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FedEx Freight | Purchase Transportation

Knucklehead said:
Although I do not work for FXF any more, I was at a Loves in Washington this week and a CRST driver approached me and wanted to know what I was paid where I now work and I gave him a ball park number. I told him I worked for FXF in the past and he told me that CRST just signed a contract with FXF and YRC to start moving an increase of their freight. I asked if it was only one direction and he said it was bothways. So everytime you see an CRST Expedited Van that is what they will be using per this driver. He said he had been in the POR terminal a few times in the past but now it will be an dedicated lane for them. Also said with the new contract he and his co-driver each get .52cpm and run 5K per week. Take it for what its worth...
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CRST doesn't pay anywhere near 52 CPM each,They don't even split anywhere near that.
 
The reality of this matter is it is here to stay. As long as the suits can make $$$ off of PT it will continue to increase percentage wise. Non union or union it is happening everyday, first saw this happening over 15 years ago. Tracked a shipment from a competitor going from Portland, OR to Richmond,VA. The only time that shipment was on that carriers equipment was at the point of pick up and from the destination break bulk (regional service center/DC) to the end of line service center. Other than that it traveled from that Portland service center all the way across country to Carlie, PA by TL carrier CRST. Oh I forgot it did stop in Salt Lake City while enroute.

I didn't think much of it back then but it was rather odd at the moment. Now it is raising eyebrows as line haul guys are sitting losing miles and loads to this business scheme/mode. Yeah management will put a spin on it saying its use is for when freight levels are heavy and they can't cover the freight from lack of manpower or equipment. yeah that makes sense to make it look like it is good for the company which i understand. The problem comes from this practice not stopping. Even when the freight levels decrease they will continue this practice as runs get cancelled and linehaul sits home or is forced to run lesser paying runs.

So people we are faced with our own personal hell when it comes to PT. How do you monitor it and what can you do about it when the company starts to abuse this practice of PT. How can you tell if that load or shipment was serviced by PT ( from management??? not). A past practice has become our own problem now whether you are union or not, you or me it affects us all.

Right now they are running PT from regional service center to regional service center only. Next PT will be running over the top of your linehaul guys and then they'll be sitting home also. Then to the end of the line service centers as management willl be mum on the information.

Yeah I'm union and you'll probably thinking what do I know about industry but those who are closest to the task at hand know the most information. I'll close this out as saying this is not my problem, a non union problem, union problem or your problem.....It is all of our problem when it comes to this issue.

Respectfully submitted, travel well and be safe out there
 
Redracer3136 said:
This argument comes up every winter when the freight levels drop off...PT moving our freight while our drivers sit at home.
This is one of the drawbacks of being near the bottom of the road board...you're either stuck on the extra board or the last bid of a lane through the winter that's subject to get cancelled...thus dovetailing you to the dreaded extra board.
We've all been through it! I've pounded the patio through the winter as a road driver just to earn a check...atleast dock work is an option.
Even the city board experiences the freight levels dropping off in the winter by the bottom of their board being forced to work the dock instead of peddling freight. PT have no effect on the city board, yet they're sent to the dock.
It's not going to change...maybe you'd prefer the company to lay you off, then call you back in April when the fright levels pick back up...just as the union companies do?
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One thing that I've noticed at our barn anyway, is that high up city drivers will take volunteer days off either with, or without pay to let some of the "on call" lower drivers work. Don't know how often that happens on the road side.
 
Let me put it this way, guys. If FedEx REALLY wanted to trade all the road men in for PT or even contractors, they would have done it AGES ago. FedEx is not deliberately replacing us, and there's no conspiracy. It's just cheaper to pay PT for a one way load than to pay us both ways to run empty in one direction and loaded in the other. I don't like it. Nobody does. But it's called business sense.
 
FXFC1620 said:
Let me put it this way, guys. If FedEx REALLY wanted to trade all the road men in for PT or even contractors, they would have done it AGES ago. FedEx is not deliberately replacing us, and there's no conspiracy. It's just cheaper to pay PT for a one way load than to pay us both ways to run empty in one direction and loaded in the other. I don't like it. Nobody does. But it's called business sense.
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says a contractor
 
FXFC1620 said:
Let me put it this way, guys. If FedEx REALLY wanted to trade all the road men in for PT or even contractors, they would have done it AGES ago. FedEx is not deliberately replacing us, and there's no conspiracy. It's just cheaper to pay PT for a one way load than to pay us both ways to run empty in one direction and loaded in the other. I don't like it. Nobody does. But it's called business sense.
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it's not the one way everybody is bitching about it's when they have steady 2 way runs and road guys sit at home. pay attention
 
1953randy said:
One thing that I've noticed at our barn anyway, is that high up city drivers will take volunteer days off either with, or without pay to let some of the "on call" lower drivers work. Don't know how often that happens on the road side.
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Some of us on the road side do it as well, I've got a short daytime run and I'll take a day off without pay to let others work. I also understand that for various reasons, some can't afford to take time off, and that's ok with me, but the ones who can generally do.
 
FXFC1620 said:
Let me put it this way, guys. If FedEx REALLY wanted to trade all the road men in for PT or even contractors, they would have done it AGES ago. FedEx is not deliberately replacing us, and there's no conspiracy. It's just cheaper to pay PT for a one way load than to pay us both ways to run empty in one direction and loaded in the other. I don't like it. Nobody does. But it's called business sense.
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Not saying they ever would...but I'd be ok if they went the contractor route. I'd buy as many bids that I could afford, (daytime/night time, long/short) and enough trucks to cover those runs, then hire the ones who couldn't afford to do the same to provide them with a job....while they made me money.

