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It will be fine

Well-Known Member
How does a "unified" driver workforce create revenue??
I think he’s saying the drop in quality of the average Ground driver costs the company some business they might get with corporate employees. I doubt it has that much of an impact to outweigh the obscene costs of bringing all Ground drivers in house.
 

Aquaman

Well-Known Member
You're being silly. The FedEx employees moving air packages will still be RLA, just as the pilots will be, and so forth. Having contractors move some of the air freight doesn't change what the FedEx employees are doing.
Will they be considered contractors anymore? FedEx Ground is essentially joining us, even if they’re not “combining” us. Hard to explain how you’re contracting work out to yourself. Made sense as separate opcos. Now, not so much.
 

HD219

Well-Known Member
Told you guys this was coming months ago and you thought I was just a stupid ground driver that didn't know anything. FedEx will still primarily use the contractor model. They are going to weed out all the underperforming contractors in each building. Hence why the medal rating system was created. For example, the building I'm in has 10 contractors. That will be cut down to about 4 contractors who give a *poo about the operation. It will be much easier for FedEx to deal with 4 competent contractors and getting rid of the other 6 headaches. FedEx will have its own part time drivers that will deliver all the critical deliveries. It's not that difficult. Express volume is down bad. It won't be that much of an increase in volume for drivers. I find myself at the same house as the express driver all the time anyway. Why pay two drivers to stop at the same address? Express is killing FedEx profits.
 

59 Dano

I just want to make friends!
Will they be considered contractors anymore? FedEx Ground is essentially joining us, even if they’re not “combining” us. Hard to explain how you’re contracting work out to yourself. Made sense as separate opcos. Now, not so much.
How are they contracting the work out to themselves when they will be on BBSAM & IWBF's trucks and delivered by BBSAM & IWBF's employees? You guys are overthinking this.
 

lilwizbiz

Well-Known Member
Told you guys this was coming months ago and you thought I was just a stupid ground driver that didn't know anything. FedEx will still primarily use the contractor model. They are going to weed out all the underperforming contractors in each building. Hence why the medal rating system was created. For example, the building I'm in has 10 contractors. That will be cut down to about 4 contractors who give a *poo about the operation. It will be much easier for FedEx to deal with 4 competent contractors and getting rid of the other 6 headaches. FedEx will have its own part time drivers that will deliver all the critical deliveries. It's not that difficult. Express volume is down bad. It won't be that much of an increase in volume for drivers. I find myself at the same house as the express driver all the time anyway. Why pay two drivers to stop at the same address? Express is killing FedEx profits.
Express has been the cash cow of FedEx for as long as the company’s existed… it’s the more expensive option it’s natural to have lower volume these days. But trust it will pick up
 

bacha29

Well-Known Member
Told you guys this was coming months ago and you thought I was just a stupid ground driver that didn't know anything. FedEx will still primarily use the contractor model. They are going to weed out all the underperforming contractors in each building. Hence why the medal rating system was created. For example, the building I'm in has 10 contractors. That will be cut down to about 4 contractors who give a *poo about the operation. It will be much easier for FedEx to deal with 4 competent contractors and getting rid of the other 6 headaches. FedEx will have its own part time drivers that will deliver all the critical deliveries. It's not that difficult. Express volume is down bad. It won't be that much of an increase in volume for drivers. I find myself at the same house as the express driver all the time anyway. Why pay two drivers to stop at the same address? Express is killing FedEx profits.
The 4 remaining contractors will still be incumbered with the same impossible task. Finding somebody willing to go out there and match the production of the average UPS driver for half the wages and zero benefits.
 

59 Dano

I just want to make friends!
Told you guys this was coming months ago and you thought I was just a stupid ground driver that didn't know anything.
Dude you predicted in February 2023 what was announced in summer 2022. I don't know that I'd take a victory lap over that.
 

Gone fishin

Well-Known Member
Told you guys this was coming months ago and you thought I was just a stupid ground driver that didn't know anything. FedEx will still primarily use the contractor model. They are going to weed out all the underperforming contractors in each building. Hence why the medal rating system was created. For example, the building I'm in has 10 contractors. That will be cut down to about 4 contractors who give a *poo about the operation. It will be much easier for FedEx to deal with 4 competent contractors and getting rid of the other 6 headaches. FedEx will have its own part time drivers that will deliver all the critical deliveries. It's not that difficult. Express volume is down bad. It won't be that much of an increase in volume for drivers. I find myself at the same house as the express driver all the time anyway. Why pay two drivers to stop at the same address? Express is killing FedEx profits.
How does UPS do it. They make more than us. How about the business that ground drives away because of incompetence. We’ll see what happens
 

HD219

Well-Known Member
Express has been the cash cow of FedEx for as long as the company’s existed… it’s the more expensive option it’s natural to have lower volume these days. But trust it will pick up
You're right, Express brings in more revenue but do they bring in more profit after costs?
 

HD219

Well-Known Member
The 4 remaining contractors will still be incumbered with the same impossible task. Finding somebody willing to go out there and match the production of the average UPS driver for half the wages and zero benefits.
How does UPS do it. They make more than us. How about the business that ground drives away because of incompetence. We’ll see what happens
I agree with both you. It's going to be even more difficult to keep drivers. I don't see any driver stopping what they're doing, driving back across town to complete a time delivery and picking back where they left off...... multiple times......for $20/hr.
 

SFFX

Well-Known Member
You're right, Express brings in more revenue but do they bring in more profit after costs?

Just like UPS, Express cost more $ for timed service vs one cycle like ground and Amazon.

Im excited for the calamity that is coming.
 

It will be fine

Well-Known Member
I agree with both you. It's going to be even more difficult to keep drivers. I don't see any driver stopping what they're doing, driving back across town to complete a time delivery and picking back where they left off...... multiple times......for $20/hr.
4CC820C7-48CC-493F-875E-81AB7FF15098.jpeg

Express seems to find them.
 

lilwizbiz

Well-Known Member
You're right, Express brings in more revenue but do they bring in more profit after costs?
Hence the consolidation. Express will eventually be the boss of the whole operation. Just read the headers mate. John Smith is the new CEO of FedEx Express division. Express is just a more professional operation. That’s why the company’s gonna take over the whole thing now instead of contractors.
 

HD219

Well-Known Member
Hence the consolidation. Express will eventually be the boss of the whole operation. Just read the headers mate. John Smith is the new CEO of FedEx Express division. Express is just a more professional operation. That’s why the company’s gonna take over the whole thing now instead of contractors.
The other part of my theory is that FedEx will dwindle down the contractors then completely get rid of them.
 
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Lates

Well-Known Member
The other part of my theory is that FedEx will dwindle down the contractors then completely get rid of them. Edit: And Georgia's minimum wage is $7.25/hr lol. Nice try
Why so they could employee them directly and it cost them more? It’s cheaper for them to pay contractors and not pay insurance or 401k.
 
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