The Big News

Ricochet1a

Well-Known Member
You and I usually agree, but you're wrong on this one. As long as Fred's Fear Factory operates with a free hand, very few are willing to step-up and lead a unionization drive. Those who went to the Teamsters in 1996 were abandoned when Fred slid his RLA language into the FAA Reauthorization Bill of that era. They promised legal support, yet never provided it, and also guaranteed that Teamster reps would be outside Express locations passing out flyers and providing information. That didn't happen either. The Teamsters abandoned FedEx employees, and not the other way around.

No, one this one, you are wrong. The Teamsters know that stations in the Northeast US would organize in a snap if the RLA was lifted - the IBT knows they have a willing base there if the RLA is lifted. The issue is the dilution of the pool with the statons in the mid-west, south and west. This is where the resistance to the Teamsters is and this is where Fred gets his guaranteed "no vote" if a nationwide certification election were to ever happen (snowball's chance under RLA).

Union organizing has always been a tough fight, especially against a well oiled machine like FedEx. I became an OLCC magnet leading up to my planned departure - officially due to minor issues, in reality due to my breaking cover and beginning to openly advocate signing union cards. There will have to be enough who are willing to lose their job in the process in order to get anywhere. I constantly fought the resistance of the Couriers who didn't want to stick their head up and make their opinion heard - they wanted all the benefits and perks of union membership, but they weren't willing to fight in order to get there. I still aid and assist whenever possible, but I still maintain "cover" in this forum since I want to protect my former co-workers from the retaliation which I experienced first hand. Most of them aren't in a position to jump ship at this time, so I keep in contact with those I know who have access to information and try to do some coordinating outside any official union capacity.

Who abandoned who in the '90s is subject to debate, but in the larger picture, that is all water under the bridge. The present is all that matters. Right now the IBT isn't going to expend any real resources to get Express to unionize as long as the RLA is in place. Look at the Teamster primary source of information to the employees of Express, FedEx Watch and the mechanics site. FedEx watch has been boarded up for a long time and the Teamsters pretty much gave up any real updating of info on the mechanics site in January - it has been over 4 months since ANY update has been made to that site.

If the RLA were lifted, the IBT would dive in - in particular the NE U.S. and possibly key locations on the west coast. In the meantime, Express employees will need to make the decision to "come to the Teamsters" on their own, continue to put up with what Fred has to offer or hold out hope for a "Choice C" which will never come. Right now, on a national basis a majority are willing to put up with Fred, followed by those wanting Choice C, then by those who want the Teamsters. Even among those who want the Teamsters, they are evenly split between those who are willing to sign union cards right now and those who want to sit on the sidelines waiting for something to happen.

From my experience and those I coordinated with in various stations, Express doesn't have a snowball's chance of organizing - mostly due to the RLA, but also due to the complete lack of willingness on behalf of Couriers to think beyond their immediate self interest and think in terms of a greater interest and being willing to take personal risks in order to achieve a common goal which may not meet 100% of their personal goal.

Most had a list of things they had to have "guaranteed" in some sort of non-existant document which they would achieve if they were to sign an IBT card. Trying to get Couriers to take the risk of signing union cards, then waiting until there was a majority in craft with signed cards, then having a certification vote, then trying to get Express to bargain with the union, then go through the process of the craft determining what the contract demands were going to be.... Almost without exception, they wanted no part of it. They saw all risk and no reward.

Union organizing is much like being an entreprenuer. The the rewards are potenially high, but the risks to get to that reward is often more than most are willing to endure. As pissed off as Express employees are, they are still more scared than pissed off. There has to come a point where the majority overcome their fear, decide they have far more to gain than lose in signing a union card and go for broke. I know that Express employees aren't there yet - and unfortunately will probably never be.

All that realistically can be done is try to get enough information out there so that some can make plans to depart Express on their terms rather than waiting for Fred to make them depart on his terms. The pension is gone, and absent a union, it will soon be a distant memory. Each day Express employees work under the PPP rather than a defined benefit plan, they lose more and more ground. Possibly in the near future, when enough Couriers look at their PPP statement in mid-summer (after the end of FY addition of funds) and realize that they don't have a pension, they have what amounts to a medical savings account to pay for their medical expenses between retirement and when Social Security and Medicare kick in, they'll get sufficiently pissed off. In the meantime, the majority will be longing for a never to happen Choice C, while the Teamsters conserve their resources while stating, "come to us, and we'll work together - don't come to us, and best of luck with Fred". I honestly can't blame the Teamsters for taking that approach.
 

