Changes at FedEx Custom Critical

[Deville]

When that Mexican guy told me you were local, i misunderstood his intentions.
Sorry.... ;(

I don't know what that means.

 

[davekc]

Would one of those perks happen to be a lifetime supply of COCO BUTTER?

It is a little better than that. I believe you get $150 every six months and .015 extra for paid miles. Program is for six month increments.
The coco butter is only for six months.

 

[zorry]

I don't know what that means.

Then we're good. LOL

I'm glad you do what you do. It means I don't get asked.

 

[cheri1122]

I don't have a dog in this fight, but this is what I see: when a carrier chooses to use independent contractors rather than employees, they free themselves of the many burdens of that relationship, [and expenses, and even liability, in some cases], and in return, they accept the risks: that independent contractors won't accept offers that don't meet their requirements.
The carriers that use various penalties to persuade the ICs to accept offers that don't meet their [the ICs] minimum standards are simply trying to have their cake and eat it too: all the benefits of independent contractors, but none of the liability.
It works for them, because the ICs need and want to work, and they'll accept lower pay sometimes, but it breeds resentment and ill will, not to mention insufficient income for the ICs, and that leads to turnover, and how does that improve things for anyone?

 

[zorry]

You all have a dog in this fight.
As our standards lower, so will the industry.

 

[davekc]

I don't have a dog in this fight, but this is what I see: when a carrier chooses to use independent contractors rather than employees, they free themselves of the many burdens of that relationship, [and expenses, and even liability, in some cases], and in return, they accept the risks: that independent contractors won't accept offers that don't meet their requirements.
The carriers that use various penalties to persuade the ICs to accept offers that don't meet their [the ICs] minimum standards are simply trying to have their cake and eat it too: all the benefits of independent contractors, but none of the liability.
It works for them, because the ICs need and want to work, and they'll accept lower pay sometimes, but it breeds resentment and ill will, not to mention insufficient income for the ICs, and that leads to turnover, and how does that improve things for anyone?

Most carriers only have a limited scope or vision on how they operate. How many times over the years have we seen carriers "spend a dollar to save a dime". And yet they still keep doing it. Just amazing sometimes.
If one is not trying to complicate the simple with expedite companies, it usually boils down to one side of a company are bean counters trying every which way to "screw the pooch", and the other side trying to figure out why they can't get people to stay and have to spend a fortune on recruiting.

 

[cheri1122]

You all have a dog in this fight.
As our standards lower, so will the industry.

In that sense, you're right - I meant that I didn't want to bash the Fed, especially.
The successful companies understand that in a contest of "us vs them", everyone loses. When each 'side' works to make the company successful [and profits accordingly], everyone wins.
Don't complicate the simple!

 

[zorry]

I try not to bash the Fed.
I really wish we weren't having this conversation.

 

[cheri1122]

You're not alone, Zorry, nobody likes feeling unappreciated. My hat's off to you for being willing to step up and try to resolve it - most just complain till they quit.

 

[roadeyes]

I was going to give an opinion but I need to ask a question first.

The contractors at the fed that are paid on a mileage rate, is that hub miles or not? What about those so called "load planners" that you were supposed to be working with to minimize dh and downtime etc. Was that just a marketing scam on the company's part to try and get their contractors to switch off of percentage?

Thanks.

 

[zorry]

You're not alone, Zorry, nobody likes feeling unappreciated. My hat's off to you for being willing to step up and try to resolve it - most just complain till they quit.

Thanks for the support.
While I'm not one to back away from a fight, look at the first post.

This is Phil's deal.
He's stepping up to bring all this info to the masses.

I won't begin to speculate why.

I pm'd him but I think he put me on ignore a year ago.

It's good to bring the info to the peeps and exchange ideas..

I'll thank him publicly for starting the thread.

 

[letzrockexpress]

You all have a dog in this fight.
As our standards lower, so will the industry.

If the Fed were the standard bearer you might be correct. It may have been just that at one time but today it is no more than one option in a sea of opportunity...

 

[ATeam]

I pm'd him but I think he put me on ignore a year ago.

You are not on ignore. Your message was received. I did not respond because you simply made a comment. No question was asked or request made that prompted a response.

 

[ATeam]

You all have a dog in this fight.
As our standards lower, so will the industry.

Once upon a time, there was Roberts and almost no one else. FedEx picked up Roberts and there was then FedEx Custom Critical and maybe a few others (including Express America which was later picked up by Landstar to become Landstar Express America).

Time marched on and many entered the industry. While FCC is one of the larger branded expedite fleets on the road, with about 1,400 trucks, it is dwarfed by the Sylectus virtual fleet that technology came to make possible and that includes over 10,000 trucks. FCC is today but one of many options shippers of expedited freight have and it has become more of a follower of industry trends than a leader. Indeed, the company recently announced that it was deepening its relationship with Selectus.

Today, two of the most significant trend setters and breakers of new ground are (1) the internet, and (2) the carriers and drivers who are putting those former yellow Penske trucks on the road.

While competition still exists in the high-value and high-quality sector of the expedite arena, and that market remains intact, FCC seems increasingly less committed to winning there. In recent years, it has developed a growing number of ways to take money off the trucks of the qualified contractors that are needed to consistently provide the high quality that shippers of high-value freight require.

The company has every right to move in that direction. It just leaves contractors who wish to define themselves as operators in the high-value market with a bit of a dilemma.

The whole point of equipping, credentialing and presenting yourself as a fully credentialed, high-quality operator is to realize the rewards that approach makes possible. But when your carrier of choice in on a proven, multi-year track to trim those rewards, what do you do?

