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Brown Cafe UPS Forum
UPS Union Issues
Comparison: Last, Best & Final to Pre-strike proposals
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<blockquote data-quote="PobreCarlos" data-source="post: 1026242" data-attributes="member: 16651"><p>Actually, I don't see any "huge amount of growth in the residential market"; rather, what I see are packages that have been DIVERTED from commercial receivers to residential ones...at a far GREATER cost per package to UPS. Granted, there have been rate adjustments for residential, but I don't think that they truly make up for what amounts to [relative to overall economy] virtually the same - or greater - volume that used to move through our systems, and which was delivered in bulk to multi-package commercial stops instead or single package (or whatever) residential ones.</p><p></p><p>Of course, that residential cost is even greater if one considers that we're now delivering on a shipper discount basis, as opposed to the tariff figures our pricing USED to be based on.</p><p></p><p>In truth, I'm not sure the "internet revolution" really benefited UPS that much. The pie really ISN'T that much larger. We were handling the volume before...and perhaps more of it. It just didn't dribble-out through residential deliveries.</p></blockquote><p></p>
[QUOTE="PobreCarlos, post: 1026242, member: 16651"] Actually, I don't see any "huge amount of growth in the residential market"; rather, what I see are packages that have been DIVERTED from commercial receivers to residential ones...at a far GREATER cost per package to UPS. Granted, there have been rate adjustments for residential, but I don't think that they truly make up for what amounts to [relative to overall economy] virtually the same - or greater - volume that used to move through our systems, and which was delivered in bulk to multi-package commercial stops instead or single package (or whatever) residential ones. Of course, that residential cost is even greater if one considers that we're now delivering on a shipper discount basis, as opposed to the tariff figures our pricing USED to be based on. In truth, I'm not sure the "internet revolution" really benefited UPS that much. The pie really ISN'T that much larger. We were handling the volume before...and perhaps more of it. It just didn't dribble-out through residential deliveries. [/QUOTE]
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Comparison: Last, Best & Final to Pre-strike proposals
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