About to start job at Fedex ISP looking for insight.

dmac1

Well-Known Member
You were HD, driving trucks under 10k, hours are not governed by the DOT in that case. Did you deal with the state regarding any drivers that were covered by DOT HOS? That is where the motor carrier exemption comes from which allows straight time no OT since a federal agency is already controlling how many hours an employee can work. Serious question not trying to be a dick.

Federal laws set a minimum. State laws superceded federal laws. And yes, it is for vehicles that fall under 10,000 gvwr.

Yes, you can pay a driver a daily rate, but it must meet minimum wage laws.
 

bacha29

Well-Known Member
My guy has 6 new trucks, ordering a 7th for a new supplemental we plan on adding, and buying me a cargo van or sprinter for emergencies and mobile tool/maintenance storage. There are good contractors out there!
Ok. What's in it for you? Is "my guy" you or the man you work for? Likewise, how does your compensation package,wages, benefits etc. compare to the industry norm?
 

Code 82 Approved

Titanium Plus+ Level Member with benefits!
Ok. What's in it for you? Is "my guy" you or the man you work for? Likewise, how does your compensation package,wages, benefits etc. compare to the industry norm?
I am close to the very top of FDX-G driver/manager wage in our 2 city terminals. I walk around the current terminal and often think of a decade of what I endured to get where I am. I don't need healthcare, because of my spouse's job. I don't own routes, I have arranged/first opportunity by contract to buy the ones I'm managing if choose to do so. With ISP, who knows. Will my purchase price be a reasonable ROI? Who knows. At my age "50" do I wish to invest in this or retire?
"My Guy" is my contractor. I've had 2 others since joining FDX-G in 2006. And the deal I landed was enough to cause a 2 belt fight over ethics.
Stealing a driver is one thing, promoting someone to oversee your operation is another.

You ask a particularly odd question with regards to "how does your compensation package,wages, benefits etc. compare to the industry norm" because I covered a vacation route the last 3 days and a former FDX-G single route straight truck contractor was at the Walmart I was delivering at. I guess his low rent version of merchandising a less than desirable brand of snack chips and crackers wasn't as lucrative as even being a FDX-G mgr/driver at my level.

Before this position fell into my lap, I looked a uniform and floor mat delivery, bread trucks, Frito-Lay, Pepsi... what I am doing now is quite ok.
 

bbsam

Moderator
Staff member
Ok. What's in it for you? Is "my guy" you or the man you work for? Likewise, how does your compensation package,wages, benefits etc. compare to the industry norm?
code 82 raises an interesting point. What is the industry norm? Express uses "smoke and mirrors" to dress theirs up. Maybe UPS is simply far above "industry norm".
 

bacha29

Well-Known Member
Your own link supports exactly what I said. Delivery drivers are NOT exempt employees and must be compensated at least minimum wage.
I read something to that effect as well. I believe that you can pay a per diem to -10k but it has to equal minimum wage and I believe upon closer look you'll find that they can't work more than 40 hours using a per diem payment form. And yes I believe there is something there about state law being applicable if it means higher pay for the individual.
 

bacha29

Well-Known Member
I am close to the very top of FDX-G driver/manager wage in our 2 city terminals. I walk around the current terminal and often think of a decade of what I endured to get where I am. I don't need healthcare, because of my spouse's job. I don't own routes, I have arranged/first opportunity by contract to buy the ones I'm managing if choose to do so. With ISP, who knows. Will my purchase price be a reasonable ROI? Who knows. At my age "50" do I wish to invest in this or retire?
"My Guy" is my contractor. I've had 2 others since joining FDX-G in 2006. And the deal I landed was enough to cause a 2 belt fight over ethics.
Stealing a driver is one thing, promoting someone to oversee your operation is another.

You ask a particularly odd question with regards to "how does your compensation package,wages, benefits etc. compare to the industry norm" because I covered a vacation route the last 3 days and a former FDX-G single route straight truck contractor was at the Walmart I was delivering at. I guess his low rent version of merchandising a less than desirable brand of snack chips and crackers wasn't as lucrative as even being a FDX-G mgr/driver at my level.