MrFedEx

Engorged Member
We'll have to agree to disagree. I think the fact that you were targeted as soon as you came out of the closet as an organizer speaks volumes about what happens when employees step forward at FedEx. Until there is some legal help available, most people cannot afford to be courageous and must operate "under the radar" instead, hoping that the IBT steps forward.

It's interesting to see the opinions of UPSer's who are advocating bold actions, yet do not understand the vehement anti-union environment present at Express. The moment you started getting cards signed, your name went on a "hit list" and a manager was directly assigned to monitor you and begin the harassment process, hoping to hustle you out the door before you could inflict any real damage to the Borg Express machine. That's totally illegal, but what kind of defense could you have mounted on your own against the combined forces of FedEx? The answer is that you'd be terminated, probably on totally false grounds, and then forced to find legal counsel that would take your case on a contingency basis. FedEx, knowing that they can outlast most lawsuits, would then try and starve you out, either through procedural delays, or by bouncing your case from court to court until they find one they like. Most people don't have the stomach for this or the resources to do battle with FedEx Legal. Assuming you find another job, how happy are they going to be when you repeatedly have to take time-off to go fight FedEx, which will keep on stalling until the very last moment? If your case has merit, you will finally get your settlement, minus the 40% or so you have to pay your attorney(s).

I hope that information like yours starts flltering out through Express stations nationwide. I can only speak for my district, but managers are dropping like flies, and many employees are either quitting outright, downgrading to PT, or calling-in sick to gum-up the operation. At my station, we're doing it in waves, so management knows it isn't a random act. The next step is to just stop the belt and sit on the bumpers until conditions improve. They know we're pissed, but they just keep right on pushing and pretend that nothing is wrong.

We've got the cooperation of several RTD's, who are also going to call-in on our next "Purple Flu" day. That should prove interesting.
 

vantexan

Well-Known Member
While we're trying to figure who did what and when, the stock market tanked. There's almost zero chance of a real turnaround before next year's elections, and a huge possibility of another deep recession. We work for a company obsessed with increasing profits so if this reorganization is truly going to happen it most likely got put on a fast track this week. I'd like to say it's been a great ride, but it mostly sucked. And it most likely will get worse.
 

59 Dano

I just want to make friends!
So the profit is for the parent company, the stock is for the parent company, but the revenue generated by a division must stay in that division?

Noooooo. If they move money from one segment to another, they must show it. Ground built up its infrastructure and some are acting like Express "paid" for it. You can go look at the the company's reports and see that Ground earned a bunch of revenue and it paid for their capital investments. Geez guys, they publish this information every year on their website for easy access. Does anyone bother to read this stuff? No, they rely on guesswork and speculation. Why? I have no idea.
 

59 Dano

I just want to make friends!
The "major overhaul" is already been in the planning stages for over two years, so it isn't something hastily cooked up.


http://ir.fedex.com/releasedetail.cfm?releaseid=388559

This is from a web page done by FedEx itself when this whole issue first started. Here's the last paragraph from the linked page (referenced the purchase of B777 cargo aircraft). Italics and underlining my emphasis:

Impact of RLA status on B-777 purchases at FedEx Express
In our latest B-777 contract with Boeing, a provision was included that cancels 15 orders if FedEx Express or any of its employees is removed from the jurisdiction of the RLA. This clause does not affect the first 15 B-777s we have on order, only the last 15 aircraft currently on order. This provision was included in the contract as a prudent precaution against a possible major change in the circumstances of our business. It is a reasonable contingency to put in place because a change of that magnitude could affect the structure of our network or the fundamentals of our business model. At this time, we still plan to complete the purchases of all 30 B-777s.

Anyone reading the above paragraph with a bit of inductive reasoning can see that Express was making plans to alter its business model with the threat of unionization. It is also easy to see that Express saw the threat of unionization as REAL if it lost its RLA status - why else would Fred S engage in this sort of political extortion? Express KNEW that if it lost its RLA status, that unionization of a significant number of DGO locations would occur almost immediately.

The point was to get Boeing and whichever union represents its employees to lobby on behalf of FedEx re: RLA.
 

59 Dano

I just want to make friends!
I can only speak for my district, but managers are dropping like flies, and many employees are either quitting outright, downgrading to PT, or calling-in sick to gum-up the operation. At my station, we're doing it in waves, so management knows it isn't a random act. The next step is to just stop the belt and sit on the bumpers until conditions improve. They know we're pissed, but they just keep right on pushing and pretend that nothing is wrong.

