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While UPS furloughs, FedEx grows

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Old 06-25-2010, 07:22 AM
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Default While UPS furloughs, FedEx grows

As UPS is furloughing, here's what FedEx's CFO said today in the Wall St. Journal:

"We're seeing global commerce expand and as a result we want to be very aggressive in our international expansion. We're back on the offensive."

Interesting contrast...
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Old 06-25-2010, 08:14 AM
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Pri 3,
Interesting.

UPS currently has a penny pincher at the top. That is the atmosphere he has created as a leader. Its in every department at Brown. Companies that reduce costs and cut corners normally end up losing big time in the end game.

This could be bad news for UPS long term. They are losing ground that they may never be able to break into (insert Gummer commment here). The rumor is FedEx is make HUGE purchases on the 777 (300F and 200). It really makes you scratch your head.

Hope I am wrong. Even though I got a reprieve till July, I want everyone still working and everyone on furlough to have a job, to have or come back to.
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Old 06-25-2010, 08:28 AM
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Originally Posted by JustUnderPar
Pri 3,
Interesting.

UPS currently has a penny pincher at the top. That is the atmosphere he has created as a leader. Its in every department at Brown. Companies that reduce costs and cut corners normally end up losing big time in the end game.

This could be bad news for UPS long term. They are losing ground that they may never be able to break into (insert Gummer commment here). The rumor is FedEx is make HUGE purchases on the 777 (300F and 200). It really makes you scratch your head.

Hope I am wrong. Even though I got a reprieve till July, I want everyone still working and everyone on furlough to have a job, to have or come back to.
Your getting pretty close to figureing it all out Justunderpar! S. D. Is the Manchurian Candidate for Fredex! Fred is going for the jugler and while the Fatcats in Atlanta all slap each other on the back in Atlanta for just surviveing the Great Recession, Fredex will be toasting to THRIVEING on the great UPS dope a rope! Its been said on here before somewhere else, but UPS without an airline is only a 15dollar stock.
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Old 06-25-2010, 09:37 AM
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This is nothing new at UPS. How much business did UPS lose during the Teamster's strike in 96? UPS allowed that to happen just to prove who was in control, even though they ended up giving the Teamsters almost everything they wanted. The lengths this place will go just to prove a point is almost sickening.
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Old 06-25-2010, 10:27 AM
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Need to cut costs. Fine.
Need to get more out of your employees. Fine.
Furlough employees. Union employees that is. While not reducing one management person. Pilots. Mechanics. Drivers. Makes you wonder????? ***!!

We had a pilot request another meal because the layover location, nothing was open at 3 am. Imagine that. Just wait till 6 am when something opens? Oh wait. I cannot keep my eyes open because I have been up all night. I have a flight to operate in 10 hours..........The response he got was he was going to put UPS out of business by requesting another meal. So ask yourself this. If you have people at that level thinking like this, what other types of "short cuts" are being taken to save a buck??

To save money is a smart thing to do but when, you are giving yourself lavish pay raises(i.e. the BOD and CEO). Something smells.

Cost, Service, Safety. In that order is what I have heard numerous times from instructors in Anchorage. Louisville as well.

I just dont think the house of cards that is being built will last long with this type of thinking.
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Old 06-25-2010, 10:39 AM
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UPS is a huge company that has been around for a long time & will continue to be around for a long time. They are very good at what they do or else they would be gone by now. Are they losing market share & how will present day decisions be reflected in the future? Who knows. Many legacy passanger carriers are gone or have merged. I believe UPS will have to step on it big time to be gone in 5 or 10 years. Not that it can't happen but I would not bet on it.
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Old 06-25-2010, 11:35 AM
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Gone in 5 to 10 years? You're kidding right? This place has money buried in places we can't even imagine. The conservative nature of this company is unbelievably frustrating to pilots especially, we'd want massive growth even if we were losing billions. UPS doesn't want growth in the cargo segment, they specifically told us during new hire training that they were in the small package business. I don't think they want mil charters either, too much of a hassle. They'd rather just wait for the world to end, and when it doesn't in 2 or 3 years, they'll come to the conclusion that they need exactly 5 new airplanes. Is this place going out of business, nope. Will they continue to irritate employees, yep. Lose a few businesses, yep. Get those businesses back if they really wanted to, probably.
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Old 06-25-2010, 12:55 PM
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Originally Posted by GOFRTRS
UPS is a huge company that has been around for a long time & will continue to be around for a long time. They are very good at what they do or else they would be gone by now. Are they losing market share & how will present day decisions be reflected in the future? Who knows. Many legacy passanger carriers are gone or have merged. I believe UPS will have to step on it big time to be gone in 5 or 10 years. Not that it can't happen but I would not bet on it.
In this business? You bet your arse it can happen. How many people thought Eastern would never go away? Or Pan Am, TWA, Braniff, etc.? Hell I remember guys thinking in the 90's that United was the end all, be all. United ever lay off or file for bnkrpsy (lame abbreviation because I can't spell)? Unthinkable at the time.

Here today, gone tomorrow.

Not that I have a dog in this fight, but I feel really bad the way the UPS guy on the bottom have been jerked around. Sorry about yoru plight JUP, and all the other guys that probably figured they had arrived when you were offered a Brown job.
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Old 06-25-2010, 01:07 PM
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I don't think that you UPS'ers (you pilots anyway) have anything to worry about relative to your company going out of business, because they have more reserve cash than the Vatican. However, that said, I'd caution you to differentiate between the UPS Ground operation and your Air side, because from what has been happening to you, I'd not bet the farm that UPS Air will continue at it's current or former size. However, I believe the company is as strong as any US company, bar none. So hopefully if you can continue to put up with all the grief your company heaps on you, you should be able to finish out your careers there. If that's what you want.

JJ
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Old 06-25-2010, 01:19 PM
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Originally Posted by StrikerZ
Your getting pretty close to figureing it all out Justunderpar! S. D. Is the Manchurian Candidate for Fredex! Fred is going for the jugler and while the Fatcats in Atlanta all slap each other on the back in Atlanta for just surviveing the Great Recession, Fredex will be toasting to THRIVEING on the great UPS dope a rope! Its been said on here before somewhere else, but UPS without an airline is only a 15dollar stock.
Davis is a Gordon Gecko wannabe and two bit greenmailer, little more. One of our few hopes is that there is a coup in the inner circles of the old school brown loyalists, and they arrange an old fashioned one-way sedan ride to the Jersey marsh.

Either that or they are betting on a double dip recession, which would **** in everyone's rice crispies...big time.
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