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bbsam

Moderator
Staff member
That's a good point. Will the manning at Ground keep up with the volume increases? Sure they managed over the last ten years but looks like they will be experiencing a huge increase in volume. Express drivers always look at Peak with mixed feelings. They love getting the big paycheck but dread the mountain of freight that they know is coming. It wears you out. Are Ground guys going to be looking at a daily mountain of freight without no corresponding bump in pay? And how long can they deal with it before deciding it's not worth it? Even though Express couriers get OT I'd bet we'd lose alot of people after a month or two if we dealt with Peak level freight every day because people realize they are being worked to death and it's definitely not worth the money, especially since FedEx has kept their pay down as is. FedEx must be worried about a possible UPS strike, because after screwing us for so long most likely they'd lose a heck of alot of people who would not only think it isn't worth dealing with but it would also be a great opportunity to stick it to FedEx too. For those who didn't work the last strike it makes Peak look like the little bump before Valentine's.

I can't speak for all contractors, but I don't mind giving a bump in pay for increased volume. Its alot cheaper than putting another truck and driver out there.
 

STFXG

Well-Known Member
Don't talk like that. They can't comprehend anything more than "60 hour weeks for $600 with no benefits".
 

vantexan

Well-Known Member
I can't speak for all contractors, but I don't mind giving a bump in pay for increased volume. Its alot cheaper than putting another truck and driver out there.

There's a huge difference between getting $700 a week to do 40 hrs worth of work with the occasional 45-50 hr week, and doing 55+ hrs weekly of nonstop humping for $800-$850. It wears people out. And I suspect FedEx will try to get as much as possible out of your people before agreeing to give you more to pay them. No matter what you've done in the last 10 years, if your volume goes up significantly and your people are working consistently harder for not much more, it will unravel on you at some point.
 

bbsam

Moderator
Staff member
I almost can't take these scenarios seriously because the are so common place. If I need to address them more often, all the better. One more reason Fedex was smart to start getting away from single route owners. We handle these things all the time.
 

vantexan

Well-Known Member
I almost can't take these scenarios seriously because the are so common place. If I need to address them more often, all the better. One more reason Fedex was smart to start getting away from single route owners. We handle these things all the time.

You are assuming FedEx will give you enough to handle it. I'm betting FedEx will push you to the limit to max profit. They've been holding back on us for years and will only give more when they absolutely have to.
 

STFXG

Well-Known Member
Van, it really is nothing new. More volume means more trucks and more drivers. Since we are paid based on volume when the volume increases we can afford to add more on.

Just like peak. My terminal was overstaffed. If WE fail we lose our contracts. If profits fall short for a bit then that's the cost of business.
 

STFXG

Well-Known Member
Our expansions are based on increased volume. It's good for us. The real issue with a huge increase in volume is the throughput that the company can handle. We aren't the problem. It's the facilities and line haul. That's why they are adding so many new buildings.
 

vantexan

Well-Known Member
Our expansions are based on increased volume. It's good for us. The real issue with a huge increase in volume is the throughput that the company can handle. We aren't the problem. It's the facilities and line haul. That's why they are adding so many new buildings.

I believe you but never forget who you are dealing with. The day will come when they'll tell you you'll have to make do with what they've given you, there won't be any increases any time soon.
 

bbsam

Moderator
Staff member
One day maybe. Remember though, for the time being, it is in their best interest for contractors to succeed.
 

STFXG

Well-Known Member
Our expansions are based on increased volume. It's good for us. The real issue with a huge increase in volume is the throughput that the company can handle. We aren't the problem. It's the facilities and line haul. That's why they are adding so many new buildings.

I believe you but never forget who you are dealing with. The day will come when they'll tell you you'll have to make do with what they've given you, there won't be any increases any time soon.

You are right that day could come. But for now its in their best interest to keep the contractors happy. If they don't keep the business relationship mutually beneficial then they run the risk of the contractor model failing and losing the cost savings of it.
 

bbsam

Moderator
Staff member
You are right that day could come. But for now its in their best interest to keep the contractors happy. If they don't keep the business relationship mutually beneficial then they run the risk of the contractor model failing and losing the cost savings of it.

I think our minds must be connected by some type of Fedex Ground Borg.
 

STFXG

Well-Known Member
You are right that day could come. But for now its in their best interest to keep the contractors happy. If they don't keep the business relationship mutually beneficial then they run the risk of the contractor model failing and losing the cost savings of it.

I think our minds must be connected by some type of Fedex Ground Borg.

Haha how about Cylons? And we are hearing the FedEx music. I was never a big Star Trek fan...
 

vantexan

Well-Known Member
You are right that day could come. But for now its in their best interest to keep the contractors happy. If they don't keep the business relationship mutually beneficial then they run the risk of the contractor model failing and losing the cost savings of it.

