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<blockquote data-quote="Southwestern" data-source="post: 939052" data-attributes="member: 33209"><p>Is UPS Small Package Division driving its profits? Or is the profit growth coming elsewhere in the company? Given that we've been told that UPS is willing to take a LOSS on shipping accounts if it helps build a larger, more profitable relationship (re: logistics), I'd be inclined to say the answer's "elsewhere." FedEx Ground already has a large cost advantage over UPS. Its volume has rapidly grown in recent years whereas UPS's remains (largely) static. Pushing further significant wage increases on FT will only expedite this trend -- and perhaps lead to a decline in volume. Heck, shippers have long-complained about the large, annual hikes in shipping fees. We're lucky FedEx Ground matches the percentage -- just think of what they could do if they didn't... We already earn industry-leading wages. We need to think about our future, and the future of our company, in determining what's fair. Let's not turn into another (US-based) auto company or airline.</p><p></p><p>(And yes, there's several posters who've rationalized future wage hikes by implying we could sacrifice the PTers. The same mentality occurs at the union meetings.)</p></blockquote><p></p>
[QUOTE="Southwestern, post: 939052, member: 33209"] Is UPS Small Package Division driving its profits? Or is the profit growth coming elsewhere in the company? Given that we've been told that UPS is willing to take a LOSS on shipping accounts if it helps build a larger, more profitable relationship (re: logistics), I'd be inclined to say the answer's "elsewhere." FedEx Ground already has a large cost advantage over UPS. Its volume has rapidly grown in recent years whereas UPS's remains (largely) static. Pushing further significant wage increases on FT will only expedite this trend -- and perhaps lead to a decline in volume. Heck, shippers have long-complained about the large, annual hikes in shipping fees. We're lucky FedEx Ground matches the percentage -- just think of what they could do if they didn't... We already earn industry-leading wages. We need to think about our future, and the future of our company, in determining what's fair. Let's not turn into another (US-based) auto company or airline. (And yes, there's several posters who've rationalized future wage hikes by implying we could sacrifice the PTers. The same mentality occurs at the union meetings.) [/QUOTE]
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