Diane and I answered that question for ourselves in 2010 by leaving FCC for another carrier. It was a decision not easily made. We identified closely with the FCC brand and took great pride in wearing the uniform and sporting the brand on our truck. It mattered to us that we were part of that big FedEx company that stands as a valued company in America today.

But we also knew that identity and pride does not put food on the table. Money does. So we took the risk and moved to a carrier where we thought the money might be better. As it turned out, the money was better, but in that system, we had to redefine ourselves and change our behavior to be not only high-quality operators but also great marketers within the dispatch system our present carrier has.

To this day, we miss the identity and pride we once had in the FedEx brand. Our non-trucking friends, family and strangers all knew FedEx. It made it easy to explain our work when saying that we are part of a small division of FedEx that specializes in high-value and critical shipment freight. We enjoyed telling people that we don't do "absolutely, positively overnight" but do straight-through, up to 10,000 lbs. at a time.

We used to frequently hear and enjoy comments like "Look at that FedEx truck!" and "I've never seen a FedEx truck like that before." We hear none of that now.

With our present carrier, almost no one outside of trucking knows the brand. To non-truckers now, we are just another set of truck drivers, and mentioning our carrier's name does nothing to change that.

That took some getting used to, but it was worth it, because identity and pride do not put food on the table. Money does.

 

[layoutshooter]

" But when your carrier of choice in on a proven, multi-year track to trim those rewards, what do you do?"

Find something else to do. If the rewards to not justify the cost of equipment and the effort involved, it's time to go.

Business is business. We both know that many companies, not only expediting companies, run on short term profit models. Most will fail because of it. Most know that. They are taking out what they can get out, then they will leave the business.

The trick of us "little guys" is knowing when to stay and when to run.

Things will change back somewhat, when enough high dollar freight is lost to theft, due to indifferent drivers, spoilage, due to equipment being pushed past it's useful life to squeeze out a living etc. Then, a new idea, model, will take over. The demand is still there. The solution, however, will come too late for many out there today.

 

[Deville]

I try not to bash the Fed.
I really wish we weren't having this conversation.

I don't think this is a bashing thread at all.

 

[cheri1122]

I don't think this is a bashing thread at all.

There are those who would disagree, because any criticism is described [and dismissed] as bashing. It's just a different kind of 'blame the victim' strategy, is what it is.
Sometimes, I think the same applies to the term 'cherrypickers', in that it gets applied to some who turn down loads that simply don't pay enough.
We've ALL been dealing with costs that just keep going up, while rates don't, year after year, and it's getting harder to keep going with what amounts to a pay cut every year. People are getting anxious about continuing to even do the same with less money, because we don't see the end of the tunnel.
We're trying to stay positive, but it's getting harder to do. TeamCaffee says "find ways to cut expenses", as if we haven't been doing that for years now, right? There's only so much we can cut down & out. Saying "Work smarter" makes me feel stupid, because if I could, I would have already been doing it.
I'm not so much angry as scared for the future lately.

 

[ATeam]

TeamCaffee says "find ways to cut expenses", as if we haven't been doing that for years now, right? There's only so much we can cut down & out. Saying "Work smarter" makes me feel stupid, because if I could, I would have already been doing it.

Find ways to cut expenses is always good advice. But as you say, Cheri, there is a point below which we cannot go. While you can always cut expenses by skipping meals, buying used trucks instead of new, running your tires to the lowest possible wear point and moving into smaller sleepers, we're not out here to live like paupers or animals.

Reducing expenses is good advice. Other advice is to increase your revenue. Diane and I did that in 2010 when we left FCC for Landstar Express America. The move was prompted when we saw revenue dropping at FCC because of its new preferential dispatch policies.

 

[HighwayRover]

Like most business today, FedEx follows a model that incorporates hard lines that do not get crossed. Their profit is engineered into their matrix and they will always show a profit when they hit their expected volume. If O/O s used the same business tactics the low paying loads would never get delivered. Instead, we have an apparent endless supply of new and unwitting o/o s, that have yet to understand the system, and step up to run these unprofitable loads. Anyone who suggests that economizing on their overhead and expenses can compensate is following a path to disaster.

I'll cut my quality of life when it's my choice and to help friends and family. Making my own coffee while on the road is actually a pleasure but, when on a time critical run, is not always practical.

Running tires to the last bit of tread is a safety issue for me. The tire guys really love it when I show up for a new set and leave a useable set for them to resell. I use Lucus stabilizer and stretch my oil changes to approx 7000 miles. There are only a few things we can do to cut expense before we as o/o' s are then subsidizing the profits of our carriers with the wear-and-tear of our equipment. How many o/o s, plan far enough ahead to cover the down payment on their next truck? I've met too many folks who made bad choices and now a running trucks that should have been retired years ago. Many of the owners can't afford to get out of the truck! Where did all the equity go? It's not in their pockets! Most likely a carrier used it up by selling cheap freight to o/o.

I don't know about the rest of you but I can not afford to subsidize a company that has annual revenues exceeding $42 billion.

There is an answer. Just say no to cheap freight!

 

[zorry]

This am we came out of the shower, both drivers off duty.
We moved the truck about 60 feet when it was announced that I had 3 mins to go to sleeper or I would be put on duty to avoid a passenger rule violation.
Is releasing the parking brake triggering on duty ?
What happened to the 1/2 mile or so of freedom?

Time to read George Orwell's book again.