Smartpost

It will be fine

Well-Known Member
That is what the language appears to say. Surepost is only allowed as a defense tool against competitors using a similar service, or to take business away from competitors using similar services.
Interesting. I wouldn’t count on the service going away. They are just giving the deliveries to contractors instead of the post office. I imagine there will still be a smartpost product for high volume shippers at a discount with slower time commits.
 

zubenelgenubi

I'm a star
"In order to retain existing commercial customers that are solic- ited by a competitor offering services similar to those described herein, or to attract new commercial customers, the Company may offer service contracts that include the delivery of packages by the USPS."

You guys seriously don't realize what these lines mean? If there was any doubt about the purpose of this section, in paragraph 5:

"The Joint UPS/IBT Competition committee will meet on a quar- terly basis to review the progress of this service and discuss poten- tial technological enhancements that will allow Surepost volume to be placed back in the UPS system for fnal mile delivery."

This was a concession meant to help UPS compete with other providers who use the post office for last mile delivery. If competitors stopped offering such services, the purpose of the section becomes moot and invalid.

Do not confuse what I am saying here with me saying that FedEx is dropping smartpost entirely. Simply that if they did, this section should be challenged.
 

It will be fine

Well-Known Member
"In order to retain existing commercial customers that are solic- ited by a competitor offering services similar to those described herein, or to attract new commercial customers, the Company may offer service contracts that include the delivery of packages by the USPS."

You guys seriously don't realize what these lines mean? If there was any doubt about the purpose of this section, in paragraph 5:

"The Joint UPS/IBT Competition committee will meet on a quar- terly basis to review the progress of this service and discuss poten- tial technological enhancements that will allow Surepost volume to be placed back in the UPS system for fnal mile delivery."

This was a concession meant to help UPS compete with other providers who use the post office for last mile delivery. If competitors stopped offering such services, the purpose of the section becomes moot and invalid.

Do not confuse what I am saying here with me saying that FedEx is dropping smartpost entirely. Simply that if they did, this section should be challenged.
The value to the customer is not in the usps doing the final mile delivery. The value is the lower cost that comes with volume and a later commit date. Even if Fedex eliminates smartpost entirely UPS would still need their surepost product to remain competitive. It might be challenged but I think it’s safe to say the union would lose that challenge.
 

DriveInDriveOut

Inordinately Right
Doesn’t look like it makes any difference what we do.
Please cite the NMA Article and Section that has this specific language.
Screenshot_20191122-005051.jpg
 
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Boywondr

The truth never changes.
FedEx is not the only company offering a competitive product to SurePost. Plenty of others that UPS can name as competitors: APC Postal Logistics, Asendia, DHL eCommerce, Globegistics, Pitney Bowes, RR Donnelley.
What is their handled volume in the domestic US vs UPS? Above I see a lot of European based companies and I'm sure we dont see their delivery transactions at the dock like FDX and UPS but what is their volume transaction percentile vs ours?

Asendia and RRD are logistics forwarders. Freight (LTL) seems to be their mainstays but their impact is low keyed. DHL is linked to the Deutsche Post.

Where is their services that mirrors ours at the post office?
 

DriveInDriveOut

Inordinately Right
FedEx is not the only company offering a competitive product to SurePost. Plenty of others that UPS can name as competitors: APC Postal Logistics, Asendia, DHL eCommerce, Globegistics, Pitney Bowes, RR Donnelley.
I'm sure UPS would use that argument.

A guy selling cheeseburgers out of his van might have a product comparable to a bigmac but to say he's McDonald's competition would be a stretch. Scale is a factor and the intent of the contractual language matters.

Either way, that's a decision for the union competition and negotiating committees and possibly arbitration. At the very least, this should be leveraged to get a large amount of last mile deliveries back into the hands of UPS teamsters.
 

dysphunktion

A decent sup
I'm sure UPS would use that argument.

A guy selling cheeseburgers out of his van might have a product comparable to a bigmac but to say he's McDonald's competition would be a stretch. Scale is a factor and the intent of the contractual language matters.

Either way, that's a decision for the union competition and negotiating committees and possibly arbitration. At the very least, this should be leveraged to get a large amount of last mile deliveries back into the hands of UPS teamsters.

What about me?! I wanna do some of that teamsters stuff?!?!
 
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