Home
Forums
New posts
Search forums
What's new
New posts
Latest activity
Members
Current visitors
Log in
Register
What's new
Search
Search
Search titles only
By:
New posts
Search forums
Menu
Log in
Register
Install the app
Install
Home
Forums
The Competition
FedEx Discussions
Question: Is now a good time to buy a FedEx Ground Route?
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Reply to thread
Message
<blockquote data-quote="Ricochet1a" data-source="post: 570328" data-attributes="member: 22880"><p>This is the best summation of the situation of Ground drivers/helpers I've read yet. The Ground drivers have no "loyalty" to the job they are doing. They are doing it because their personal "desperation factor" is high enough to perform the job function until they can find something else to do. Sadly, many don't have any other options, so they are left to be exploited by a system that is stacked against them. </p><p> </p><p>This also illustrates my point as to why the charade of the independent contractor of Ground. It exists SOLELY to prevent the actual drivers from unionizing to get better compensation for the work they are performing. There is no other logical explanation to attribute to the use of the independent contractor model. </p><p> </p><p>This also illustrates (again) why Wall Street types (Cramer) don't necessarily have the full scoop on how a company is being run and its future prospects. The financial reports may be favorable for FedEx, but they don't reveal the discontent that exists at the employee level. As many posters have stated, if FedEx was so confident that its employees wouldn't vote in a union, it wouldn't care about maintaining its labor classification under the RLA. FedEx's frantic attempts to do anything to prevent a change in its labor status is indicative of one thing and one thing only; it is deathly afraid that its employees would unionize if given half a chance and unionizing would affect compensation levels for senior executives. </p><p> </p><p>All of this is important to consider for anyone contemplating buying Ground routes. If FedEx ever does get defeated in court and has to recognize Ground drivers as employees, the "owners" of the routes are going to take it in the shorts. FedEx will have no compunction about selling out the IC's to minimize its loss. After all, every Express employee below executive level was sold out last year when the pension was gutted and compensation levels either reduced or frozen for wage employees. In the situation of FedEx losing its ability to use the IC model, every owner of a route will end up being compensated for a fraction of their investment if they are lucky. If FedEx wanted to play hardball (as it is so fond of doing) it would merely tell the independent contractors to "have a nice day" and they are free to take their business elsewhere with no compensation. After all, they are "independent" contractors... They would be told to remove the FedEx logo from all their trucks since they aren't "representing" FedEx anymore. I don't think Cramer has thought about this angle.</p></blockquote><p></p>
[QUOTE="Ricochet1a, post: 570328, member: 22880"] This is the best summation of the situation of Ground drivers/helpers I've read yet. The Ground drivers have no "loyalty" to the job they are doing. They are doing it because their personal "desperation factor" is high enough to perform the job function until they can find something else to do. Sadly, many don't have any other options, so they are left to be exploited by a system that is stacked against them. This also illustrates my point as to why the charade of the independent contractor of Ground. It exists SOLELY to prevent the actual drivers from unionizing to get better compensation for the work they are performing. There is no other logical explanation to attribute to the use of the independent contractor model. This also illustrates (again) why Wall Street types (Cramer) don't necessarily have the full scoop on how a company is being run and its future prospects. The financial reports may be favorable for FedEx, but they don't reveal the discontent that exists at the employee level. As many posters have stated, if FedEx was so confident that its employees wouldn't vote in a union, it wouldn't care about maintaining its labor classification under the RLA. FedEx's frantic attempts to do anything to prevent a change in its labor status is indicative of one thing and one thing only; it is deathly afraid that its employees would unionize if given half a chance and unionizing would affect compensation levels for senior executives. All of this is important to consider for anyone contemplating buying Ground routes. If FedEx ever does get defeated in court and has to recognize Ground drivers as employees, the "owners" of the routes are going to take it in the shorts. FedEx will have no compunction about selling out the IC's to minimize its loss. After all, every Express employee below executive level was sold out last year when the pension was gutted and compensation levels either reduced or frozen for wage employees. In the situation of FedEx losing its ability to use the IC model, every owner of a route will end up being compensated for a fraction of their investment if they are lucky. If FedEx wanted to play hardball (as it is so fond of doing) it would merely tell the independent contractors to "have a nice day" and they are free to take their business elsewhere with no compensation. After all, they are "independent" contractors... They would be told to remove the FedEx logo from all their trucks since they aren't "representing" FedEx anymore. I don't think Cramer has thought about this angle. [/QUOTE]
Insert quotes…
Verification
Post reply
Home
Forums
The Competition
FedEx Discussions
Question: Is now a good time to buy a FedEx Ground Route?
Top