And what if they decided that they could make more profit with less contractors? Express mgrs certainly manage more people plus deal with all aspects of running a station. An excellent way to reduce the number of contractors is to put pressure on the contractors to the point some sell out and the remaining contractors buy those rts. You are right, they certainly want you to succeed, and you may be long gone before they mess with contractors. But they treated couriers really well early on, then eventually started a long process of takeaways. They have to show Wall Street profit growth, and will take it wherever they can find it. Just another reason I think that down the line buying into Ground won't be as good a deal as you got. I've been told here before don't take it personal, it's just business. It's personal when it happens to you, and all your plans are built on a false foundation.
 

vantexan

Well-Known Member
I think our minds must be connected by some type of Fedex Ground Borg.

I see a couple of guys who think they have the tiger by the tail and like to smirk at idiot couriers. Alot of us have many more years dealing with FedEx than you do. Don't bet on it turning out as sweetly as you think it will.
 

bbsam

Moderator
Staff member
I'm sorry, van. I literally came to RPS from next to nothing. I've had a good run and I hope it continues. But one thing has been at the core for me and this company. Nothing promised, nothing stolen. They didn't give me health insurance, so they couldn't raise the premiums. They didn't give me a pension so they couldn't convert it to a crappy 401k. I got used to 60 hour weeks so I never had to learn to live on 35. And I guess if my life hadn't been the mess it was, I would have done ok at UPS as well. It didn't turn out that way and now I have come to simply appreciate each day for the gift it is. It may very well be that Fred has been screwing us all along compared to what our positions, liability, and businesses are actually worth. Might all fall apart down the line as you say. Does it matter? Today is pretty damn good and the plans for tomorrow and beyond look even better. But that is not promised. I don't know what rose colored glasses others see the future in. I simply see from the darkness of an ugly past.
 

vantexan

Well-Known Member
I'm sorry, van. I literally came to RPS from next to nothing. I've had a good run and I hope it continues. But one thing has been at the core for me and this company. Nothing promised, nothing stolen. They didn't give me health insurance, so they couldn't raise the premiums. They didn't give me a pension so they couldn't convert it to a crappy 401k. I got used to 60 hour weeks so I never had to learn to live on 35. And I guess if my life hadn't been the mess it was, I would have done ok at UPS as well. It didn't turn out that way and now I have come to simply appreciate each day for the gift it is. It may very well be that Fred has been screwing us all along compared to what our positions, liability, and businesses are actually worth. Might all fall apart down the line as you say. Does it matter? Today is pretty damn good and the plans for tomorrow and beyond look even better. But that is not promised. I don't know what rose colored glasses others see the future in. I simply see from the darkness of an ugly past.

Then for you it's a good deal. Might not be for Biff and Buffy and the three kids in the 'burbs mortgaged to the hilt. And that is the most likely scenario.
 

texan

Well-Known Member
I'm sorry, van. I literally came to RPS from next to nothing. I've had a good run and I hope it continues. But one thing has been at the core for me and this company. Nothing promised, nothing stolen. They didn't give me health insurance, so they couldn't raise the premiums. They didn't give me a pension so they couldn't convert it to a crappy 401k. I got used to 60 hour weeks so I never had to learn to live on 35. And I guess if my life hadn't been the mess it was, I would have done ok at UPS as well. It didn't turn out that way and now I have come to simply appreciate each day for the gift it is. It may very well be that Fred has been screwing us all along compared to what our positions, liability, and businesses are actually worth. Might all fall apart down the line as you say. Does it matter? Today is pretty damn good and the plans for tomorrow and beyond look even better. But that is not promised. I don't know what rose colored glasses others see the future in. I simply see from the darkness of an ugly past.
" I simply see from the darkness of an ugly past"

As a believer, I have and do each day pray this pray out loud for myself.

My faith believes that the Bible is the Eternal Word of the Most High.

So when one speaks HIS Word out loud, your human spirit hears it and absorbs it.

Using the letter of Paul Philippians 3:13 and 14:

Father help me to forget those things which are behind, and help me to reach forth unto those things
which are before, Father help me to press toward the mark for the prize of the high calling of YOU
in Christ Jesus.

I place special emphasis on Forget those things which are behind.

A thought for those that will read this.

All of us have mistakes, regrets and wrong choices in the past.

I am seeing fruit in this daily prayer. I am not there yet, but I am seeing results.

 

bbsam

Moderator
Staff member
Let me put it this way.

I have known alot of "bad days". My time with Fedex does not fall into that category.
 
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