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it kind of did ...
FedEx Freight | Q-2 Earnings - Bonus numbers - Wait for it...
- Thread starter SwampRatt
- Start date
it kind of did ...
Nope. No bonus because they had to pay claims on all those 100's of packages a FedEx Ground contractor through in the woods in Alabama!
silent trucker
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Sent out Friday to city drivers in several centers.
Streaker69
The Influencer
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Sent out Friday to city drivers in several centers.
I didn't get paid for November 31st... What a ripoff!
IrishRocket
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I asked our dispatch about it prior to this and got a deer in the headlight look lolSent out Friday to city drivers in several centers.
Crazy Trucker
Busting Clowns daily!!!!
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Sounds like silent trucker has a decent manager.
silent trucker
TB Veteran
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No. My yard uses the Schultz defense "I know nothing". That picture is from several other yards.
Crazy Trucker
Busting Clowns daily!!!!
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Could have gone either way.
The Nature Boy
16 Time World Champion
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That’s a nice bonus. It’s a shame some drivers minds are so feeble and diseased that they’ll cry, find fault, and criticize it. Even though my knees are starting to hurt from carrying this company on my back, I never thought we’d ever see that 4.5%.
IrishRocket
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I'll take any extra $$$. May not be Fred Smith type of bonus but we earned it!!! We've worked nonstop through CoVid with no hero pay/bonuses!!! Is it still gonna be paid 3rd week of January?
Crazy Trucker
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Got any other breaking news from last week?
stay tuned!
Ground has nothing to do with our bonus! Who gives a :
: about ground
A couple of interesting bits of info from the earnings report. Things we might otherwise never know. NOT getting into "express" or "ground". Just Freight, and just a little bit of that.
Source: https://s21.q4cdn.com/665674268/fil...2/q2/52a1779c-aeda-41dc-b482-215d2c35d2e0.pdf
"In the second quarter of 2022, we incurred a pre-tax, noncash MTM net loss of $36 million related to the U.S. FedEx Freight Pension Plan. During the second quarter of 2022, 21% of FedEx Freight employees elected to move from the current pension/401(k) benefit structure to the new 401(k)-only structure with a higher company match effective January 1, 2022. The $36 million net loss consisted of a $75 million MTM loss due to a lower discount rate, partially offset by a $39 million curtailment gain."
Interesting that average revenue per shipment is always higher for ECONOMY than Priority. I know there are several factors at play - weight per/length of haul, etc., but still significant.
Source: https://s21.q4cdn.com/665674268/fil...2/q2/52a1779c-aeda-41dc-b482-215d2c35d2e0.pdf
"In the second quarter of 2022, we incurred a pre-tax, noncash MTM net loss of $36 million related to the U.S. FedEx Freight Pension Plan. During the second quarter of 2022, 21% of FedEx Freight employees elected to move from the current pension/401(k) benefit structure to the new 401(k)-only structure with a higher company match effective January 1, 2022. The $36 million net loss consisted of a $75 million MTM loss due to a lower discount rate, partially offset by a $39 million curtailment gain."
Interesting that average revenue per shipment is always higher for ECONOMY than Priority. I know there are several factors at play - weight per/length of haul, etc., but still significant.
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"FedEx Freight revenue increased 17% in the second quarter and 20% in the first half of 2022 primarily due to higher revenue per shipment and increased average daily shipments."
FedEx Freight Segment Operating Income
"FedEx Freight segment operating income increased 33% in the second quarter and 38% in the first half of 2022 driven by continued focus on revenue quality and cost management.
Higher purchased transportation costs, network inefficiencies, and higher wage rates as a result of constrained labor market conditions negatively affected results in the second quarter and first half of 2022.
Salaries and employee benefits expense increased 12% in the second quarter and 14% in the first half of 2022 primarily due to higher volumes, network inefficiencies and higher labor costs in the constrained labor market, increased utilization of healthcare benefits, and merit increases.
Purchased transportation expense increased 17% in the second quarter and 27% in the first half of 2022 primarily due to the challenging labor market resulting in increased utilization of third-party service providers, as well as higher fuel surcharges and rates.
Fuel expense increased 63% in the second quarter and 82% in the first half of 2022 primarily due to increased fuel prices. The net impact of fuel had a moderate benefit to operating income in the second quarter and first half of 2022 as higher fuel surcharges outpaced increased fuel prices. See the “Fuel” section of this MD&A for a description and additional discussion of the net impact of fuel on our operating results."
No mention of the BENEFIT of employee retention that these increased (salaries) costs impacted. Also worth noting, As a percentage of revenue, the cost of "salaries and benefits", among other things, went DOWN. Huge revenue gains tend to do that.
FedEx Freight Segment Operating Income
"FedEx Freight segment operating income increased 33% in the second quarter and 38% in the first half of 2022 driven by continued focus on revenue quality and cost management.
Higher purchased transportation costs, network inefficiencies, and higher wage rates as a result of constrained labor market conditions negatively affected results in the second quarter and first half of 2022.
Salaries and employee benefits expense increased 12% in the second quarter and 14% in the first half of 2022 primarily due to higher volumes, network inefficiencies and higher labor costs in the constrained labor market, increased utilization of healthcare benefits, and merit increases.
Purchased transportation expense increased 17% in the second quarter and 27% in the first half of 2022 primarily due to the challenging labor market resulting in increased utilization of third-party service providers, as well as higher fuel surcharges and rates.
Fuel expense increased 63% in the second quarter and 82% in the first half of 2022 primarily due to increased fuel prices. The net impact of fuel had a moderate benefit to operating income in the second quarter and first half of 2022 as higher fuel surcharges outpaced increased fuel prices. See the “Fuel” section of this MD&A for a description and additional discussion of the net impact of fuel on our operating results."
No mention of the BENEFIT of employee retention that these increased (salaries) costs impacted. Also worth noting, As a percentage of revenue, the cost of "salaries and benefits", among other things, went DOWN. Huge revenue gains tend to do that.
Last one. It doesn't even apply to freight but it's interesting, when considering past discussions on the topic.
"...related to amendments to the TNT Express Netherlands Pension Plan. Benefits for approximately 2,100 employees were frozen effective December 31, 2020. Effective January 1, 2021, these employees began earning pension benefits under a separate, multi-employer pension plan. This $52 million net loss consisted of a $106 million MTM loss due to a lower discount rate and a $54 million curtailment gain"
"...related to amendments to the TNT Express Netherlands Pension Plan. Benefits for approximately 2,100 employees were frozen effective December 31, 2020. Effective January 1, 2021, these employees began earning pension benefits under a separate, multi-employer pension plan. This $52 million net loss consisted of a $106 million MTM loss due to a lower discount rate and a $54 million curtailment gain"
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