Before this position fell into my lap, I looked a uniform and floor mat delivery, bread trucks, Frito-Lay, Pepsi... what I am doing now is quite ok.
Given the facts you disclosed you have a better deal than you once had. While you're not over the hill at the same time at your age I would think twice about buying the guy out if you don't have to especially if he's paying you additional compensation to be a manager and you don't have to do a route on a daily basis given all the stolen motor freight coming ground's way. ISP in it's final nationwide model is probably 5-6 years away and at the age you'll be at that time forget about buying out the contractor. Let him deal with the headaches including finding guys to that bull work for next to nothing. Might be going to hell in a hand basket but at least you'll be enjoying the ride.
 
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Where I worked, as long as you paid the driver what he would make on minimum wage, including overtime, you didn't need to pay OT if he worked for a set daily amount. For example- If min wage is $9 an hour, and you pay $140 daily, your employee could work a little over 13 hours and still be within the law.

8 hrs x $9 = $72
5 hrs at $13.50(1.5 x $9) =$67.50
__________________________

Total = $139.50

So if you work 8 hrs, you are making $17 an hour minus tax, and minus any benefits any normal employer offers. If you only work 6 hours for that $140 you are doing pretty well.

But if you work 10 hrs or more, you are making less than $14, calculating for the OT you earned.
But no matter how much you end up with as an hourly wage, make sure your ISP is withholding and paying all the proper taxes and is not treating you as a subcontractor.

This post is all one needs to avoid working for a ground contractor. They can legally lower your wage on a daily basis. Where else does an employer actually pay you less for doing more work?

It looks like my route will be 10 hours including the 1 hour trip to the route and 1 hour trip back to base so I'll be making less than $14 it sounds like. I'll be sure to look into not being treated as a subcontractor, I wouldn't have even known about that before you mentioned it.

Legally lowering your wage on a daily basis sounds like a crime.
 

STFXG

Well-Known Member
If he is letting you take the truck home then that's a perk. I wouldn't complain about the drive in and home. You could always drive your personal vehicle instead.

You won't be paid as a subcontractor. It's been against our standards for years now. They have to treat you as an employee and w2 you.
 

Code 82 Approved

Titanium Plus+ Level Member with benefits!
Hell my first 2 yrs were cash and I ran under the contractors' IDs'
I also started with 6 weeks pd vacation, and worked every single one for another contractor for double pay. Those were the days.
 

bacha29

Well-Known Member
Hell my first 2 yrs were cash and I ran under the contractors' IDs'
I also started with 6 weeks pd vacation, and worked every single one for another contractor for double pay. Those were the days.
That's 2 years with no Social Security/ FICA earnings credited to your account. Likewise probably no workman's comp paid in if you were injured on the job and no unemployment compensation payed in in your behalf. No health insurance, no pension. Oh indeed, indeed you were making a killing. You most definitely were making a killing. If only the rest of us could be so lucky. In fact you were lucky that a bunch of UPS guys didn't quit their jobs and come over and try to get yours.
 

Code 82 Approved

Titanium Plus+ Level Member with benefits!
That's 2 years with no Social Security/ FICA earnings credited to your account. Likewise probably no workman's comp paid in if you were injured on the job and no unemployment compensation payed in in your behalf. No health insurance, no pension. Oh indeed, indeed you were making a killing. You most definitely were making a killing. If only the rest of us could be so lucky. In fact you were lucky that a bunch of UPS guys didn't quit their jobs and come over and try to get yours.
Well luckily FDX-G put an end to that, as it only took 5 yrs more to break my leg in half. And I have everything but a pension now. I had to start somewhere. I rode the damn city bus to work back then too! 1/4 mile knee deep in snow from the bus stop. Uphill both ways, carrying all my uniforms in a tote in case I was fired for a misdelivery.

Last week I wrote about cruising around in my car to remember an area I did back in my first 2 yrs. Guess what I did Wednesday? That route, as that contractor had a call-in. Cost him a pretty penny too, I picked up about 3k pcs under our PSA.
 
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