Under a lot of laws, FEDEX could be considered at a minimum as a co-employer based on their complete control of how 'contractors' or ISPs operate. And in a lot of locations across the country, contractors were paying by the day, without any regard for overtime laws. If a driver was paid a daily rate of $160, and most days worked 8 hours, with occasional days of 9-10 hours, that driver has a claim that his normal rate was $20 an hour, and he was actually paid LESS per hour when he worked over 8 hours instead of MORE per hour. FEDEX as a co-employer would be just as liable, and easier to collect from. This is just the tip of the iceberg of issues that FEDEX could face as co-employer, and if the cost id high enough, more changes to the ISP contract could be coming. Sooner or later though, FEDEX will need to give up some control to avoid being named as a co-employer, or embrace employee status for drivers and get rid of the ISPs. Probably though, there will be years of hearings, years of rulings, years of appeals, and before it gets to court, there will be a settlement taking out of the courts jurisdiction and FEDEX will just make the ISP guarantee full compliance with any laws and actually enforce MORE control over the ISP. I think the totally misplaced hatred of unions has somewhat clouded the management. If FEDEX was so much cheaper to operate than UPS due to not having a union, UPS would be massively shrinking. But instead of just paying union wages, FEDEX instead pays off lawsuits, pays for a completely useless management middleman in the ISP, and the winners are the vehicle makers who sell to the ISP at higher prices than FEDEX would be paying. A lot of tax preparers would lose business too if the ISP was eliminated as the useless middlemen they are.