FedEx contractor revolt?

[It will be fine]

Not saying Express will absorb ground. Just stating the facts that the contractor model is failing and the company admitting two separate systems is inefficient. What the company actually does to combine the two is really just a guess at this point. Express is delivering ground in Alaska, we pu and move the 4Z and INJECT freight. So it's not out of the realm that eventually FedEx could go to an all employee workforce or at least majority.

Data recently issued by ShipMatrix, a subsidiary of Pittsburgh-based SJ Consulting, pointed to on-time performance (OTP) ranges, from November 1 through November 23, for online orders, coming in at high levels.

The firm said that average tally of parcels delivered per day came in at around 85 million, with OTP ranges for the three largest carriers—FedEx, UPS, and the United States Postal Service (USPS)—in similar territory, at 96.3%, 97.0%, and 96.2%, respectively.

Holiday season delivery on-time performance levels are back to pre-pandemic levels, says ShipMatrix

Doesn’t look like the model is failing. It’s not running very efficiently or as profitable as it could be but it’s getting boxes delivered.

 

[MAKAVELI]

Data recently issued by ShipMatrix, a subsidiary of Pittsburgh-based SJ Consulting, pointed to on-time performance (OTP) ranges, from November 1 through November 23, for online orders, coming in at high levels.

The firm said that average tally of parcels delivered per day came in at around 85 million, with OTP ranges for the three largest carriers—FedEx, UPS, and the United States Postal Service (USPS)—in similar territory, at 96.3%, 97.0%, and 96.2%, respectively.

Holiday season delivery on-time performance levels are back to pre-pandemic levels, says ShipMatrix

Doesn’t look like the model is failing. It’s not running very efficiently or as profitable as it could be but it’s getting boxes delivered.

Those numbers don't separate Ground from Express. Your numbers are probably lower than that. Ground is being proped up by Express freight and service %.

 

[It will be fine]

Those numbers don't separate Ground from Express. Your numbers are probably lower than that. Ground is being proped up by Express freight and service %.

Talk about delusional. There’s 4-5 times as much Ground freight as Express. Your argument is nonsense.

 

[Mutineer]

On this subject, It's impossible to predict what FedEx is going to do.

However, some things can be predicted:

Sadistic corporate weenies will chose the path that is the most ugly, awkward, and cheap. And that will also provide maximum disrespect, suffering, and discontent for their front-line employees and contractors.

 

[MAKAVELI]

Talk about delusional. There’s 4-5 times as much Ground freight as Express. Your argument is nonsense.

You might want to check those numbers. Ground is not 4-5 times total Express volume domestic and International. You're delusional if you think Ground could survive without Express freight.

 

[It will be fine]

You might want to check those numbers. Ground is not 4-5 times total Express volume domestic and International. You're delusional if you think Ground could survive without Express freight.

Shipmatrix is comparing domestic freight OTP. It’s also what this discussion has always been about. Nobody thinks Ground is going to be delivering in Germany. Stop digging your hole of stupid arguments.

 

[MAKAVELI]

Shipmatrix is comparing domestic freight OTP. It’s also what this discussion has always been about. Nobody thinks Ground is going to be delivering in Germany. Stop digging your hole of stupid arguments.

Where do you think the majority of consumer products come from? We have a ton of international inbound at Express. Ttku....

 

[It will be fine]

Where do you think the majority of consumer products come from? We have a ton of international inbound at Express. Ttku....

And what you deliver inside the US is 20-25% of what Ground delivers. What you deliver between China and Brazil doesn’t matter for this discussion. Glad you got cleared up. Anything else you need clarity on?

 

[MAKAVELI]

And what you deliver inside the US is 20-25% of what Ground delivers. What you deliver between China and Brazil doesn’t matter for this discussion. Glad you got cleared up. Anything else you need clarity on?

Based off of last quarter earnings your numbers are off. Not surprisingly though coming from a contractor.

 

[59 Dano]

Route consultant is up and running. I’m not sure where you’re getting the idea that the whole organization fell apart, most likely your rear end. They still have weekly webinars, Spencer still hosts some of them. They are still doing their roadshows and new investor summits. All he’s stopped is the media blitz.

