In some of the more rural ares, we deliver these packages to the local Post Office and they make the final delivery.
     
  15. U(s)PS Guy

    U(s)PS Guy Guest

    What do I do to keep my job? Well I am the only person that has stayed on this operation in the almost 2 years this facility has ran it. In that time, we have had 4 employees either quit or be fired, and 6 or 7 temps go the same route. I am the only person who knows how to take care of any and all paperwork and computer work, and I deal with all the logistical problems of getting the equipment to my facility. If I were to be let go, I can see my supervisors scrambling for a few weeks trying to learn what to do and losing a lot of volume until it was figured out.

    Again, I would love to see my volume increased but I have absolutely no control over that. It is decided by a panel to determine what the Post Office wants to give us. Our volume has gone up and down and up and down again with no rhyme or reason. There is nothing I can do but wait for the next quarter bid to come out and see what my team will be handling. And in case you are wondering, my center is going down again when 2nd quarter starts, but by a very small amount. Before you say something along the lines of "well you must not be performing at high enough standards to warrant more volume" I should let you know that UPS across the country is losing approximately 50,000lb's, so it is not just my team performing poorly, instead it is probably UPS deciding they can't handle what they are taking on at the moment.


    I think I may have confused some of you. My facility receives mail from the local Post Office in boxes and bags. We take those and load them in to large air containers, load the containers into trucks and move them down to HWP. From here they are flown to their respective cities of destination. When the mail arrives at the destination airport, another UPS facility just like mine, will unload the boxes into mail containers, load them onto a USPS truck, and be sent off to that local Post Office. We do no actual, physical, delivery of the mail. We only move it between on PO to another.
     
  16. ups79

    ups79 Active Member

    You are indispensible.
     
  17. Covemastah

    Covemastah Suspension Ovah !!! Tom is free FU Goodell !!

    what are they gonna do with that train with all the new dhl trucks on it !~~ hope they dont unload it at the rail yard in worcester mass cuz that yard is full of 100% full ups trailers :happy2:
     
  18. Leftinbuilding

    Leftinbuilding Active Member

    It was mentioned to us that UPS is also looking at DHL. All we want are their international "air lanes".
     
  19. U(s)PS Guy

    U(s)PS Guy Guest

    I know, right?

    Now that I've answered your questions, maybe you can answer one for me. Why does it seem like you act as if you know my job, and my abilities, better than I do?
     
  20. david cassin

    david cassin dublinbrown

    back in 1988 ups was just one vote from buying dhl but at the time and still to my knowledge dhl leases everything and as the had no assets ups just walked away.dhl are not as rosy as everyone once thought.
    they go after business with huge discounts and they are making little or no money on shpts.they are offering 35 kg shpts for 5 euro here in ireland.we (ups)in ireland and about time are now going after domestic business i was informed a couple of weeks ago.:happy-very: