Of the news wire

Discussion in 'UPS Discussions' started by Dfigtree, Oct 19, 2008.

  1. Dfigtree

    Dfigtree New Member

    In case you did not already know and for what it's worth ...

    UPS to raise air, ground rates
    9:53 AM EDT October 18, 2008
    United Parcel Service Inc. says it will raise its ground shipping rates by 5.9 percent and its air rates by 4.9 percent next year.
    UPS, based in Atlanta, will lower its aviation fuel surcharge by two percent in 2009, thereby mitigating its official air rate increase of 6.9 percent, The Wall Street Journal reported Saturday.
    The move mirrors an announcement last month from Fedex Corp. that it, too, was raising its air rates by 6.9 percent less a 2 percent fuel surcharge cut.
    UPS raised its rates by 4.9 percent for this year.
    The delivery company is also being hit with falling demand as consumers cut back on spending for shipped items.
  2. over9five

    over9five Senior Member Staff Member

    Re: Off the news wire

    5.9% increase for ground seems kind of steep. Does anyone remember what it has been in the past? I'm thinking 2 - 3%?
  3. rod

    rod retired and happy

    I wonder if they still send out a notice to the customers that starts off with " Due to the high cost of labor" blah blah blah.:peaceful:
  4. UPSNewbie

    UPSNewbie New Member

    That announcement is also on UPSers.com under corporate PCMs.

    Side note: I bought a new video card for my computer last week. I had the option of FedEx Express Saver, Overnight, 2Day, UPS 3 Day Guaranteed, NDA, 2DA.

    FedEx Express Saver: $13.46
    FedEx 2Day: $20.21
    FedEx Overnight: $24.32
    UPS 3 Day Guaranteed (Ground): $8.25
    UPS 2DA: $12.71
    UPS NDA: $21.13

    I was very surprised that I could get UPS 2DA cheaper than FedEx Express. Does TN not have many FedEx facilities, or is UPS really The One?
  5. BigBrownSanta

    BigBrownSanta New Member

    Didn't UPS come out with their rate increases first last year and fedex pretty much matched the increase in their rates? This year UPS matches fedex's rate increase. Hmmmm....

    I believe last year's increase was 4.9%.
  6. brownmonster

    brownmonster Man of Great Wisdom

    5.9 percent, just like this years wage increase
  7. Jones

    Jones fILE A GRIEVE! Staff Member

    Nah. These days they just send them a bill.
  8. alister

    alister Member

    there could be a number of reason why our rate was so much cheaper this time. most likely the business is located near one of UPS's major air gateways. it could also be within normal ground 2 day transit. All in all, i do not think this is a typical price comparison. Most of the time i have seen it, UPS is cheaper on the 2nd air by about 2 bucks but higher on the next day air by about 4.
  9. drewed

    drewed Shankman

    Memphis is Fedex base of air ops
  10. tieguy

    tieguy Banned

    if the post is correct they are raising their rates 6.9 while we are raising 5.9
  11. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    I can recall when they would have us deliver the news regarding rate increases to our pickup customers.
  12. barnyard

    barnyard KTM rider Staff Member

    It also depends on their contract. The company my wife works for has great UPS rates. It is cheaper for me to send packages with my wife to work than it is to take to the post office. I shipped a package for $6 to a guy that shipped it to me via USPS for $8.

    UPS pricing varies greatly from customer to customer. It is dependent on volume, claims and other factors.

    The most expensive customers for us to service, also get the highest rates (internet shippers.)

  13. BigBrownSanta

    BigBrownSanta New Member

    Oops. My reading comprehension is getting worse.

    My bad.
  14. UPSNewbie

    UPSNewbie New Member

    Ah. I did not take into consideration contracts. That could be a big factor.
  15. freeloader

    freeloader geek

    They might need to modify that to "Due to the high turnover of cheap labor".....