Contract raises vs. state minimum wage

104Feeder

Phoenix Feeder
Food for thought:

When I started the wage at UPS was $8/hr, more than twice the minimum wage of $3.35

This wage, along with the benefits that began in 30 days attracted mostly college students leading to a better quality hire. Many stayed on after completing school.

Today's wage seems to attract more hires out of DES.

In today's dollars, with inflation at 2.51% that would be $16.03 today.

The Teamsters have strongly suggested at every Contract negotiation that the Company's issues regarding retention and quality-of-hire would be eased if the starting wage were raised. The Company has been adamant about keeping this wage repressed.

The problem is compounded because while people want to talk about raising the starting wage, no one is willing to forego their own wage raise to pay for it or walk out for someone who may never be hired. This falls into the right of the Company to run the business into the ground if they wish.

If you calculate the inflation rate on the top pay when you started vs. the buying power today, you will find that we are a few dollars higher. So while starting pay has eroded drastically, Top Rate has not, roughly 10-11% better after accounting for inflation.

The Company has spent millions on Integrad to attempt to increase the success rate of drivers, which has been a complete failure. This is further highlighted by the millions spent on ORION etc to "dumb down" the Package Driver job. When I started you were lucky to receive 2-3 days of OJT and then 30 days later you had a half-day ride with the Manager and you either made it or you were back in the Hub. This job isn't rocket science but there is a definite skill to being a successful Package Driver, and I will put an educated, skilled driver against ORION any day (just peruse this forum for ORION "success" stories).

UPS used to value their Service Providers, now you are seen as a liability. I would love to have 50 of the "Least Best" drivers in any building and pit them against another Company in any industry. I know they would run circles around them.

Progression was only 2 years when I started, now it is 5. The payoff is much higher, as not many jobs guarantee you will make six figures if you put in as little as 50-60 hours a week in 5 years. I doubt progression will be rolled back but I feel that it's maxed out at this point.

Do you remember a UPS without the "Red shirts" in the hub? The ratio of supervisors to hub employees is a definite problem. These are the supervisors I most often see working- setting up an area, picking off, or flat out loading without even attempting to make it look like "training". UPS reduces it's costs by exploiting these working supervisors- paying them less in benefits and now eliminating their pension (participation rates in 401k's are dismal among young people, so matching funds will reduce their costs even more).

With the push to increase the Minimum Wage nationwide it has started to outpace UPS's contractual minimums negating the Company's push to repress starting wages.

Regardless of how you feel about mandated Minimum Wages, you should support it if only that it highlights the Company's misguided plan to erode our starting wage and attract a less desirable workforce. It won't be long before the minimum wage is more than double than the contract wage in several States, making the PT progression meaningless and also eroding the FT progression. I seriously doubt we will see double-digit wage increases anytime soon but at some point the Company will have to address their failure to keep starting wages competitive while at the same time not creating the perception that workers at Top Rate are a lot closer to minimum wage than is comfortable.
 

Turdferguson

Just a turd
The primary reason UPS raises rates everywhere is to generate the revenue to pay the Teamster negotiated contract with it's employees.
Non-Union employees have gotten none or small raises for 10 years now.
Sounds like sour grapes. Maybe if you didn't get your ass handed to you by Ron Carey you all could have gotten some raises too.
LOSERS!!!
 

Coldworld

60 months and counting
Food for thought:

When I started the wage at UPS was $8/hr, more than twice the minimum wage of $3.35

This wage, along with the benefits that began in 30 days attracted mostly college students leading to a better quality hire. Many stayed on after completing school.

Today's wage seems to attract more hires out of DES.

In today's dollars, with inflation at 2.51% that would be $16.03 today.

The Teamsters have strongly suggested at every Contract negotiation that the Company's issues regarding retention and quality-of-hire would be eased if the starting wage were raised. The Company has been adamant about keeping this wage repressed.

The problem is compounded because while people want to talk about raising the starting wage, no one is willing to forego their own wage raise to pay for it or walk out for someone who may never be hired. This falls into the right of the Company to run the business into the ground if they wish.

If you calculate the inflation rate on the top pay when you started vs. the buying power today, you will find that we are a few dollars higher. So while starting pay has eroded drastically, Top Rate has not, roughly 10-11% better after accounting for inflation.

The Company has spent millions on Integrad to attempt to increase the success rate of drivers, which has been a complete failure. This is further highlighted by the millions spent on ORION etc to "dumb down" the Package Driver job. When I started you were lucky to receive 2-3 days of OJT and then 30 days later you had a half-day ride with the Manager and you either made it or you were back in the Hub. This job isn't rocket science but there is a definite skill to being a successful Package Driver, and I will put an educated, skilled driver against ORION any day (just peruse this forum for ORION "success" stories).

UPS used to value their Service Providers, now you are seen as a liability. I would love to have 50 of the "Least Best" drivers in any building and pit them against another Company in any industry. I know they would run circles around them.

