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Union / Fedex / UPS - An Analogy
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<blockquote data-quote="MrFedEx" data-source="post: 533011" data-attributes="member: 12508"><p>UPS wins big if FedEx Express goes union and even bigger if Ground does too. Fred S has enjoyed an illicit competitive advantage for a very long time. The level playing field argument has a lot of merit because FedEx has saved hundreds of millions in labor costs, meaning they can almost always undercut UPS on rates.</p><p> </p><p>As long as Ground drivers are "subcontractors" and independent, they won't be able to organize. That's why UPS needs to really pay attention when the case for employee vs non-employee eventually goes to the Supreme Court, and that's where it seems to be headed.</p><p> </p><p>Returning to the race car analogy, the FedEx car would have a head start, the team owner would get a huge payout compared to the driver, and the driver would have to provide his own race car, insurance, and fuel (in the case of Ground). Fred could also afford to subsidize ticket sales and fill the stands with customers because he could charge less for admission.</p></blockquote><p></p>
[QUOTE="MrFedEx, post: 533011, member: 12508"] UPS wins big if FedEx Express goes union and even bigger if Ground does too. Fred S has enjoyed an illicit competitive advantage for a very long time. The level playing field argument has a lot of merit because FedEx has saved hundreds of millions in labor costs, meaning they can almost always undercut UPS on rates. As long as Ground drivers are "subcontractors" and independent, they won't be able to organize. That's why UPS needs to really pay attention when the case for employee vs non-employee eventually goes to the Supreme Court, and that's where it seems to be headed. Returning to the race car analogy, the FedEx car would have a head start, the team owner would get a huge payout compared to the driver, and the driver would have to provide his own race car, insurance, and fuel (in the case of Ground). Fred could also afford to subsidize ticket sales and fill the stands with customers because he could charge less for admission. [/QUOTE]
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