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<blockquote data-quote="2years2go" data-source="post: 691119" data-attributes="member: 10008"><p>I think a lot of people are pointing fingers at each other on this thread. Our real 'issue" is that we are at a competitive disadvantage to our main competitor. We can squeeze all we want out of performance improvements in our labor workforce, we can cut all we want in management numbers and benefits, but in domestic US small package, we are a dying company. We can no longer compete with FDX.</p><p></p><p>25 years ago, UPS made 95% of it's money in domestic small package. Now we make somewhere around 50%. UPS is a world wide company and our US presence will continue to shrink. UPS will continue to grow, but not in the USA. </p><p></p><p>So everyone who is pointing fingers at fellow US workers may as well not waste their time. A growing company doesn't reduce regions, districts and management. With the labor cost structure that we currently have, 10 years from now, small package in the USA will be mostly all non union FDX. US domestic UPS will be much the same as DHL, a few non union couriers picking up and delivering international. We will have killed the golden goose. </p><p></p><p>You can see it starting already, with FDX building facilities like crazy all over the US and taking all of our big business to business shippers. Driver Route levels are the lowest we have seen in 30 years and continue to drop. The stock price has been stagnant for 10 years. For those of you who think that they can keep their high paid jobs and expect to continue to get 3-4% raises moving forward, think again. The next Union contract will be a bloodbath. There will be a strike and UPS will allow the US domestic small package side of their business to dye. No more drain on the share owner's profitability. Eventually the company will return to US with a domestic business model similar to FDX with owner operators. The strike and collapse of UPS domestic will signal the end of the teamsters relationship with UPS and will result in the loss of thousands of driver and management jobs. </p><p></p><p>I wish this scenario was wrong, but the teamsters / management structure that we all are a part of, I believe, make this the most logical sequence of events. To right this ship will require calm heads at both the management committee and the teamsters to sit down and together formulate a plan to address the cost to serve disadvantage that we currently have......I don't see this happening..... Good Bye Golden Goose.</p></blockquote><p></p>
[QUOTE="2years2go, post: 691119, member: 10008"] I think a lot of people are pointing fingers at each other on this thread. Our real 'issue" is that we are at a competitive disadvantage to our main competitor. We can squeeze all we want out of performance improvements in our labor workforce, we can cut all we want in management numbers and benefits, but in domestic US small package, we are a dying company. We can no longer compete with FDX. 25 years ago, UPS made 95% of it's money in domestic small package. Now we make somewhere around 50%. UPS is a world wide company and our US presence will continue to shrink. UPS will continue to grow, but not in the USA. So everyone who is pointing fingers at fellow US workers may as well not waste their time. A growing company doesn't reduce regions, districts and management. With the labor cost structure that we currently have, 10 years from now, small package in the USA will be mostly all non union FDX. US domestic UPS will be much the same as DHL, a few non union couriers picking up and delivering international. We will have killed the golden goose. You can see it starting already, with FDX building facilities like crazy all over the US and taking all of our big business to business shippers. Driver Route levels are the lowest we have seen in 30 years and continue to drop. The stock price has been stagnant for 10 years. For those of you who think that they can keep their high paid jobs and expect to continue to get 3-4% raises moving forward, think again. The next Union contract will be a bloodbath. There will be a strike and UPS will allow the US domestic small package side of their business to dye. No more drain on the share owner's profitability. Eventually the company will return to US with a domestic business model similar to FDX with owner operators. The strike and collapse of UPS domestic will signal the end of the teamsters relationship with UPS and will result in the loss of thousands of driver and management jobs. I wish this scenario was wrong, but the teamsters / management structure that we all are a part of, I believe, make this the most logical sequence of events. To right this ship will require calm heads at both the management committee and the teamsters to sit down and together formulate a plan to address the cost to serve disadvantage that we currently have......I don't see this happening..... Good Bye Golden Goose. [/QUOTE]
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