Fedex losing pkgs to Fedex Ground

Discussion in 'FedEx Discussions' started by brownmonster, Mar 21, 2007.

  1. brownmonster

    brownmonster Man of Great Wisdom

    I was talking to a Fedex Express driver and he said his building is switching routes around and eliminating some routes due to the fact that Fedex Ground is delivering some of the Express pkgs. Also heard rumors that full timers at Express will be replaced by part timers eventually. That and the fact that they are eliminating the pension for a small 401k match makes me kinda glad I'm a union member.
  2. huskres

    huskres Member

    They arent delivering any of their packages. Their systems dont work together. Different scanners and even barcodes. They might look the same but are different.
  3. FedExer

    FedExer Guest

    The pension was not eliminated just changed in addition to a 401k match that is about $1500 to 2000/ yr
    Previous poster was right about the packages
  4. FedExer

    FedExer Guest

    MEMPHIS, Tenn. (AP) --

    Package delivery company FedEx Corp. said Tuesday that it is making changes to its pension plan and increasing its matching contributions to 401(k) plans.

    The company said most eligible employees who participate in a pension plan will begin accruing future benefits under a cash balance formula called portable pension account starting on June 1, 2008. Benefits accrued under a traditional pension benefit formula will be capped on May 31, 2008 and paid monthly at retirement.
    The changes do not impact current retirees' benefits.
    FedEx said the changes are a result of shifting demographic trends, the federal Pension Protection Act and recently adopted and proposed changes in accounting rules.
    The company is also raising its matching contributions for most workers and providing additional investment options under its 401(k) plans.
  5. govols019

    govols019 You smell that?

    I think he might have meant that customers that were once using Express are now switching over to Fed Ex Ground. That would explain the volume loss.
  6. brownmonster

    brownmonster Man of Great Wisdom

    Correct, ground is taking away work from express. Company will match up to 3.5 percent of yearly wage in 401k. Pretty hard to build up a pension on that small amount.