Progression was only 2 years when I started, now it is 5. The payoff is much higher, as not many jobs guarantee you will make six figures if you put in as little as 50-60 hours a week in 5 years. I doubt progression will be rolled back but I feel that it's maxed out at this point.

Do you remember a UPS without the "Red shirts" in the hub? The ratio of supervisors to hub employees is a definite problem. These are the supervisors I most often see working- setting up an area, picking off, or flat out loading without even attempting to make it look like "training". UPS reduces it's costs by exploiting these working supervisors- paying them less in benefits and now eliminating their pension (participation rates in 401k's are dismal among young people, so matching funds will reduce their costs even more).

With the push to increase the Minimum Wage nationwide it has started to outpace UPS's contractual minimums negating the Company's push to repress starting wages.

Regardless of how you feel about mandated Minimum Wages, you should support it if only that it highlights the Company's misguided plan to erode our starting wage and attract a less desirable workforce. It won't be long before the minimum wage is more than double than the contract wage in several States, making the PT progression meaningless and also eroding the FT progression. I seriously doubt we will see double-digit wage increases anytime soon but at some point the Company will have to address their failure to keep starting wages competitive while at the same time not creating the perception that workers at Top Rate are a lot closer to minimum wage than is comfortable.
True.... you walk through these hubs now and all you see are the "red shirts"... I saw a pcm the other day and one pt sup had only 3 employees in their workgroup....ridiculous!!! You guys just wait, there are already pt on roads in places... they will have pt center managers in the future....pt.. loss prevention, pt oms..... the list goes on and on...
 

104Feeder

Phoenix Feeder
UPS has raised rates every year that I've been here, by a minimum of 3% and usually more like 6% (don't forget the fuel surcharge that stuck around even when fuel costs plummeted). They've done it even in lean years where we had $.50 raises that didn't even cover inflation. It's the nature of collective bargaining that we get a huge slice of every dollar this Company makes, but they sure have wasted a lot of money on pipe dreams and false economy.
 

Coldworld

60 months and counting
UPS has raised rates every year that I've been here, by a minimum of 3% and usually more like 6% (don't forget the fuel surcharge that stuck around even when fuel costs plummeted). They've done it even in lean years where we had $.50 raises that didn't even cover inflation. It's the nature of collective bargaining that we get a huge slice of every dollar this Company makes, but they sure have wasted a lot of money on pipe dreams and false economy.
FedEx and dhl also raise their prices... ups will pay up for their pompous dictatorship micromanagement attitudes toward the hourly workgroup....
 

Coldworld

60 months and counting
He knows it's the truth. Ron Carey puked @Monkey Butt and all of the management scum
I agree...most mgt had and some still think they are entitled to all the goodies from ups...it was just a matter of time that the house would start crumbling down....except for the top 1% in this company...some of these idiots never saw it coming...
 

Catatonic

Nine Lives
Take it easy..... who riled you up??? @Monkey Butt...load up the waterbong, this kid needs some relaxing...
He's just a turd with a parasite attitude.
Working in the air-conditioned Counter dealing with uninformed customers that give him a false sense of knowing it all.
Hell, he's older than me but won't let go of his cushy job because he is afraid to be alone with his wife.
 

Coldworld

60 months and counting
He's just a turd with a parasite attitude.
Working in the air-conditioned Counter dealing with uninformed customers that give him a false sense of knowing it all.
Hell, he's older than me but won't let go of his cushy job because he is afraid to be alone with his wife.
You blame him.... look at what's going on with your wife...
 

Catatonic

Nine Lives
I agree...most mgt had and some still think they are entitled to all the goodies from ups...it was just a matter of time that the house would start crumbling down....except for the top 1% in this company...some of these idiots never saw it coming...
Luckily, I was never one of them.
By 20 years in, I realized UPS was changing and so I changed too.
For every enhancement UPS enacted, I implemented my own measures.

Now, you've got Drivers in the same situation ... some are dumb as rocks and think their benefits will go on in ad finitum.
UPS Teamsters are the last of a dying breed.
 

Coldworld

60 months and counting
He's just a turd with a parasite attitude.
Working in the air-conditioned Counter dealing with uninformed customers that give him a false sense of knowing it all.
Hell, he's older than me but won't let go of his cushy job because he is afraid to be alone with his wife.
Turd is older than you??? Hell, I thought turd was in his mid 20's...lmao, learn something new every day!!
 

Turdferguson

Just a turd
He's just a turd with a parasite attitude.
Working in the air-conditioned Counter dealing with uninformed customers that give him a false sense of knowing it all.
Hell, he's older than me but won't let go of his cushy job because he is afraid to be alone with his wife.

A/C has been out for over week.
 

Coldworld

60 months and counting
Luckily, I was never one of them.
By 20 years in, I realized UPS was changing and so I changed too.
For every enhancement UPS enacted, I implemented my own measures.

Now, you've got Drivers in the same situation ... some are dumb as rocks and think their benefits will go on in ad finitum.
UPS Teamsters are the last of a dying breed.
You mean they never caught on when you were literally coming to work for 8 hours and spinning in a chair....maybe shoot off a couple emails... funny
 
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