I don't see anything related to unions. I do see a person relaying information that may or may not be true. I wonder what happens to us older guys if the top rate is $21. We will either be looking for other employment or this thread will be heading in the direction of union talk. I think cutting vacation and hourly pay would be the biggest mistake XPO could ever make. The market demands that pay be around a certain level to attract and keep quality employees. The vacation and pay discrepancy will lead to animosity amongst us and almost force the hand. Bad bad bad idea.
Depends on which market you are trying to be in. Con-way was a stand alone LTL and competed for drivers in that space. XPO is a massive global entity that can cover the freight in a million ways. Might not even want to be in the LTL business in the same way. Remember FedEx and UPS have the advantage in package car. This also gives them an advantage in LTL as the market goes to more and more to home deliveries.
Just because Con-way was trying to be the best LTL in the industry and paid us as such doesn't mean that XPO isn't trying to be the most profitable LTL in the industry and pay us worse than the lowest common denominator.
Jacobs is a flipper. EBITDA EBITDA EBITDA
Wages don't matter. Benefits don't matter. You don't matter. Results matter.
Pull yourself away from what you are talking about. Pretend you are talking about another company you don't work for. Remove yourself from the equation so that you can see it without being clouded by your own personal interest.
Reducing wages and benefits to levels that match his other holdings makes perfectly good sense. Increases operating income. Improves EBITDA.
So what you lose some business ? It was costing you to much anyway. Not the biggest or the busiest. The most profitable.
We are a bunch of rednecks. So let's do it in cars. A torqued out HEMI will get there fast in a sprint down the strip. A corvette will get there damn fast out on the freeway. A Prius will get there slower but very efficiently. But all of these cars are expensive and have high cost of ownership and are really one trick ponies that are very good at one thing and bad at others. Get an old clunker Dodge Colt and leave a bit earlier and you'll still get there at the same time and you'll get really good mileage, not as good as the Prius, but enough. Low cost to owner. More money in pocket. That's what most profitable means. More money in Jacobs' pocket.