Operational needs
Virescit Vulnere Virtus
Because he’s against anything and everything concerning Fedex regardless of how good it might be.
Express handing resi deliveries to Ground
- Thread starter FedGT
- Start date
I don’t know about a halfway measure because I’m not sure where it ends.
snowcat66
Active Member
This was probably in the making since RPS was acquired. Once they felt like the ground network was well distributed across the country they knew they could start the transition. E commerce is going to be even bigger than we can imagine. populations grow and so does demand. I believe Express will be fine because theirs probably going to be plenty to go round. Of course I feel for those newbies who want to make alot of OT but that is on the wane and will continue. Just glad I'm in my final years and made all the money I could and saved well. I'm ok working less now. getting home earlier is nice..
McFeely
Huge Member
I'm most surprised that the company is moving pretty much all P2 residential stops to Ground at one point in time, and not more of a gradual shift.
With 2020 being a big year for G/HD to take on 7 days and SmartPost, one would think that they would have allowed time for that transition first. Adding in Express Saver would be the next logical step (and that also has enough buffer time in the system to get to a Ground terminal).
Adding SO, 2D, and ES all in one fell swoop could be a huge undertaking for the contractors, the ramps, the drivers, and the shuttles. Lots of parts to this puzzle and I see many hiccups along the way.
All that being said, I'm gonna miss seeing the hot-stay-at-home-moms on my route.
With 2020 being a big year for G/HD to take on 7 days and SmartPost, one would think that they would have allowed time for that transition first. Adding in Express Saver would be the next logical step (and that also has enough buffer time in the system to get to a Ground terminal).
Adding SO, 2D, and ES all in one fell swoop could be a huge undertaking for the contractors, the ramps, the drivers, and the shuttles. Lots of parts to this puzzle and I see many hiccups along the way.
All that being said, I'm gonna miss seeing the hot-stay-at-home-moms on my route.
The beauty of the contractor model. FedEx doesn’t have to give any type of notice to them. If contractors are overwhelmed they simply say “figure it out and get it done, or we will find someone who can”.
I very much agree that a gradual would be much better but I guarantee they are seeing these amazon contractors with 40+ trucks, over 100 employees, running 365 where there contractor is making a max of $300k (probably a lot less than that). Now they are saying we need our contractors doing that even though size of packages and many other issues have to be factored in, but won’t be. Short term I think they will turn owning Ground routes into a better business than it has been for the last couple years, if you can handle the staffing but I think long term they will keep dropping the price per pkg and stop like this damn “E-commerce pricing” to try to get closer to amazons cheaper model.
But is there a Plan B and what will in consist of?
It not a question of ending the complaining but rather a resignation to that what they have feared for a long time is in fact happening . Share cropping Ground contractors are coming in and undercutting the Express drivers, replacing 29 and benefit express employed drivers with 13 and zero benefit contractor drivers.And given the hollowing out of contractor paid rates and settlements thanks to e-commerce rates drivers working for contractors will be lucky to hold on to the pittance they're currently being paid.
An industry analyst I listened to a few weeks ago pointed out that the cost to the carrier of the so called "last mile" is actually higher than the cost of all the other transit miles combined. And it's like you said contractors are going to be required to up size rapidly as well as finding somebody who would actually be willing to try and meet the required production, precision behavior and work attendance requirements for the kind of money we're talking about here.
I've never heard if Amazon delivery contractors have goodwill. Now Ground contractors do have it but only thanks to the threat of an Internal Revenue Lawsuit do they have it. So they might be able to salvage something out of their investment by finding some poor unsuspecting slug who can be convinced to put up every cent of money he has in order to have a go at it.
It will be fine
Well-Known Member
Like you did? Lol
SmithBarney
Well-Known Member
A more logical move would be to sell service based on speed, and automatic choosing at origin customer has no visibility of who is carrying it.
Scenario 1
Customer in Florida wants a Package in Atlanta in 2 days. 2day Ground Service Automatically chosen.
Scenario 2
Customer in Florida wants package to California in 2 days. 2 Express automatically.
Unfortunately I can see the possibility of customers filing class action lawsuits, some customers have strong feelings against Ground, and specifically want Express carrying their packages. And if it turns out that they(lawyers) see this as a cash grab, it has potential to get ugly.
CHARLATAN
I didn't solicit an offer to sell.it just so happened on a day when I was literally using a cane to run my route the buyer expressed his expected need for additional routes.
BTW way I've got a question for you. As a modern day share cropper working on shares with your drivers you know the guys you once said you wanted to see go by the time they reach age 40 will this upcoming initiative change the way you pay them or will the status quo remain ?
It will be fine
Well-Known Member
Do you think calling me a sharecropper is clever? You have continually demonstrated you don’t understand how to run a business. Your negativity is off the charts. If my people weren’t getting a fair market appropriate wage they wouldn’t work for me. It’s unclear what you don’t understand about that.
I expect rates to go down and the plan is to increase the workloads of the drivers to continue to generate enough revenue to cover their salaries. This isn’t terribly complex.
McFeely
Huge Member
The new plan allows for Express to fly this package, but Ground is still gonna deliver it. That's why it's called "Last Mile" Optimization.
There will be attrition.One problem I see is the ground “contractors” given more work for the samepay and they start dropping like flies.
It's not cleverness it's fact and a fact you find embarrassing. If the tenant farmer didn't turn enough yield off the plantation owners acres away he went. Today as a modern day sharecropper if the guy on your truck doesn't turn enough stops per hour or per day then away he goes. And once he reaches the point where he's so physically beaten up by the job that he can't keep up the the quotas he's simply disposed of and with no healthcare or pension he ends up becoming dependent on charities and state sponsored public assistance programs.
If this is your idea of "running a business" I'm glad I'm not part of it.
And Express guys take a good look. This is the guy who is in fact going take your job from you.
Why do you hate America so much?
