Reply to thread

Message

<blockquote data-quote="pretzel_man" data-source="post: 520155" data-attributes="member: 927">And this is where the illogic of the original poster&#039;s argument lies.No one ever said it was an either / or issue.&nbsp; Of course UPS has to work on improving service, reducing cost, providing superior products and therefore growing the business.&nbsp; Its NOT one or the other.But, UPS should ALSO lobby lawmakers so they understand our side of the story. If you follow that logic, UPS should have not lobbied for intrastate shipping rights 30 years ago.&nbsp; We should have not lobbied for landing rights in China. Should the Teamsters not lobby for the Employee Free Choice Act?The question was raised why this was important.&nbsp; Here is a quote from Business Week:&quot;For FedEx, the contractor model may be one reason why it has taken market share from archrival United Parcel Service Inc. (UPS ), whose drivers are largely full-time employees, says Satish Jindel, president of SJ Consulting Group Inc., a transportation consultancy. He estimates that the use of lower-cost contract drivers enables FedEx Ground to deliver packages for an average cost of $5.82 apiece, vs. the $7.17 average Jindel believes it costs UPS to deliver both air and ground packages over its integrated network. FedEx won&#039;t discuss Jindel&#039;s estimates but says its contract drivers ``are more productive because they get paid by results, not by the hour.&#039;&#039;Here are the IRS rules on employee vs. contractor:<ol>
<li data-xf-list-type="ol">Behavioral: Does the company control or have the right to control what the worker does and how the worker does his or her job?</li>
<li data-xf-list-type="ol">Financial: Are the business aspects of the worker’s job controlled by the payer? (these include things like how worker is paid, whether expenses are reimbursed, who provides tools/supplies, etc.)</li>
<li data-xf-list-type="ol">Type of Relationship: Are there written contracts or employee type benefits (i.e. pension plan, insurance, vacation pay, etc.)? Will the relationship continue and is the work performed a key aspect of the business?</li>
</ol>I think UPS has a right and responsibility to challenge the model.&nbsp; Whether UPS ultimately wins is less optimistic today.P-Man</blockquote>

[QUOTE="pretzel_man, post: 520155, member: 927"] And this is where the illogic of the original poster's argument lies. No one ever said it was an either / or issue. Of course UPS has to work on improving service, reducing cost, providing superior products and therefore growing the business. Its NOT one or the other. But, UPS should ALSO lobby lawmakers so they understand our side of the story. If you follow that logic, UPS should have not lobbied for intrastate shipping rights 30 years ago. We should have not lobbied for landing rights in China. Should the Teamsters not lobby for the Employee Free Choice Act? The question was raised why this was important. Here is a quote from Business Week: "For FedEx, the contractor model may be one reason why it has taken market share from archrival United Parcel Service Inc. (UPS ), whose drivers are largely full-time employees, says Satish Jindel, president of SJ Consulting Group Inc., a transportation consultancy. He estimates that the use of lower-cost contract drivers enables FedEx Ground to deliver packages for an average cost of $5.82 apiece, vs. the $7.17 average Jindel believes it costs UPS to deliver both air and ground packages over its integrated network. FedEx won't discuss Jindel's estimates but says its contract drivers ``are more productive because they get paid by results, not by the hour.'' Here are the IRS rules on employee vs. contractor: [LIST=1] [*]Behavioral: Does the company control or have the right to control what the worker does and how the worker does his or her job? [*]Financial: Are the business aspects of the worker’s job controlled by the payer? (these include things like how worker is paid, whether expenses are reimbursed, who provides tools/supplies, etc.) [*]Type of Relationship: Are there written contracts or employee type benefits (i.e. pension plan, insurance, vacation pay, etc.)? Will the relationship continue and is the work performed a key aspect of the business? [/LIST] I think UPS has a right and responsibility to challenge the model. Whether UPS ultimately wins is less optimistic today. P-Man [/QUOTE]

Verification