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sandwich

The resident gearhead
They can only cut so much before they lose money more than they can. I heard they are moving some ground/HD volume through their express network to make time in transit look better. You can only do that for so long. Ask DHL
this is true. FedEx is heading down the same path as dhl. they were taking away business at huge rate by undercutting our rates. but for FedEx it seems less cost effective paying for the ground driver, HD driver and express driver to all run the same route.
 

Faceplanted

Well-Known Member
this is true. FedEx is heading down the same path as dhl. they were taking away business at huge rate by undercutting our rates. but for FedEx it seems less cost effective paying for the ground driver, HD driver and express driver to all run the same route.
Fed ex ground and home delivery are already in the process of merging. Talked to a FedEx ground guy last week and he was explaining it all to me. They will be able to undercut us in prices all day. Express not so much, but ground doesn't have to pay for pension, insurance, or even pay their drivers as much as we get. Same with their whole feeder network. That's HUGE
 

Faceplanted

Well-Known Member
As far as the contract, ups is projected to make 5 billion plus in profits in 2016. I don't think they'll get away with concessions. But anything is possible. It all depends on how the union and us employees together approach those negotiations.
They have been making record profits for years. When I started at ups, I was getting dollar raises every year, we now get 70c, which Compared to our current wage is half of what we were getting in the late 90s percentage wise. We've been accepting concessions for the past 2/3 contracts and are so blind we can't even see it.

Driver making 23 dollars an hour getting 1 dollar yearly raise

Driver making 34 dollars and hour getting a 70 cent raise

Huge huge difference. But instead of being the industry leader, ups says look at other companies and be happy your getting 70 cents. Total flip flop from being the ones setting the bar in the shipping industry. Brought the percentage issue up to one of my on roads recently who drove for years and has been a on road for years, he chuckled and said your one of the few that realize what's happening.
 

Browndriver5

Well-Known Member
We also haven't faced competition as much as we will see these next couple of years. I read where Fed Ex has steadily been chipping away at our ground volume for the last 16 years
 

Orion inc.

I like turtles
Fed ex ground and home delivery are already in the process of merging. Talked to a FedEx ground guy last week and he was explaining it all to me. They will be able to undercut us in prices all day. Express not so much, but ground doesn't have to pay for pension, insurance, or even pay their drivers as much as we get. Same with their whole feeder network. That's HUGE
Wife ordered something from NC to Fl. They used fedex home delivery. Shipping Monday, was there Tuesday. No way in hell that went ground.

Companies can only undercut for so long before it causes a domino effect. Couple that with inconsistent and poor service and that cheap prices loses customers.

It's a vicious circle.

The sky isn't falling at ups but if every driver followed the methods and took care of the customers, imagine there would be no argument.
 

Mugarolla

Light 'em up!
Wife ordered something from NC to Fl. They used fedex home delivery. Shipping Monday, was there Tuesday. No way in hell that went ground.

Companies can only undercut for so long before it causes a domino effect. Couple that with inconsistent and poor service and that cheap prices loses customers.

It's a vicious circle.

The sky isn't falling at ups but if every driver followed the methods and took care of the customers, imagine there would be no argument.

Could easily, and most likely, did go ground.

We move trailers 600 miles in less than 10 hours. Been there, done that.
 

Faceplanted

Well-Known Member
fedex ground use way more sleeper teams than us. I honestly see nothing but sleeper teams when it comes to fedex. They are dropping shipping times by a huge margin, meanwhile ups is worried about Orion trace. This is something fedex is doing successfully over the past year and are going to be doing the same over the next year.

I'm curious if there is any concrete proof ground is using express to make service, this would disrupt the contractor model and personally doesn't seem necessary to me. I would be surprised if they are.

This is another huge indication how far behind we are falling. very slippery slope ups is standing on.
 

Browndriver5

Well-Known Member
fedex ground use way more sleeper teams than us. I honestly see nothing but sleeper teams when it comes to fedex. They are dropping shipping times by a huge margin, meanwhile ups is worried about Orion trace. This is something fedex is doing successfully over the past year and are going to be doing the same over the next year.

