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Overtime pay and salaried employees
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<blockquote data-quote="MrFedEx" data-source="post: 803536" data-attributes="member: 12508"><p>Where I live, most of the contractors pay between $600-$750 per week in salary to Ground drivers. The walk-in drivers are the low end, and the straight truck drivers are the high end. All of these people work right around 60 hours per week, and their contractors tell them the same thing, that they "cannot afford raises". bbsam says he pays more, yet still makes a very decent living. That would make me tend to believe that most contractors lie about their cut of the profits, which makes perfect sense, because every penny they pay over and above current wages comes out of their pocket. Simple human nature= greed.</p><p> </p><p>All of this plays right into the basic scheme of the Ground plan, which is for FedEx to pass off as many costs as possible to the ISP, who has a natural incentive to maximize his own profits. FedEx doesn't care if you are paid peanuts, as long as the packages get delivered. However, they <em>do</em> care when you show-up to work, if you are in uniform, and that you observe FedEx rules and regulations to the letter.</p><p> </p><p>This is why you see dirty Ground trucks full of dents, that are poorly maintained and driven until they fall apart. bbsam, smart guy that he is, pays above the normal Ground average and also maintains his fleet, because it makes sense to do so in the long run. Other contractors don't work that way because they think short term about their business. </p><p> </p><p>The only reason FedEx bought RPS in the first place was for this set-up. I remember when RPS still ran it with single vehicle contractors, and those people were lucky if they netted $30,000 per year for 60 hours per week. FedEx bumped those numbers up a bit, but the essence of the scam remains. Pay below market level wages and expect above average performance from non-employees who are held to employee standards. Scam.</p></blockquote><p></p>
[QUOTE="MrFedEx, post: 803536, member: 12508"] Where I live, most of the contractors pay between $600-$750 per week in salary to Ground drivers. The walk-in drivers are the low end, and the straight truck drivers are the high end. All of these people work right around 60 hours per week, and their contractors tell them the same thing, that they "cannot afford raises". bbsam says he pays more, yet still makes a very decent living. That would make me tend to believe that most contractors lie about their cut of the profits, which makes perfect sense, because every penny they pay over and above current wages comes out of their pocket. Simple human nature= greed. All of this plays right into the basic scheme of the Ground plan, which is for FedEx to pass off as many costs as possible to the ISP, who has a natural incentive to maximize his own profits. FedEx doesn't care if you are paid peanuts, as long as the packages get delivered. However, they [I]do[/I] care when you show-up to work, if you are in uniform, and that you observe FedEx rules and regulations to the letter. This is why you see dirty Ground trucks full of dents, that are poorly maintained and driven until they fall apart. bbsam, smart guy that he is, pays above the normal Ground average and also maintains his fleet, because it makes sense to do so in the long run. Other contractors don't work that way because they think short term about their business. The only reason FedEx bought RPS in the first place was for this set-up. I remember when RPS still ran it with single vehicle contractors, and those people were lucky if they netted $30,000 per year for 60 hours per week. FedEx bumped those numbers up a bit, but the essence of the scam remains. Pay below market level wages and expect above average performance from non-employees who are held to employee standards. Scam. [/QUOTE]
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