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UPS Union Issues
IBT proposal thus far.
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<blockquote data-quote="Kae3106" data-source="post: 1099347" data-attributes="member: 27557"><p>For those who aren't familiar, most state laws allow the employer to collect a fee from the employee as the cost of complying with the garnishment order. The fee isn't just something UPS decided to impose, it is written into the state laws. IMO, no employer should have to eat the cost of complying with an employee's personal legal issues. Yes, UPS is a big company that could absorb this cost but is it right to expect any employer to take this cost? Cost of paying the employee for work performed...yes. Cost of dealing with attorneys and legal paperwork related to child support payments...no.</p><p></p><p>That said, some of the fees are a bit excessive. Most are a per payment fee like $1 which is pretty reasonable. This covers the cost of receiving the paperwork, sending it to the company that scans it into a special computer program, processing it in the payroll system, making sure the payments go to the correct collector, check printing costs, postage for non-electronic payments, dealing with the hundreds of weekly phone calls from lawyers, ex-spouses, etc. We have a dedicated department of about a dozen people who deal with this stuff all day long. I worked in that group for a few months and it's a beating. The endless phone calls from the angry ex-wives were enough to drive me to drink.</p><p></p><p>The fees I think are a bit excessive are the ones tied to a percentage of the debt. It's been a while but I think it was Illinois that allowed us to charge a flat 2% fee. Also, if there is a long term wage attachment that isn't changing, like a child support agreement, and it's an electronic payment, there really isn't any cost to the company once it's been set up in the system.</p></blockquote><p></p>
[QUOTE="Kae3106, post: 1099347, member: 27557"] For those who aren't familiar, most state laws allow the employer to collect a fee from the employee as the cost of complying with the garnishment order. The fee isn't just something UPS decided to impose, it is written into the state laws. IMO, no employer should have to eat the cost of complying with an employee's personal legal issues. Yes, UPS is a big company that could absorb this cost but is it right to expect any employer to take this cost? Cost of paying the employee for work performed...yes. Cost of dealing with attorneys and legal paperwork related to child support payments...no. That said, some of the fees are a bit excessive. Most are a per payment fee like $1 which is pretty reasonable. This covers the cost of receiving the paperwork, sending it to the company that scans it into a special computer program, processing it in the payroll system, making sure the payments go to the correct collector, check printing costs, postage for non-electronic payments, dealing with the hundreds of weekly phone calls from lawyers, ex-spouses, etc. We have a dedicated department of about a dozen people who deal with this stuff all day long. I worked in that group for a few months and it's a beating. The endless phone calls from the angry ex-wives were enough to drive me to drink. The fees I think are a bit excessive are the ones tied to a percentage of the debt. It's been a while but I think it was Illinois that allowed us to charge a flat 2% fee. Also, if there is a long term wage attachment that isn't changing, like a child support agreement, and it's an electronic payment, there really isn't any cost to the company once it's been set up in the system. [/QUOTE]
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