I understand why companies raise rates everyone is in business to make a buck but what I am wondering is why FedEx is raising rates the same percentage as UPS. Ups needs to raise rates to keep their employees taken care of. Plus you know they want to make money too after all they are the Empire of package delivery. The question I have is why FedEx continues to follow UPS. Where is the money going? Do Contractors get more every year when rates go up? I dont see how being they are in a contract. Do Express employees get more? dosent sound like they get much more. Ups is one thing look at the hourly rate and benefit package they get not to mention the perks of paid holidays and weeks of vacation. When you come down to it the price of shipping ground UPS vs FedEx is only like 70 cents. FedEx prides themselves on being a lower cost option however its not that much lower. If they are already making billions why raise rates at all its not like any of us are going to see a diffrence. Where does the money go?