We've got the cooperation of several RTD's, who are also going to call-in on our next "Purple Flu" day. That should prove interesting.

That makes it sooooo much easier when trying to figure out who needs to be wished well on his or her future endeavors.
 

vantexan

Well-Known Member
Noooooo. If they move money from one segment to another, they must show it. Ground built up its infrastructure and some are acting like Express "paid" for it. You can go look at the the company's reports and see that Ground earned a bunch of revenue and it paid for their capital investments. Geez guys, they publish this information every year on their website for easy access. Does anyone bother to read this stuff? No, they rely on guesswork and speculation. Why? I have no idea.
Yes, and while Ground built up it's infrastructure the money they saved not paying decent raises or funding the traditional pension helped pay the stock dividends and pad the profit. You aren't seeing it in the reports because they aren't going to list "money not paid that we used to pay out" but part of the profit is exactly that. Ultimately it's not Express profit or Ground profit but Federal Express Corporation profit and they choose how to allocate it.
 

Ricochet1a

Well-Known Member
Noooooo. If they move money from one segment to another, they must show it. Ground built up its infrastructure and some are acting like Express "paid" for it. You can go look at the the company's reports and see that Ground earned a bunch of revenue and it paid for their capital investments. Geez guys, they publish this information every year on their website for easy access. Does anyone bother to read this stuff? No, they rely on guesswork and speculation. Why? I have no idea.

FedEx Corporation can and does move cash around from each of its operating companies. How do you think each of the operating companies were started: Office/Kinkos, Ground, Freight, LTL - before being absorbed by Freight? Each was PURCHASED with cash gained through the business operations of EXPRESS - then funneled up to FedEx Corporation. All perfectly legal, but you seem to be advocating that each op-co has a separate "kitty" of cash and is isolated from the other op-co's. Couldn't be further from the truth. If FedEx Corporation didn't have the cow of Express to draw cash from, none of those other op-co's would've even been purchased, or sustained during their period of unprofitability (on an op-co level basis). All of the non-Express op-co's are more profitable than Express now, but even now, the capital investments that are being made in each still use more cash than the individual op-co generates in profits. When that huge write-off was taken in the Kinko's fiasco, did Kinko's take the loss? No, FedEx as a whole took the loss. That loss went against the OVERALL corporate profitability and affected stock price for FedEx. There is no stock for each of the op-co's, there is only one stock - FedEx, which covers the entire shooting match.

If it wasn't for the ability of FedEx to move capital around, establish separate operating companies and then use Express as the cow to keep each op-co going through their initial organization phase, there would be no FedEx Corporation, there would be the old Federal Express.
 

Ricochet1a

Well-Known Member
Tom Hagen: Your father wouldn’t want to hear this, Sonny. This is business not personal.
Sonny: They shoot my father and its business, my ass!
Tom Hagen: Even shooting your father was business, not personal, Sonny!
Godfather ‘72

In hard ball business or politics, each party carries an agenda which it wants to advance. When two parties can work together and advance their individual agendas at a savings compared to if they had to go it alone, a deal is struck (business conducted) and the parties work together.

In the late 90’s the Teamsters were attempting to get Express unionized – business for them. When the writing on the wall told them that unionization wasn’t going to happen (RLA maintained by Express), the Teamsters did the only thing they logically could do and walked away. There was no written contract between the Teamsters and the wage employees of Express (they were working towards that) and with the change in the “ground conditions”, a written contract was never a realistic achievable option.

The Teamsters did make all sorts of verbal assurances, but anyone with knowledge about how business is conducted knew those were statements of support, not contractual assurances. There is another poster in this forum who has given first-hand accounts of verbal promises being made and ignored when convenient for that party. Anything, anyone states outside a signed, written contract can be assumed to be puffery, and should be treated as such.

Even in Washington, the opposing sides conduct “business”. They loathe each other most assuredly, but when it comes down to it, they know they eventually have to put aside their personal differences and conduct business. Being able to conduct business with someone that you don’t trust or maybe even detest is a sign of a shrewd individual.