Of course, the application would include the question, "Have you ever voted YES for union representation?"
 
Redracer3136 said:
Not saying they ever would...but I'd be ok if they went the contractor route. I'd buy as many bids that I could afford, (daytime/night time, long/short) and enough trucks to cover those runs, then hire the ones who couldn't afford to do the same to provide them with a job....while they made me money.

Of course, the application would include the question, "Have you ever voted YES for union representation?"
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Have you ever owned a truck before ?
 
yrc-atm said:
says a contractor
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Says that player with no chips in this pot..........

Besides, your organization continues to insist over and over again that he is an "employee"........

Suppose it is whichever meets your agenda at any particular moment in time.......
 
aflifer said:
Says that player with no chips in this pot..........

Besides, your organization continues to insist over and over again that he is an "employee"........

Suppose it is whichever meets your agenda at any particular moment in time.......
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I never called him an employee.
 
FXFC1620 said:
Let me put it this way, guys. If FedEx REALLY wanted to trade all the road men in for PT or even contractors, they would have done it AGES ago. FedEx is not deliberately replacing us, and there's no conspiracy. It's just cheaper to pay PT for a one way load than to pay us both ways to run empty in one direction and loaded in the other. I don't like it. Nobody does. But it's called business sense.
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Yeah you're right until the use will turn into abuse and then it is business as usual or as they say "its the cost of doing good business"
 
FXFC1620 said:
Let me put it this way, guys. If FedEx REALLY wanted to trade all the road men in for PT or even contractors, they would have done it AGES ago. FedEx is not deliberately replacing us, and there's no conspiracy. It's just cheaper to pay PT for a one way load than to pay us both ways to run empty in one direction and loaded in the other. I don't like it. Nobody does. But it's called business sense.
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It seems to me, in this business climate, most companies make a decision to provide only a degree of quality that is just good enough.

There was a time when excellence and exceeding expectations was a key factor in success. Many of today most successful companies (not just FedEx) have determined the highest profitability comes from providing service and/or products that are "just good enough", at the target price point. Again, "good enough", but not too good.

Once upon a time, purchase transportation was viewed as a weak link in the chain. One worth avoiding, even at higher cost. We gained market share by being consistently better. Today, the market accepts a less remarkable product, in exchange for lower cost. Proof can be found in the success AND higher profit per shipment for our "economy" product as opposed to priority.

I'd expect that until/unless the market changes that P/T will increase if/when cost effective, since it has been determined to be "good enough".
 
joes bar and grill said:
it's not the one way everybody is bitching about it's when they have steady 2 way runs and road guys sit at home. pay attention
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I have been paying attention. And I have asked for definitive proof of steady 2 way runs in PT which hasn't been given. Seeing power units on the highway does not denote a two way run. In your own words, pay attention.
 
yrc-atm said:
says a contractor
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Did you not read the part where I mentioned that they use PT here, too? And FXFC was contractor only from even before Watkins bought us. It had nothing to do with FedEx. FedEx could've used Watkins as a way to weasel out of company drivers, but instead they went the other way. Try finding something useful to contribute to the conversation if you're going to post.
 
SwampRatt said:
It seems to me, in this business climate, most companies make a decision to provide only a degree of quality that is just good enough.

There was a time when excellence and exceeding expectations was a key factor in success. Many of today most successful companies (not just FedEx) have determined the highest profitability comes from providing service and/or products that are "just good enough", at the target price point. Again, "good enough", but not too good.

Once upon a time, purchase transportation was viewed as a weak link in the chain. One worth avoiding, even at higher cost. We gained market share by being consistently better. Today, the market accepts a less remarkable product, in exchange for lower cost. Proof can be found in the success AND higher profit per shipment for our "economy" product as opposed to priority.

I'd expect that until/unless the market changes that P/T will increase if/when cost effective, since it has been determined to be "good enough".
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Unfortunately, the only way we win over Purchase is through the hub-and-spoke system being highly effective at covering distances quickly. Hooking empties and paying us is expensive, paying Purchase for one way is considerably cheaper because FedEx only pays for the mileage one way between centers instead of both ways.

The economy thrives on who can get things done faster and cheaper, and whoever finds a better way is often quickly followed. Why? Because the consumer (that includes us, when we're off duty) wants to pay as little as possible and still get reasonable service quality. We all want cheaper gas, but if you were driving a gasoline tanker you wouldn't want to be paid less to accomplish that. So a middle ground of acceptability is found.
 
FXFC1620 said:
Unfortunately, the only way we win over Purchase is through the hub-and-spoke system being highly effective at covering distances quickly. Hooking empties and paying us is expensive, paying Purchase for one way is considerably cheaper because FedEx only pays for the mileage one way between centers instead of both ways.

The economy thrives on who can get things done faster and cheaper, and whoever finds a better way is often quickly followed. Why? Because the consumer (that includes us, when we're off duty) wants to pay as little as possible and still get reasonable service quality. We all want cheaper gas, but if you were driving a gasoline tanker you wouldn't want to be paid less to accomplish that. So a middle ground of acceptability is found.
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Interesting example. I considered hauling gas, at one time, 20ish years ago. The drawback: was pay was based on commission and I didn't like the idea of the same work paying varying amounts week to week.

I've often wondered, if over the years, with skyrocketing fuel cost, did their pay go through the roof? Are they suffering now that fuel cost are reduced currently? I wouldn't be surprised if their pay model was changed when it began to benefit those drivers. Are they now payed per load, rather than by value of the load. Just curious, since I could easily have gone down that road.
 
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