How much does your Ground Contractor pay you?

bbsam

Moderator
Staff member
Even if found unconscionable in one case doesn't mean much. You might be able to use that case to bolster your own case, but you would need to spend all the money just to get the case into court. That means paying for all your attorney's time, just to get the contract, or one term of it declared unconscionable. And that spending to get the decision in your favor gets you what?????? More time in court, which is tens of thousands of dollars, and with fedex appealing, delaying, switching venues from local to national to state courts, fighting the contract terms as an individual is not a real possibility if you intend to win anything. And with contractors being forced to have ever larger investment in their 'company' it isn't likely than many contractors will want to risk a class action in numbers large enough to attract a law firm willing to take the time and spend the money to pursue such a class action.
All contracts are the same. The money might be slightly different but the control that the company writes into the contract is the same for all.
 

dmac1

Well-Known Member
All contracts are the same. The money might be slightly different but the control that the company writes into the contract is the same for all.

Doesn't matter if contracts are the same if the cases are in different jurisdictions. If the case you have is in a county court, and another case even in the same state is in a different county, there is no precedent set. This exact thing happened in my case where I challenged the arbitration clause. It had already been found unconscionable in another district in the same state, but I had to go through the whole process in my district.

It actually was appealed to the state supreme court where fedex dropped it, leaving no statewide precedent. My case against fedex could have proceeded after fedex dropped their challenge against the ruling more than 2 years after I originally filed the case.My attorneys had cited the previous case against fedex's arbitration clause, along with more similar cases, and the arbitration clause was found unconscionable for several reasons.

I ended up leaving my solo case shortly after because the time frame indicidually was probably 5-6 more years, and I thought the class action would be quicker(ended up taking 6-7 years anyway), and thought the attorneys would take all the claims to court instead of settling, and my claims weren't all the same as the rest of the class. The attorneys gave up on a lot of the remaining claims and suggested that if it wasn't settled, it could take another 5-10 years for almost 20 years total, and end up in the supreme court, and of course they would not make any more money. In hindsight, I may have been better of by staying out of the class action. Hard to tell.
The other driver who got the arbitration clause declared unconscionable had gone to court in the interim period, won his case, was awarded something like $120 million, which fedex appealed over and over, with the total award reduced from the original down to a couple million, including attorney fees and I think they finally settled out of court 8 years later. According to the contract, you were required to settle any dispute through arbitration, and the damages you could win were limited, so in order to get into court in the first place, you needed to challenge the arbitration clause. My attorney's assumed fedex dropped the appeal of the arbitration case so there would NOT be a statewide precedent.
 
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bbsam

Moderator
Staff member
I guess my overall point was that any changes would almost have to be systemic.

Governments would have to decide that these contracts exist simply for the exploitation of labor.
 

dmac1

Well-Known Member
It would likely come as a class action case.

Not many contractors will want to risk their investment with a challenge and in a class action, claims have to be very similar. And it would take years, and fedex would make minor changes, so getting the current contract declared illegal would change little. And attorneys don't want to challenge fedex in another class action after the last go-around. It took too long for the return they got.
 

dmac1

Well-Known Member
I guess my overall point was that any changes would almost have to be systemic.

Governments would have to decide that these contracts exist simply for the exploitation of labor.

I think that this government pretty clearly is in favor of exploiting labor. Otherwise, the minimum wage would have been tied to inflation 50 years ago, when one person could almost support a family on minimum wage.
 

bbsam

Moderator
Staff member
I think that this government pretty clearly is in favor of exploiting labor. Otherwise, the minimum wage would have been tied to inflation 50 years ago, when one person could almost support a family on minimum wage.
Yep. Nothings going to change.
 

Signature Only

Blue in Brown
I’m good with money, I have a bank account with good interest rate and I’m single with no kids so I’m saving up pretty well

If I find a better job that will pay close to what I make at FXG then I’m out because they are very unorganized at my terminal
What happens when you have an accident? Broken hand, fractured wrist, torn ACL?
You can go through the best of bank accounts in weeks without good medical insurance.
 

dmac1

Well-Known Member
We had one week we got maxed at 70 hours. Lowest paid driver earned 1750. Highest made 2300.
$1750 for 70 hours comes out to $20 an hour when you consider the requirement to pay overtime. $20 an hour with zero benefits compares to about $15-16 an hour with benefits like paid holdays, vacations, sick pay, not even including full heath insurance with decent copays. Health insurance- $6000 per year, paid national holidays- 7 days at ~$1200, 2 weeks paid vacation at ~$1500, sick pay~$1000, all for about $10,000 per year, or $200 per week, or about $5 an hour.
 

STFXG

Well-Known Member
$1750 for 70 hours comes out to $20 an hour when you consider the requirement to pay overtime. $20 an hour with zero benefits compares to about $15-16 an hour with benefits like paid holdays, vacations, sick pay, not even including full heath insurance with decent copays. Health insurance- $6000 per year, paid national holidays- 7 days at ~$1200, 2 weeks paid vacation at ~$1500, sick pay~$1000, all for about $10,000 per year, or $200 per week, or about $5 an hour.

I offer all of that. Only difference is I offer a Health Reimbursement Account rather than traditional health benefits. For what health insurance would cost me employees can get their own plan or use the funds to pay for medical expenses from their spouses plan. It’s also pretax cash so it goes further.
 

bacha29

Well-Known Member
I offer all of that. Only difference is I offer a Health Reimbursement Account rather than traditional health benefits. For what health insurance would cost me employees can get their own plan or use the funds to pay for medical expenses from their spouses plan. It’s also pretax cash so it goes further.
HRA huh? Doesn't mean a damn thing if there's no money in it. it's nothing these days to tie up upwards of 100K in a hip joint replacement. Of course there's always piling onto the spouses employer funded plan and burden the spouses employer with the premiums for health insurance to cover the people who are out there doing Fat Freddy's bidding.
 

Fred's Myth

Nonhyphenated American
HRA huh? Doesn't mean a damn thing if there's no money in it. it's nothing these days to tie up upwards of 100K in a hip joint replacement. Of course there's always piling onto the spouses employer funded plan and burden the spouses employer with the premiums for health insurance to cover the people who are out there doing Fat Freddy's bidding.
Suddenly you’re against riding around in someone else’s pocket?

Careful, you’ll end up becoming a conservative.
 

bacha29

Well-Known Member
Suddenly you’re against riding around in someone else’s pocket?

Careful, you’ll end up becoming a conservative.
Did you have to rely on your wife's employer funded healthcare plan for coverage while out doing Fat Freddy's bidding? Is conservatism the new word for mooching or perhaps leeching?
 

Fred's Myth

Nonhyphenated American
Did you have to rely on your wife's employer funded healthcare plan for coverage while out doing Fat Freddy's bidding? Is conservatism the new word for mooching or perhaps leeching?
No, FedEx required us to both carry our own insurance.

And, for the record, Fred S becoming filthy rich isn’t an issue for me. Any more than you becoming a warped, broken record is.
 

bacha29

Well-Known Member
No, FedEx required us to both carry our own insurance.

And, for the record, Fred S becoming filthy rich isn’t an issue for me. Any more than you becoming a warped, broken record is.
Wait, you have to purchase your own third party health insurance and pay 100% of the premiums. As for a "warped, broken record"......you still listen to it everyday so it still must sound pretty good.
 
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