Driver Annual Renewal - Financial Info

Dvr Alan

Member
What is the justification for FedEx to require a Contractor Service Provider's (CSP) drivers to authorize a third party firm to obtain personal financial information on the driver and that future reports can be done without any further authorization? What does that have to do with the FMCSA 391.25 renewal?
 

rod

Retired 22 years
What is the justification for FedEx to require a Contractor Service Provider's (CSP) drivers to authorize a third party firm to obtain personal financial information on the driver and that future reports can be done without any further authorization? What does that have to do with the FMCSA 391.25 renewal?


For being independent operators they sure keep tabs on you.
 

It will be fine

Well-Known Member
What is the justification for FedEx to require a Contractor Service Provider's (CSP) drivers to authorize a third party firm to obtain personal financial information on the driver and that future reports can be done without any further authorization? What does that have to do with the FMCSA 391.25 renewal?
The justification would be theft prevention. The reality is they aren't actually performing a credit check yet, just obtaining permission.
 

Dvr Alan

Member
The justification would be theft prevention. The reality is they aren't actually performing a credit check yet, just obtaining permission.
I understand for a new-hire, but for a driver with many years of experience (renewal)? Also give Ex an inch (permission), then what exactly are they going to do with it? Especially without having to obtain future authorization....Ground drivers aren't FedEx employees.
 

bacha29

Well-Known Member
What is the justification for FedEx to require a Contractor Service Provider's (CSP) drivers to authorize a third party firm to obtain personal financial information on the driver and that future reports can be done without any further authorization? What does that have to do with the FMCSA 391.25 renewal?
Alan it would appear that what has been feared would occur is occurring. Now that most if not all class action lawsuits over the question of whether contractors were or were not actually employees have been settled out of court it has emboldened a very suspicious and paranoid company to go way beyond what is both just and lawful when it comes to protecting it's interests. How does a contractor who is already struggling to find people willing to work as hard as he demands of them for what he can pay square what is clearly an intrusion into the drivers private affairs with that driver? I think that you should ask your contractor who masquerades as your employer to show you the specific rule of law that allows such a blatant intrusion into your personal affairs and what bearing they would stand to have on your performance and what security risk they might pose..
 

bacha29

Well-Known Member
The justification would be theft prevention. The reality is they aren't actually performing a credit check yet, just obtaining permission.
Once again it comes down to the question of whether XG has the right under the law to demand that information from a person who is NOT an employee of the company. Same holds true with their demand that contractors turn over to them the contractors private employee payroll records for their examination and audit . Conclusive proof that when it comes to protecting it's interests they're going to do whatever they damn well please no matter what the law says. And you guys still call yourselves....."INDEPENDENT" contractors?
 

bbsam

Moderator
Staff member
Alan it would appear that what has been feared would occur is occurring. Now that most if not all class action lawsuits over the question of whether contractors were or were not actually employees have been settled out of court it has emboldened a very suspicious and paranoid company to go way beyond what is both just and lawful when it comes to protecting it's interests. How does a contractor who is already struggling to find people willing to work as hard as he demands of them for what he can pay square what is clearly an intrusion into the drivers private affairs with that driver? I think that you should ask your contractor who masquerades as your employer to show you the specific rule of law that allows such a blatant intrusion into your personal affairs and what bearing they would stand to have on your performance and what security risk they might pose..
...or it’s a standard form used to get permission to run an annual mvr.

They don’t run the rest. Why? Because it costs more. Do you really think Fedex is in a position to care about your credit rating? They can say all they want that staffing is the contractors’ problem but you know and I know that it’s their problem too.
 
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It will be fine

Well-Known Member
Once again it comes down to the question of whether XG has the right under the law to demand that information from a person who is NOT an employee of the company. Same holds true with their demand that contractors turn over to them the contractors private employee payroll records for their examination and audit . Conclusive proof that when it comes to protecting it's interests they're going to do whatever they damn well please no matter what the law says. And you guys still call yourselves....."INDEPENDENT" contractors?
I'm not too concerned. I have guys with credit so bad my corporate credit card company won't give them a card with their name on it even though I pay the bill. Fedex says they aren't running credit checks, I believe them because it would cost money to do so. I'm guessing authorization is just standard on the form for First Advantage so they left it in, maybe use it in a theft investigation. Who cares what they look at as long as the money keeps getting deposited every Friday.
 

59 Dano

I just want to make friends!
Once again it comes down to the question of whether XG has the right under the law to demand that information from a person who is NOT an employee of the company. Same holds true with their demand that contractors turn over to them the contractors private employee payroll records for their examination and audit . Conclusive proof that when it comes to protecting it's interests they're going to do whatever they damn well please no matter what the law says. And you guys still call yourselves....."INDEPENDENT" contractors?

