How can ups compete with fedex with its higher labor costs?

By The Book

Well-Known Member
how? FedEx should cream ups...
On the surface you would think that's the case. Ups, with the high wage and benefit package shouldn't be able to compete. We have a very good business model and make a good profit, because of hard work and efficiency. UPS is always looking for new ways to do business to stay competitive and profitable.
 

dudebro

Well-Known Member
Generally, we're better at keeping our infrastructure (buildings and vehicles) no larger than it needs to be, and our labor is more productive.
 

Chnandler Bong

Well-Known Member
The fact that FedEx is splintered into so many branches is what hurts them. I drive the only brown truck that serves my small communities, but there are up to 3 white and purple trucks (excluding freight). That's a lot of extra fuel and maintenance, not to mention multiple salaries. Sure, maintaining the illusion that they are separate companies is effective at keeping unions out (so far)...but it comes at the cost of extreme inefficiency.
 

guyinthebrownbox

Well-Known Member
Ups makes up for it in volume and productivity. tell a fedex driver you do 200 stops a day and see their reaction

One peak season I shared an elevator with a DHL driver. We got to talking about the busy holidays. He said he was swamped for the day with 74 stops. He asked how many I had. It was 1245 and I had 50 something off already. He was seriously dumbfounded. Told him I had around 250 that day
 

rp3

Well-Known Member
A local FedEx driver told me that there building was going to hourly! There hourly wage will probably be 12.50 so he thought all the over time.lmfao
 

DriverNerd

Well-Known Member
One peak season I shared an elevator with a DHL driver. We got to talking about the busy holidays. He said he was swamped for the day with 74 stops. He asked how many I had. It was 1245 and I had 50 something off already. He was seriously dumbfounded. Told him I had around 250 that day

UPS gave me a new bulk stop delivery and while there a Fedex Ground driver was there the same time. I was on the dock, he looked in my truck from the back (I had 60+ to deliver there, he had maybe 5) and he said "my trucks never been that full". I told him it was just an average day, wait until peak. He said, "no wonder you guys get paid more."
 
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