I'm curious if there is any concrete proof ground is using express to make service, this would disrupt the contractor model and personally doesn't seem necessary to me. I would be surprised if they are.

This is another huge indication how far behind we are falling. very slippery slope ups is standing on.

Seems like we are also focused more on international than we are growth at home.
 

Orion inc.

I like turtles
Could easily, and most likely, did go ground.

We move trailers 600 miles in less than 10 hours. Been there, done that.
1 day ground service doesn't happen from NC to FL. Hell we do FL and part of GA in one day ground. They were able to do a straight shot like that? It left late Monday night according to tracking and got to my area for delivery by 6 am? There wasn't enough time to drive it ground. Only way is if it was put on a plane.
 

Orion inc.

I like turtles
fedex ground use way more sleeper teams than us. I honestly see nothing but sleeper teams when it comes to fedex. They are dropping shipping times by a huge margin, meanwhile ups is worried about Orion trace. This is something fedex is doing successfully over the past year and are going to be doing the same over the next year.

I'm curious if there is any concrete proof ground is using express to make service, this would disrupt the contractor model and personally doesn't seem necessary to me. I would be surprised if they are.

This is another huge indication how far behind we are falling. very slippery slope ups is standing on.
I'll ask the express guy on my route. But there is no way you leave NC on Monday night late at around 1230 am and get to fla around 6 am and be out for delivery? There's not enough hours to transport that ground through a feeder network.

I'll agree that ups needs to cut their time in transit on ground. I suspect competition like FDX will force them to invest in the network more.

As much as I see stupidity on a local management level, I don't think corporate is all idiots and would let ups go under to the competition. This is a very conservative company in that aspect that plans long term.

Now if they could improve the local level and let CMs run their centers like they used to, we could get back to taking care of business the right way in that aspect
 

EasyTrucker

Well-Known Member
UPS gets packages from Jacksonville, FL to Worcester, MA in a little over 24 hours. There's no doubt in my mind your NC to FL package went ground.
 

Mugarolla

Light 'em up!
1 day ground service doesn't happen from NC to FL. Hell we do FL and part of GA in one day ground. They were able to do a straight shot like that? It left late Monday night according to tracking and got to my area for delivery by 6 am? There wasn't enough time to drive it ground. Only way is if it was put on a plane.

I didn't know what time it left and what time it got there. I was just saying that if it left early enough, it could have made it ground.

If you're delivered from a big hub, it could have left a 8:00 pm and got to the hub at 6:00 am, plenty of time to load on a package car and get delivered.
 

Mugarolla

Light 'em up!
How is it possible to drive 600 miles in 8 hours?

It is not. At least not legally.

They would have to be going a little over 80 mph the whole way to make it to the sort before 6

Not very good at math, are you?

And that run is 1,100 miles ups should be able to get it there in over 24 hours

Correct. Actually, under 24 hours.

Been on a mileage job, 575 miles, and was on the clock for only 9.5 to 10 hours on most days. It was 9 to 9.5 hours drive time, depending on traffic, plus meal, pre-trip etc.

This Fl to Ma is only 1100 miles. Bing says 18 to 19 hours to drive. Having meet points for these trailers to swap loads with other drivers, it is very reasonable to assume that it would take under 24 hours, 5 to 6 hours more than Bing says it takes to drive.

fl to ma.jpg
 

Nolimitz

Well-Known Member
I have never seen a FedEx ground package come thru our Express station in the 6 years I have been there. It is possible that if there was extra space on the plane they could add a few cans of ground that I would never see move thru the ramp, but I have never heard about it happening.
 

Orion inc.

I like turtles
It went NC to further than Jacksonville, let's say near south Florida from 12 am to 6 am???

It's physically impossible in the time frame. It leaves Monday night at 12 and gets to the middle or southern part of FL by 6 am???

Nope. Not unless it was on a plane.
 
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