Home
Forums
New posts
Search forums
What's new
New posts
Latest activity
Members
Current visitors
Log in
Register
What's new
Search
Search
Search titles only
By:
New posts
Search forums
Menu
Log in
Register
Install the app
Install
Home
Forums
Brown Cafe UPS Forum
UPS Discussions
Two tier wage system, who does it affect?
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Reply to thread
Message
<blockquote data-quote="brett636" data-source="post: 2356677" data-attributes="member: 249"><p>You aren't wrong, but I don't believe we will see our wages drop to anywhere near $10/hr. anytime soon. Having 3 separate companies doing the work of one does affect Fedex in the sense that their average profit margin is half of what UPS has. UPS has long realized they pay a premium for us so they have saved money in other places like trying to get drivers to be more efficient, maintaining low debt, and owning most or all of their equipment/buildings instead of leasing. Although the low turnover rate amongst drivers does save some money for as well reducing training costs. Being over 100 years old with a broad brand recognition and a fully developed network helps too. Fred S is deathly afraid of unions so keeping all his services separate along with the sub contractor model goes a long way to maintaining the union free environment Fred S desires.</p><p></p><p>As far as the two tiered wage scale I see it happening through one of two ways. The most likely path to a two tiered wage scale is the company outright demanding it during a contract negotiation and getting it. This could happen during any contract year, or god forbid, the company begins to suffer financially and we will be the first to take the blame. The second path is just a continuation of our ever extending progression period. Since business does seem to be humming right along the company will have a difficult job justifying a two tiered wage scale so they just keep negotiating longer and longer progression periods till a new driver spends nearly half, or more, of their career to reach top scale. </p><p></p><p>However it comes it could mean issues for those of us already at top rate as a target could be placed on our backs to help increase the number of drivers at the lower pay rate. I guess we will see how the company feels on this issue come 2018.</p></blockquote><p></p>
[QUOTE="brett636, post: 2356677, member: 249"] You aren't wrong, but I don't believe we will see our wages drop to anywhere near $10/hr. anytime soon. Having 3 separate companies doing the work of one does affect Fedex in the sense that their average profit margin is half of what UPS has. UPS has long realized they pay a premium for us so they have saved money in other places like trying to get drivers to be more efficient, maintaining low debt, and owning most or all of their equipment/buildings instead of leasing. Although the low turnover rate amongst drivers does save some money for as well reducing training costs. Being over 100 years old with a broad brand recognition and a fully developed network helps too. Fred S is deathly afraid of unions so keeping all his services separate along with the sub contractor model goes a long way to maintaining the union free environment Fred S desires. As far as the two tiered wage scale I see it happening through one of two ways. The most likely path to a two tiered wage scale is the company outright demanding it during a contract negotiation and getting it. This could happen during any contract year, or god forbid, the company begins to suffer financially and we will be the first to take the blame. The second path is just a continuation of our ever extending progression period. Since business does seem to be humming right along the company will have a difficult job justifying a two tiered wage scale so they just keep negotiating longer and longer progression periods till a new driver spends nearly half, or more, of their career to reach top scale. However it comes it could mean issues for those of us already at top rate as a target could be placed on our backs to help increase the number of drivers at the lower pay rate. I guess we will see how the company feels on this issue come 2018. [/QUOTE]
Insert quotes…
Verification
Post reply
Home
Forums
Brown Cafe UPS Forum
UPS Discussions
Two tier wage system, who does it affect?
Top