Dear FedEx

Discussion in 'FedEx Discussions' started by vantexan, Nov 14, 2014.

  1. vantexan

    vantexan Well-Known Member

    A modest proposal for your consideration. The current state of pay progression is causing many of your employees to struggle financially. This is what I propose:

    Currently employees receive two weeks of vacation after one year, three weeks after 5 years, 4 after 10 years, and 5 after 20.

    Why not have employees go to 1/4th of pay range after 1 year,
    1/2 of range after 5 years,
    3/4th's after 10 years,
    and reach top of range after 20 years?

    And topped out employees would receive 3% annual raises, which would keep them roughly at par with inflation, and would insure that those who put in 1, 5, 10, and 20 years would reach those plateaus with the range increased to reflect rising consumer costs.

    As is, couriers in the first quartile who are receiving 2% raises will not only not reach the 2nd quartile if starting pay keeps increasing by 3%, but will be overtaken by starting pay at some point. People who've worked very hard for you for many years now know there's no real reward, no payoff, for faithful service. Why not increase morale and give your workforce real, achievable goals instead of having managers tell them anything and everything to keep employees from leaving, further ratcheting up the anger as the deception becomes more apparent every day? Most couriers are fair minded, and will accept a fairly lengthy process to top out if the company gives them concrete goals and keeps it's word. What's going on now is a culmination of broken promises. We deserve better.
    Last edited: Nov 14, 2014
  2. yadig

    yadig Member

    We get what we deserve! This will continue and will only get worse!!!I'm Hoping with the Freight division going UNION the RTD's will wake up over at express. We have lost so many RTD's that its a real win for up topped out senior truck drivers. I've worked 65 hrs a week this whole year. Just had another 20 plus RTD put in 2 week notice this week. Its a good idea if your young enough to go work on another pension with a UNION truck line.. The Fedex one is a joke!! Just a matter of time..
  3. MassWineGuy

    MassWineGuy Well-Known Member

    A very well-thought out proposal, Van. I'm sure it won't be noticed, though. Yadig, I agree, but I've never had any pension plan so ours is good enough for the moment. I can't wage a strong argument against any company willing to give me free money.
  4. Cactus

    Cactus Just telling it like it is

    There is no "free money" at FedEx unless you're one of the Memphis upper echelons.

    I see your honeymoon phase with the job still isn't done yet and that's fine but let us know how you feel this time next month.
  5. hypo hanna

    hypo hanna Well-Known Member

    Dear Van,

    Stop acting as if drivers are important to our operation. Now get back to work.

    Warmest regards,

    Frederick Smith
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  6. hypo hanna

    hypo hanna Well-Known Member

    "Free money"

  7. Route 66

    Route 66 Bent Member

    ...nor do you now
  8. smapple

    smapple Member

    I thought you had to pay into your pension? Unless I'm misunderstanding and it really is free money?
  9. Operational needs

    Operational needs Non desistas. Non exieras.

    You're confusing pensions and a 401k

    Once upon a time Fred Smith created FedEx and decided that in order to get top-notch employees and compete with UPS, he would pay his employees a pension. They were vested after 5 years and promised it would be based on their earnings from their top few years. So for someone like me, it's over $1,700 a month (yes, free money, but earned and promised).

    Then one day around 2008, (if I'm wrong, someone please correct me) Freddie and whomever helped him make the decision, decided, gosh darn it we love and care about our employees so much that we want to end this antiquated way of benefitting our employees. Why don't we give them something called a Portable Pension? That way, if they so choose, when/if they leave this fine company, they can take their money with them. Surely they will love the money we give them every month. It's free money, what's not to like? My last statement said that I will be getting the huge sum of $110 a month in Portable Pension. What's not to like?

    The End.

    I'm sure someone on here can fill in the dots with the REAL reason the traditional pension was ended and portable pension started. I don't remember, all I heard when it was being explained to me was...wah, wah, wah, yes we are screwing you once again, wah, wah. Thank goodness I'm under the traditional pension but sorry newbies, y'all are screwed.

    P. S. Welcome to FedEx. Make sure to put the maximum in your 401k unless you want to be eating cat food when you retire.
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  10. hypo hanna

    hypo hanna Well-Known Member

  11. MrFedEx

    MrFedEx Engorged Member

    Fred got the idea and "justification" for killing the Traditional Plan from the passenger airlines. When they hit hard times and started ending pensions, some strategist at FedEx told Fred that since FedEx is an airline (not), he should kill our pension too. Never mind that FedEx was quite profitable in comparison to the passenger carriers at the time.

    This was a huge coup for Fred and his minions. Anyone who thinks the PPP/PPA is a true retirement plan needs to have their head examined. We have no pension plan at FedEx Express.

    And, Mass Wine Guy, there is nothing free at FedEx.
  12. TUT

    TUT Well-Known Member

    Click the Pension Protection Act of 2006.

    What it did was kill many non-union pensions, did the opposite of what they said it would. I just assume they knew this would happen.

    Perhaps the same for Affordable Health Care and the Cadillac Tax bs, bs that employers are selling to their employees that there very average plans would be subject to the tax, but in reality their plans aren't even close to the value of what would be taxed.

    So they got us with pensions and health care. No new laws, they are bending them on us and it's deeply costly.
    Last edited: Nov 14, 2014
  13. MrFedEx

    MrFedEx Engorged Member

    Yep. But Smith justified it because of the passenger airlines. Another gift to US corporations from a GOP administration.
  14. MrFedEx

    MrFedEx Engorged Member

    Let me add that FedEx killed the Traditional Plan well before the Pension Protection Act of 2006. Existing employees were allowed to stay in the Traditional Plan until 2008, but new hires(after the announcement of the impending end of the TP) were forced onto the PPP.
  15. MechLift

    MechLift Member

    They will match 401k contributions at 6% which is ok; not retirement money, but something.

    What seems odd is ending the employee stock ownership program. Now they will only cover transaction fees which is meaningless in the day of online discount brokers.
  16. hypo hanna

    hypo hanna Well-Known Member

    Still this is a 401k, not a pension. You are gambling your retirement on the whims of the stock market.
  17. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    I would much rather the money contributed to our pension fund on my behalf be deposited directly in to my 401K so that I can invest it as I see fit.
  18. hypo hanna

    hypo hanna Well-Known Member

    And that may work for you, but studies show over and over again that the average person doesn't have the expertise or the time to effectively manage the portfolio.
  19. Gumby

    Gumby *

    One of the few times,I agree with Upstate. The pension fund,that covers me. Hasn't done a good job,with my money.

    But you are correct. Most people do not know,how to invest. You have to make a plan and stick with it!

    If you make decisions,based on emotions or market noise. You will fail.
  20. Wally

    Wally Hailing from Parts Unknown.

    Isn't the pay progression there so we with more seniority can have more money and benefits? Live modestly, you will get there.