The company my wife works for does this. Contractors have to document that they are paying their employees who are performing the contracted work. It is done to shield her company from any liability should there be any issues with the contractors paying the people working for them.
 

bacha29

Well-Known Member
I'm not too concerned. I have guys with credit so bad my corporate credit card company won't give them a card with their name on it even though I pay the bill. Fedex says they aren't running credit checks, I believe them because it would cost money to do so. I'm guessing authorization is just standard on the form for First Advantage so they left it in, maybe use it in a theft investigation. Who cares what they look at as long as the money keeps getting deposited every Friday.
One constant still remains. If you're a contractor or a driving contractor or a contractor's employee/driver you in the eyes of that company are guilty until you prove can yourself innocent. Furthermore it could result in still further contraction in the cheap labor pool you guys couldn't survive without. This is unquestionably a company obsessed with loss prevention to the point where you guys could be the real losers here if qualified people in any significant numbers are simply not willing to have their rights trampled upon or their privacy invaded for what you guys want to pay.
 

bbsam

Moderator
Staff member
The company my wife works for does this. Contractors have to document that they are paying their employees who are performing the contracted work. It is done to shield her company from any liability should there be any issues with the contractors paying the people working for them.
Actually Bacha has been gone a while. All we are required to do is have our accountants sign off on how employees are paid.
 

bacha29

Well-Known Member
Actually Bacha has been gone a while. All we are required to do is have our accountants sign off on how employees are paid.
You're missing the point. If you think that this action on the part of that company is not going to hurt you when it comes to employee recruitment and retention then perhaps you might want to keep this action in mind on the morning not if but when that loaded truck of yours sits there all day because you simply have no one to drive it including you because you have to go out and drive one of them yourself.
 

59 Dano

I just want to make friends!
You're missing the point. If you think that this action on the part of that company is not going to hurt you when it comes to employee recruitment and retention then perhaps you might want to keep this action in mind on the morning not if but when that loaded truck of yours sits there all day because you simply have no one to drive it including you because you have to go out and drive one of them yourself.

I'd say bbsam has a better grip on the recruiting and retention of drivers than the retired guy who never hired any.
 

bbsam

Moderator
Staff member
You're missing the point. If you think that this action on the part of that company is not going to hurt you when it comes to employee recruitment and retention then perhaps you might want to keep this action in mind on the morning not if but when that loaded truck of yours sits there all day because you simply have no one to drive it including you because you have to go out and drive one of them yourself.
You’re missing the point. Pittsburgh knows what they have and it’s limitations.

Imagine where they would be at peak if a 700 credit score was needed to apply.
 

bacha29

Well-Known Member
I'd say bbsam has a better grip on the recruiting and retention of drivers than the retired guy who never hired any.
I've hired my share of additional help But, unlike these other two guys I didn't get into this thing so deep and so constrained and so powerless to the point where I had no choice but to bow to the absolute will and demands of that company. I could get out under favorable terms. They hold you up to the public as well as to capitalize on the economy of the matter by calling you " independent" contractors but you are just that....an independent contractor in name only. Granted they may in the end make out OK if they continue to play along with this scam and are willing to place at risk whatever additional capital XG demands of them but there are no guarantees given that XG makes it clear that they will never undertake any specific measures designed solely for the purpose of protecting their interests and equity.
 

bbsam

Moderator
Staff member
I've hired my share of additional help But, unlike these other two guys I didn't get into this thing so deep and so constrained and so powerless to the point where I had no choice but to bow to the absolute will and demands of that company. I could get out under favorable terms. They hold you up to the public as well as to capitalize on the economy of the matter by calling you " independent" contractors but you are just that....an independent contractor in name only. Granted they may in the end make out OK if they continue to play along with this scam and are willing to place at risk whatever additional capital XG demands of them but there are no guarantees given that XG makes it clear that they will never undertake any specific measures designed solely for the purpose of protecting their interests and equity.
You would be right except for the fact that in the US, this is standard fare for independent contracting. This is what the law looks like. Messed up? Probably. But corporations are people and money is speech so you really can’t be surprised.
 

bacha29

Well-Known Member
You’re missing the point. Pittsburgh knows what they have and it’s limitations.

Imagine where they would be at peak if a 700 credit score was needed to apply.
Pittsburgh might know it's limitations but does Memphis know or much care? One thing they have made clear. That net operating margin WILL not if not maybe WILL return to the 20% level they enjoyed before. And whatever challenges or hardships they impose you in the pursuit of that margin will be of no concern to them.
 

bbsam

Moderator
Staff member
Pittsburgh might know it's limitations but does Memphis know or much care? One thing they have made clear. That net operating margin WILL not if not maybe WILL return to the 20% level they enjoyed before. And whatever challenges or hardships they impose you in the pursuit of that margin will be of no concern to them.
It’s at 20%. It’s just hidden in expansion spending.
 
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