While the Teamsters didn’t “shoot” the wage employees of Express, they did walk out of the “meeting” when they knew they couldn’t get what they were after. In the end, like all unions, the Teamsters have their own business to conduct and know a bad deal when they see it. When Fred secured his RLA status for Express, the ground conditions changed and the Teamsters really had no choice but to walk away from a lost cause. If the conditions were different, the wage employees of Express would’ve been able to certify union representation and each side would’ve ended up conducting “business” with each other – IBT negotiating a contract for the wage employees of Express.

The employees of Express can’t take what happened in the late ‘90s personally. An attempt was made to conduct business; one side knew it couldn’t secure what it needed, so it pulled out before expending any further effort in a futile attempt. In hard ball business and politics, sometimes you realize you’re going to lose, so it is best to throw in your cards and wait until you are holding a better hand before pushing to win.

I like to think I operated like the character of Tom Hagen did in my time at Express – level headed, pragmatic and not taking things personally. There are those who do appear to take things personally and let this fact alter their judgment as to future possibilities. If the wage employees of Express are to somehow keep from getting gunned down by Fred, they are going to have to think in terms of business with the Teamsters and not take things personally. Many – MANY of the wage employees of Express have no love for the Teamsters on a PERSONAL level. This needs to be put aside and business conducted. Both the employees of Express and the Teamsters have something to gain from working together. You can conduct business with someone, even if you don’t really like them. In the end, as long as your goals are advanced, that is what counts. People shouldn’t get too picky when playing hardball.

Just because you work with someone today to achieve a goal, doesn’t mean there is a never ending alliance. The employees of Express have far more to gain by a deal with the Teamsters right now, than by waiting for Fred to take pot shots at them. Who says that in the future, that when conditions change (assuming a unionized Express workforce organized by the IBT in the future), that the employees of Express can’t look for another union to make a deal with and conduct business? Many unions have this happen, they are organized by one union, then later on sign on with a different union – or even form their own company specific union.

Don’t take things personally; think in terms of business, how you can best achieve your goals and then how you can renegotiate a future deal to further your goals. The Express employees aren’t committing to a lifetime “marriage” with the Teamsters by signing an IBT card; they are merely choosing to “go to the dance with them”. Getting on the dance floor is what counts right now. In the future, the wage employees may meet someone else to take to the dance (a better union deal). Sometimes you have to dance with a wallflower in order to meet someone your really interested in.
 

59 Dano

I just want to make friends!
FedEx Corporation can and does move cash around from each of its operating companies. How do you think each of the operating companies were started: Office/Kinkos, Ground, Freight, LTL - before being absorbed by Freight? Each was PURCHASED with cash gained through the business operations of EXPRESS - then funneled up to FedEx Corporation. All perfectly legal, but you seem to be advocating that each op-co has a separate "kitty" of cash and is isolated from the other op-co's. Couldn't be further from the truth.

There must be something in the water. I feel like Oliver Douglas.

I said that money can be moved and used for whatever purposes AS LONG AS THEY SHOW IT moving out of one opco and into another. And when they move it, they show it.

If anyone had any idea how much was being spent on Ground and Express' infrastructure over the past few years (and from the sound of things, no one does), the "Express is funding Ground's expansion" argument wouldn't even be taking place. Last year, capital/infrastructure spending favored Express by 6 to 1 with $2.4 billion, a 30%+ increase from the previous year. Express has seen record levels of capital/infrastructure investment in 3 of the last 4 fiscal years.

I don't know who started the idea that investments in Ground come from profits and/or cuts made at Express, but the numbers don't show it. They don't even suggest it.
 

55+

Well-Known Member
ahhhh..now I understand why they've been sucking up to all the senior couriers..they think if it were to come to a vote we would be influenced not to sign a union card..I kept thinking for the last few months..why are they recognizing all these senior couriers with banners and awards and food etc..duh...well I hope they offer an early out..I just turned 55 and boy howdy am I ready to go..So far just hanging on until the transition pts expire.
 

UnconTROLLed

perfection
While we're trying to figure who did what and when, the stock market tanked. There's almost zero chance of a real turnaround before next year's elections, and a huge possibility of another deep recession. We work for a company obsessed with increasing profits so if this reorganization is truly going to happen it most likely got put on a fast track this week. I'd like to say it's been a great ride, but it mostly sucked. And it most likely will get worse.
Yeah without a doubt, I cannot see things getting better.

