Investing in a FedEx route basics

bacha29

Well-Known Member
It"s one of the underlying reasons for getting rid of the single routes. Singles didn't have much money tied up and thereby making it much easier just to walk away. Now that there has been consolidation into fewer contractors the next step is to drain off contractor equity to maximize company profits. When they saw speedy and efficient route drivers getting back in 8 hour days that was too short, too much unused capacity. When they saw what some multi route operations were being sold for then in X's minds eye you were making too much money. With no binding contract language and an arbitration process whereby X is daring you to go that route, you should not be surprised that this is what is happening to you and it's my understanding that it's going nationwide . No one will be spared and is it my vindication? You might say that but I don't look at it this way I refuse to bask in that pleasure given the challenges you guys will face. Hopefully you will come to realize that nothing that company does or says can be deemed trustworthy or believable.
 

bbsam

Moderator
Staff member
It"s one of the underlying reasons for getting rid of the single routes. Singles didn't have much money tied up and thereby making it much easier just to walk away. Now that there has been consolidation into fewer contractors the next step is to drain off contractor equity to maximize company profits. When they saw speedy and efficient route drivers getting back in 8 hour days that was too short, too much unused capacity. When they saw what some multi route operations were being sold for then in X's minds eye you were making too much money. With no binding contract language and an arbitration process whereby X is daring you to go that route, you should not be surprised that this is what is happening to you and it's my understanding that it's going nationwide . No one will be spared and is it my vindication? You might say that but I don't look at it this way I refuse to bask in that pleasure given the challenges you guys will face. Hopefully you will come to realize that nothing that company does or says can be deemed trustworthy or believable.
Lol. Vindication? No. I wouldn't say that.
 

12yearsaslave

Well-Known Member
The only reason I see for them to cut flex revenue is the smartpost package volume that is supposed to come eventually and maybe the 6th day, its more revenue per vehicle. I've been in this for a while, never seen fedex :censored2: up valuations on this scale.
 

dmac1

Well-Known Member
It"s one of the underlying reasons for getting rid of the single routes. Singles didn't have much money tied up and thereby making it much easier just to walk away. Now that there has been consolidation into fewer contractors the next step is to drain off contractor equity to maximize company profits. When they saw speedy and efficient route drivers getting back in 8 hour days that was too short, too much unused capacity. When they saw what some multi route operations were being sold for then in X's minds eye you were making too much money. With no binding contract language and an arbitration process whereby X is daring you to go that route, you should not be surprised that this is what is happening to you and it's my understanding that it's going nationwide . No one will be spared and is it my vindication? You might say that but I don't look at it this way I refuse to bask in that pleasure given the challenges you guys will face. Hopefully you will come to realize that nothing that company does or says can be deemed trustworthy or believable.

The arbitration clause has been found on multiple court cases to be unconscionable and thus unenforceable. One just recently. All that means is that you would need to go to court to fight, and the only issue subject would be unjust termination.
 

dmac1

Well-Known Member
When you signed the agreement, you agreed that fedex could make any changes they wanted, and if you don't like it, you can terminate the contract with no liability. That's one of the reasons I always have said that the
business' you own is worthless to anyone with common business sense. All you are buying when you buy into fedex is a job.
 

Bounty

Well-Known Member
When you signed the agreement, you agreed that fedex could make any changes they wanted, and if you don't like it, you can terminate the contract with no liability. That's one of the reasons I always have said that the
business' you own is worthless to anyone with common business sense. All you are buying when you buy into fedex is a job.
Perfectly summed up.
 

bacha29

Well-Known Member
12 years talks about more revenue per vehicle on a 6 day work week. When this happens overtime pay will become a major issue and require the creation of costly redundancy in order to ensure a permanent 6 day capability. One constant does exist with X. They give you one thing then take it away someplace else.
 

12yearsaslave

Well-Known Member
12 years talks about more revenue per vehicle on a 6 day work week. When this happens overtime pay will become a major issue and require the creation of costly redundancy in order to ensure a permanent 6 day capability. One constant does exist with X. They give you one thing then take it away someplace else.
We are already running a lot of guys on a 4 day rotation, this becomes easier at 6 day op. I just hope that helps with peak, don't have to recruit for 4 weeks anymore. OT is an issue on a 5 day op already (55-60 hrs if you maximize vehicle capacity).
 

dmac1

Well-Known Member
I made money but I wasn't a contractor according to the courts, and I sure as hell didn't feel as if I ran my own business.
 

Bounty

Well-Known Member
Now be honest. Courts over the years have ruled both ways.
Honestly, when I got in, it was presented as a route I could run myself, make a living for a while then sell it. However, X changed rules every year. They changed rules because they knew the original model was probably not legal and kept adjusting every single year mid contract. Now, I think they have contractors right where they want them and will milk them dry. Most are in debt to their eyeballs trying to get to scale and don't think for a minute that X uses that fact to their advantage. Route values are decreasing in my area, if you can even find a fool(I mean buyer).
 

Code 82 Approved

Titanium Plus+ Level Member with benefits!
So if they want us to go to 6 days, so does the line haul, pre load and sorters, should be interesting
That's a good point!
And office support staff, coffee, extra trash removal
There goes the budget!
Now a package handler will be doing 6 trucks instead of 4, but they will send him home at 5am
 
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