Is UPS just a poor negotiator?

[MC4YOU2]

You ask a fair question, and deserve an thoughtful answer. The truth is that when UPS negotiates a contract, they know that increased wages (and benefits) will need to be offset with additional revenue and reduced costs. They plan the contract on an overall domestic U.S. level- meaning that they know that they can raise rates each year, which will cover some of the additional costs of the contract, but that the wage increases will also have to be offset with additional production. The contract is negotiated by the company with a plan to improve driver wages/benefits but also improve company profitability.

If delivery volume is rising faster than delivery stops, two good things happen for the company. First, the package density increases, meaning you have 2 packages at some stops now, rather than just 1. Since we get paid by the package, this improves our revenue, without adding much cost. This is an increase in "production" without you doing any additional stops per day. Second, the additional volume means that we may add some additional drivers that are in wage progression. Additional new drivers delivering at a lower wage rate, brings down the average driver wage, thus balancing the cost assumptions made by the company during negotiations.
The problem occurs when you have economic problems like we have for the last few years. If delivery volume is flat, or just rising at the same rate as delivery stops, then rising costs don't balance with the flat revenue. There are less multiple package stops, and more single package stops. Without that necessary package desity that comes from more packages per stop, the company still needs to get the same packages delivered per day, hopefully in the same time. This means additional stops per car.

I realize that this explanation may not satisfy you when you're the one with the additional stops per car everyday. UPS drivers work very hard every day and deserve the wages that they earn. But the company will risk reduced profitability if it just "gracefully accepts the wages and work performances in place at the time of the agreement". It needs to adjust to changing conditions so that it stays a profitable and strong company capable of paying increasing wages into the future.

I see the point you are driving at here and I wont dispute it's theory, however the issue is not just a profit based one, and this was only a part of my overall point. There is an ethical issue as well. I said it before, I'll ask this of you as well. If routes need to be cut due to low volume, as long as the contract is followed so far as limiting overtime, then so be it. But why treat the remaining employees as if there isn't enough of a saving already in laying off their co workers? Why try and squeeze the work of 100% of the workers out of only 75% left in attendance? Why cheat and rig the 3 day rides with a systematic plan that undermines the loyalty and drive of the employees?

I really believe that somewhere "up there on the upper floors in Atlanta" that the feeling is that they can basically print their own money by creating an atmosphere that many hourly employees find simply too intimidating to stand up to and so just buckle to the pressure and work unsafely. This in turn creates a situation in which the thirst for more free money is never satisfied and so on and on it goes. These same folks when given the chance to protect themselves from these tactics better in 2013 are being given the impetus to do so more each day, and it's my belief that UPS is shooting itself in the foot with this totally unnecessary campaign of terror.

 

[Griff]

Isn't this happening where you are already? Last year was a year that sent some management home on an early out retirement offer and was the first step in a corporate reorganization. As for the hourly employees, you may not be aware that there is at this time a major effort to reduce these costs and promote efficiency through daily route cutting which thereby reduces the need for drivers, pre loaders and sorters etc. I do not disagree with any of this in general.

The issue is not just a profit based one, but rather an ethical one as well. If routes are to be cut due to low volume, and the contract is followed so far as limiting overtime, then so be it. But why treat the remaining employees as if there isn't enough of a saving in laying off their co workers? Why try and squeeze the work of 100% of the workers out of only 75% left in attendance? Why cheat and rig the 3 day rides with a systematic plan that undermines the loyalty and drive of the employees?

UPS is managing their company outside of the contract because we, as a collective, are allowing it to happen. There is no pushing back from the union as a cohesive unit. Sure you have major city locals: Chicago, New York, LA, Philadelphia, etc that more than likely do 98% of the pushing back. The problem with the Teamsters union is their fundamental strategy flaw of being reactive instead of proactive. It is a poorly managed union by all common knowledge and definition. We need new (better) leadership at the top of the International and you would see a transformation in the way UPS operates their business. The union in its current form is essentially a good old boys club (exactly like corporate/upper mgmt at UPS) and they do not care that you are being harassed and intimidated daily as long as they get their slice of the big brown pie. Hoffa and company are just in cruise control, not wanting to rock the boat -- i'd bring a tsunami.

Does anyone here honestly believe UPS would treat its employees like they are treating them in 2011 back in 1957 under Hoffa Sr's control? Yeah, right...

"Power tends to corrupt, and absolute power corrupts absolutely." -- Lord Acton

 

[Billy Boxtosser]

UPS is managing their company outside of the contract because we, as a collective, are allowing it to happen. There is no pushing back from the union as a cohesive unit. Sure you have major city locals: Chicago, New York, LA, Philadelphia, etc that more than likely do 98% of the pushing back. The problem with the Teamsters union is their fundamental strategy flaw of being reactive instead of proactive. It is a poorly managed union by all common knowledge and definition. We need new (better) leadership at the top of the International and you would see a transformation in the way UPS operates their business. The union in its current form is essentially a good old boys club (exactly like corporate/upper mgmt at UPS) and they do not care that you are being harassed and intimidated daily as long as they get their slice of the big brown pie. Hoffa and company are just in cruise control, not wanting to rock the boat -- i'd bring a tsunami.

Does anyone here honestly believe UPS would treat its employees like they are treating them in 2011 back in 1957 under Hoffa Sr's control? Yeah, right...

"Power tends to corrupt, and absolute power corrupts absolutely." -- Lord Acton

I agree with you!! There is absolutely no pushing back in Maine!!!

 

[Backlasher]

I make $16.10 as a cover driver yet still have to meet same "production". I'm doing 17.7 average sporh yet still not fast enough. I make half pay of perm full timer yet still have to hear it. If pay goes down or dilluted during next contract then union BETTER make sure production gets lightened up or stronger language and some penelties for production harrasment.

Production for a route is based on the fastest guy who ran that route. The route I'm on had a FULL TIMER run and gunning putting in fake lunch and breaks D.R. in non D.R. route. After they bumped up the route he bailed and bid on a different route. Lol, can't sleep in the bed he made. Even if I fake breaks I still can't meet scratch on this one. I prefer driven safe then making scratch. Funny how when I take a full lunch they add 20+ extra stops next day. Like a punishment.