And to MrFedEx, you said
"It's interesting to see the opinions of UPSer's who are advocating bold actions, yet do not understand the vehement anti-union environment present at Express. The moment you started getting cards signed, your name went on a "hit list" and a manager was directly assigned to monitor you and begin the harassment process, hoping to hustle you out the door before you could inflict any real damage to the Borg Express machine. That's totally illegal, but what kind of defense could you have mounted on your own against the combined forces of FedEx? The answer is that you'd be terminated, probably on totally false grounds, and then forced to find legal counsel that would take your case on a contingency basis. FedEx, knowing that they can outlast most lawsuits, would then try and starve you out, either through procedural delays, or by bouncing your case from court to court until they find one they like. Most people don't have the stomach for this or the resources to do battle with FedEx Legal. Assuming you find another job, how happy are they going to be when you repeatedly have to take time-off to go fight FedEx, which will keep on stalling until the very last moment? If your case has merit, you will finally get your settlement, minus the 40% or so you have to pay your attorney(s)."

I don't know if you have worked for UPS before but the treatment is the same. The good news is UPS cannot just fire you unless you fire yourself with a cardinal rule breaker...but I'd say UPS disciplines 2-3x as much as FedEx due to the mgmt/union battle
 

MrFedEx

Engorged Member
There must be something in the water. I feel like Oliver Douglas.

I said that money can be moved and used for whatever purposes AS LONG AS THEY SHOW IT moving out of one opco and into another. And when they move it, they show it.

If anyone had any idea how much was being spent on Ground and Express' infrastructure over the past few years (and from the sound of things, no one does), the "Express is funding Ground's expansion" argument wouldn't even be taking place. Last year, capital/infrastructure spending favored Express by 6 to 1 with $2.4 billion, a 30%+ increase from the previous year. Express has seen record levels of capital/infrastructure investment in 3 of the last 4 fiscal years.

I don't know who started the idea that investments in Ground come from profits and/or cuts made at Express, but the numbers don't show it. They don't even suggest it.

Oliver Douglas got to be with Eva Gabor..not too bad. Most of the time, however, I feel like Oliver Douglas when I deal with you. Maybe Mr.Haney can explain it all to you.
 

MrFedEx

Engorged Member
That makes it sooooo much easier when trying to figure out who needs to be wished well on his or her future endeavors.

When half the station calls in sick and the RTD's "forget" where the station is or also call-in sick, the only ones left to deliver the Purple Promise will be the managers and the suck-ups. Your route will be really busy that day.
 

vantexan

Well-Known Member
It's getting pretty bad. I fully expect the changeover to happen very soon. Better start looking for that new car again.
We're less than 5 months from Peak. Doubt it'll happen before then. After Peak they could finish the fiscal year strong changing over and get some good PR. Big if is, is everything in or nearly in place?
 

Kevinmevin

Active Member
I'm pretty new to the company (1 year 2months), package handler for ground, but in my hub we have a specific area to put express packages, I have no idea where they come from. I can only guess they come from our trailers. I've never asked why we get express packages in our hub maybe I should ask about it now. Note that they do not have ground labels on them. They are set aside on one of the load sides of our faculty.

Also note something I posted earlier last year tons of freight trailers randomly appeared in our yard. So there is def something happening no doubt.

http://www.youtube.com/watch?v=7CUaFzy7nYU
 

jmeti000

Well-Known Member
I work at an Express ramp and we get ground packages come through sometimes. Some come in from the front desk, some from the bulk trucks, others from courier vans when they come screamin in to make the plane. We also have the occasional trailer and ground van parked in the lot at the ramp. Think it just hasta due with who picks up where...I do know that even though our front shipping office is an Express office, we ship any Fedex service the customer wants. Hence the ground packages coming through...just figured it was the same at other places as well and the packages get routed where they need to go from there.

Id love to post a nice lil video too...but since its on airport property TSA would prolly act like I just wizzed in their wheaties, plus I dont feel like gettin a cavity search anytime soon.
 

Myort

Well-Known Member
Re: Express packages and ground packages at each others' locations

Many large shippers have trailers brought to their warehouses and they load the trailers themselves and FedEx will go pick the trailer up. Packages get loaded onto the wrong trailer all of the time. Express Ramp locations get these trailers directly and will set the packages aside for ground to come and pick up. Also, service counters at stations receive all FedEx services. An Express station takes all of the ground packages and puts them in a cage and a ground driver comes by daily to make a regular pickup. An Express courier will make a daily pickup at FedEx ground locations to pick up packages that were loaded onto the wrong trailer at a customer location, or packages that were picked up by the ground couriers.

As for Freight trailers being stored at a Ground location, probably just looking for a place to store them.
 
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