Posted by: froglog
This was posted on an industry forum:

After 233 years of managing a government-protected monopoly, reality has struck the post office. The Federal Times is reporting that "Postmaster General John Potter told union leaders that as many as 16,000 employees" could be laid off.
A Postal Service spokesperson said layoffs are not imminent. But that's only because the union contract makes layoffs difficult. An absence of urgency should not be taken as a sign of health.
"We lost $2 billion and, like any other business, we have to stay afloat," said Lavelle Pepper, a post office representative from Shreveport, La., putting the problems of the USPS, which has recorded even worse losses in the past, in clear perspective.
The Postal Service employs 685,000 workers who are handling a diminishing volume of mail as domestic industry leaders such as FedEx and United Parcel Service provide better services and do it with less. While the USPS squanders 80% of its revenue on payroll, UPS spends roughly 55% of its income and FedEx about 40% on wages and salaries.
FedEx pilots are unionized, and UPS employs more Teamsters than any other company. But the postal workers unions have to be the most powerful unions in history. To force the Postal Service, which was ostensibly severed from the federal government and turned into a private business, to burn eight of every 10 incoming dollars for employee salaries is a remarkable feat.
Then, maybe that's routine for unions that have the strength to extract from management a contractual no-layoff clause for all members, save for about 16,000 at the bottom of the seniority list.
If the story of a business strangled by organized labor sounds familiar, consider the problems at heavily unionized General Motors and Ford, and past problems at labor-dominated Chrysler. One, two, or perhaps all three, of those automakers might soon be brought down after decades of entering into foolish union contracts they are straining to fulfill.
Like those companies, the USPS has been unable to keep up. Electronic bill-paying and Internet correspondence, along with competition from private shipping companies that dominate the parcel market, have made post office customers long for the Pony Express.
What the Postal Service needs is an updated mission, full privatization and a leaner work force. Its days of operating as a charity for the benefit of its employees must be cut short.
Posted by: froglog
As of January 30th, DHL will be gone from the US market. This was reported to Freight88 by one of the 3PL's that use our rate engine.

9500 will be without jobs and several companies are switching over to FedEx and UPS to sustain their customer base.

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Posted by: froglog
FRANKFURT, Germany (AP) -- German mail and logistics company Deutsche Post AG will cut 9,500 jobs at its DHL unit in the U.S. and eliminate U.S.-only domestic express shipping by land and air, the company said Monday, citing heavy losses and fierce competition.

View 79 page PDF about restructuring plan here

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Posted by: froglog
REDROLLER, INC. filed for chapter 11 bankruptcy on September-17-2008 listing an estate with assets of $1,000,001-$100,000,000 and liabilities of $100,001-$1,000,000.

Here is a list at a few of the docket items in the case (Subscribers can see the entire up-to-the-minute docket and access all filed documents):

Sep-17-2008, 5 Motion to Pay Pre-Petition Payroll Filed by James Berman on behalf of RedRoller, Inc., Debtor. (Attachments: # 1 Proposed Order) (Berman, James) (Entered: 09/17/2008)
Sep-17-2008, 4 Motion to Use Cash Collateral Filed by James Berman on behalf of RedRoller, Inc., Debtor. (Attachments: # 1 Exhibit # 2 Proposed Order) (Berman, James) (Entered: 09/17/2008)
Sep-17-2008, 3 Application to Employ Zeisler & Zeisler, P.C. as Attorney for Debtor Filed by James Berman on behalf of RedRoller, Inc., Debtor. (Attachments: # 1 Exhibit Affidavit# 2 Proposed Order) (Berman, James) (Entered: 09/17/2008)
Sep-17-2008, 2 Statement of Corporate Ownership Filed by James Berman on behalf of RedRoller, Inc. Debtor,. (Berman, James) (Entered: 09/17/2008)
Sep-17-2008, 1 Chapter 11 Voluntary Petition. Incomplete Filings due by 10/2/2008. Chapter 11 Plan due by 1/15/2009. Disclosure Statement due by 1/15/2009. Filed by RedRoller, Inc.. (Berman, James) (Entered: 09/17/2008)

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Posted by: froglog
Teamsters Nearing Goal of Representing 12,600 Workers

WASHINGTON, May 23 /PRNewswire/ -- In four months, more than 11,000 UPS Freight drivers and dockworkers in 40 states have signed cards to become Teamsters, the largest organizing victory in the freight industry in 25 years.

More than 9,900 of these workers have already ratified a new contract which improves wages, benefits and working conditions. The Teamsters won card- check agreement from UPS in December 2007, and began collecting cards from UPS Freight (formerly Overnite Transportation) workers on January 16, 2008.

Continued
Posted by: froglog
Purolator USA, the small-package and freight forwarding subsidiary of Canada's largest integrated distribution services company, has announced the opening of a new regional processing facility. The new branch is located in Grapevine and services businesses that ship regularly to Canada and within the U.S.

The Grapevine facility includes 7,000 square feet, and is located in close proximity to the Dallas-Ft. Worth airport. Branch Manager Mark Feeney notes that proximity to the airport is a key advantage because "the airport is a vital link for all freight movement into and out of this region." According to Feeney, freight arriving at the new facility can be quickly processed and loaded - either for air transit or ground, depending on its final destination.

Continued
Posted by: froglog
By : Art Gib
FedEx has been under the a few strains lately. Not only have they been pressured from unions and employment lawyers who question their tactics on how they separate the private business franchise model with the compensation they provide, but also several discrimination suits that are individual and class-action. Currently a major case launched by a Houston employment lawyer and their client, Derosher Price, has ended with a nearly 3 million dollar ruling for the plaintiff.

According to the testimony, price was passed over a promotion for his security job in 1999. Back then, Price attempted to sue FedEx on discrimination charges but the case was later dismissed and lost when he tried to appeal in 2002. Price sued them over race discrimination and believed that the promotion was passed over because his superiors harbored negative racial feelings against him.

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Posted by: froglog
ABX Air Inc. told investors Monday that its hub services agreement with DHL will be renewed for another year.

The accord, which calls for the subsidiary of Air Transport Services Group Inc. (NASDAQ: ATSG) to manage the express delivery company's 16 U.S. sorting centers, automatically renews yearly unless either company notifies the other 90 days before an Aug. 15 deadline that it intends to end the agreement. ABX Air, based in Wilmington, has been handling sorting, maintenance and logistics work for DHL under the accord since 2003.

Posted by: froglog
Strength in high-tech US manufacturing and the globalization of the market has helped the US avoid a recession, with its exports being driven by a weak dollar, FedEx CEO Fred Smith told the Financial Times today. And, he said, as emerging economies continue to grow, so will US exports, even if the dollar rebounds.

“Were it not for US exports, the country would be in a significant recession right now,” Smith said. Analysts agree, saying near-record export activity could increase the US GDP up to half a percentage point in the first quarter. Smith also attributed increasing globalization to the growth of electronic commerce.

HERE
Posted by: froglog
United Parcel Service Inc. is going to spend $16.5 million to double the size of its facility in Ft. Myers, Fla., so it can keep up with growth in southwest Florida.

The Atlanta-based package shipper (NYSE: UPS) said it plans to expand an existing sorting facility by about 30,000 square feet and will add a modern UPS customer counter to handle customer shipping needs. UPS will upgrade loading and unloading technology to increase the facility's sorting capacity from 6,000 pieces an hour to 13,000 an hour.