No one said his whole organization flopped. Did your rear end feed you that strawman argument?

TALP flopped roughly 3 or 4 months after it was established. You remember, the group he founded this summer to advocate for Ground contractors.

 

[59 Dano]

It’s also quite possibly the most expensive way to deal with public relations as seen from recent articles and events.

Oh, the old "It will be a public relations disaster for Ground" card. It's been played and it doesn't work. The public doesn't care.

 

[59 Dano]

Your common sense tells you they should take the most expensive option to gain efficiency?

Oh, that's a popular idea around these parts! Sure, why not buy (and maintain) thousands of additional trucks? And while we're at it, why not hired a couple hundred more people just for the additional admin requirements? Can't forget those various other admin, professional, and management bodies that will need to be brought on board.

Here's the fun part. They say the engineers are beyond stupid, the managers are lazy, the admin people are of little use, and so on. Then they say the company should give the Ground segment to them to operate (and hire more of those stupid, lazy, useless, etc. people to handle the extra load).

When I say this board is like every NFL team's message board, I am not kidding.

 

[59 Dano]

Not saying Express will absorb ground. Just stating the facts that the contractor model is failing and the company admitting two separate systems is inefficient. What the company actually does to combine the two is really just a guess at this point. Express is delivering ground in Alaska, we pu and move the 4Z and INJECT freight. So it's not out of the realm that eventually FedEx could go to an all employee workforce or at least majority.

Yes it is.

 

[Gone fishin]

Oh, that's a popular idea around these parts! Sure, why not buy (and maintain) thousands of additional trucks? And while we're at it, why not hired a couple hundred more people just for the additional admin requirements? Can't forget those various other admin, professional, and management bodies that will need to be brought on board.

Here's the fun part. They say the engineers are beyond stupid, the managers are lazy, the admin people are of little use, and so on. Then they say the company should give the Ground segment to them to operate (and hire more of those stupid, lazy, useless, etc. people to handle the extra load).

When I say this board is like every NFL team's message board, I am not kidding.

UPS does it , pays more and profits. Have you heard of this company ?

 

[UnionStrong]

UPS does it , pays more and profits. Have you heard of this company ?

He’s obviously a company shill.

 

[59 Dano]

UPS does it , pays more and profits. Have you heard of this company ?

If you can get the job done for $20, why would you pay $30 for the same result?

 

[MAKAVELI]

If you can get the job done for $20, why would you pay $30 for the same result?

Because obviously FedEx isn't getting the same result.

 

[fedx]

I don't think anyone could or should be debating this question anymore. FedEx is going to move their freight from Express over to Ground. How long that takes is anyone's guess. I'd imagine sooner rather than later. I'd bet between 2 and 4 years before being fully implemented. The contractor model is what they want since they don't have to pay any benefits to employees. No insurance, no pension, no 401K, etc. We all should know by now that FedEx looks for the cheapest, most stingy way to do something. The contractor model at Ground fills those checkboxes.

 

[Cactus]

Not at all. Minnesota and Colorado are already doing large scale integrations of operations with the majority of the work going to the Ground contractors. Corporate executives have spoken about shifting express volume to the Ground network. The only people that have said it would go the other way are express couriers that are terrible at math and drastically overestimate their value.

So corporate executives have spoken about shifting express volume to the Ground network? Talk is cheap my friend. Well....let's just see if Ground can handle it all without bring it back to dump on Express or stuffing it into dropboxes or dumping it into local ravines.

Personally, I have my doubts.

 

[Gone fishin]

I don't think anyone could or should be debating this question anymore. FedEx is going to move their freight from Express over to Ground. How long that takes is anyone's guess. I'd imagine sooner rather than later. I'd bet between 2 and 4 years before being fully implemented. The contractor model is what they want since they don't have to pay any benefits to employees. No insurance, no pension, no 401K, etc. We all should know by now that FedEx looks for the cheapest, most stingy way to do something. The contractor model at Ground fills those checkboxes.

This has been tried and the contractors in most areas have failed because people now know the job and will know longer be used like that. They’ll start in the west and slowly integrate ground into express using the UPS model. It’s literally the only way forward