Changes to Deadhead to Planned Layover

[jjoerger]

From the April 5th, 2013 Fleet Bulletin:

"FedEx Custom Critical will be making changes to the way it offers deadhead to planned layover (DHPL) options. Currently, the company offers DHPL options under which it compensates contractors to the exact center point of an Express Center. Starting April 15, FedEx Custom Critical will offer DHPL options under which it will compensate to the outer edge of the 25-mile radius around that Express Center.

The company is making these changes to ensure we are paying the miles we are actually asking contractors to drive. The new DHPL options more accurately reflect where contractors drive."

 

[LDB]

So basically all dhpl will now be 25 fewer miles than before.

 

[DryRun]

Note that while the original arrangement paid Deadhead (DH) minus 50 miles, plus fuel surcharge (FS) for ALL miles, the new policy pays DH minus 75 miles and FS is paid for DH miles minus 25 miles.

Effective April 15.

 

[piattteam]

Couple scenarios.
1.) You are on the south of Los Angeles and DHPL to L.A., paid to southern city limit. You stop about 40 miles south of the city limits (within the 50 mile range). You then accept a load that picks up 150 miles south of the southern L.A. city limits. Does you DHPU miles include the 40 miles you were south of the city limit? Or, from your actual location?

2.) Same as above except the load you accepted is 150 north of the city limits. Do you get paid DHPU miles from your actual location or the southern city limits. OR!!!!!!!!!!!!!!!!!! Does your starting location now jump to the NORTHERN MOST point of the city limits???!!!

If scenario #2 is the case, how long before we revert back to the city limit to city limit mileage type of pay!!??

With todays GPS technology, all dispatched miles need to be paid.

 

[DryRun]

Couple scenarios.
1.) You are on the south of Los Angeles and DHPL to L.A., paid to southern city limit. You stop about 40 miles south of the city limits (within the 50 mile range). You then accept a load that picks up 150 miles south of the southern L.A. city limits. Does you DHPU miles include the 40 miles you were south of the city limit? Or, from your actual location?

2.) Same as above except the load you accepted is 150 north of the city limits. Do you get paid DHPU miles from your actual location or the southern city limits. OR!!!!!!!!!!!!!!!!!! Does your starting location now jump to the NORTHERN MOST point of the city limits???!!!

If scenario #2 is the case, how long before we revert back to the city limit to city limit mileage type of pay!!??

With todays GPS technology, all dispatched miles need to be paid.

Excellent points, piatteam.

I would expect that the default answer is the one that nets FECC the most revenue. IE, shippers north of the city would fall under the northern 25 mile radius, southern shippers the southern radius.

I find the policy to be ultimately self defeating for both FECC and their contractor/drivers. The "nickle and dime you to death" policies might help the corporate bottom line on a short term basis, but at what price in the long term to whatever good will remains towards the fleet. Covering loads, especially the ones that fall under discount agreements will only get harder for dispatchers if the truck being offered the load takes time to figure out how much the new policy affects his/her bottom line.

If any company does something because it CAN, ethical decisions fall to the wayside. In this case, contracting a truck under one tariff/policy, and then arbitrarily tweaking the tariff/policy without regard to the previous agreement is not ethical, contractually or not. (Anyone putting equipment on in 2008 just prior to the 2009 tariff "tweak" knows of which I speak.)

I suggest that a polite call to your CC might not change things re this new tariff, but perhaps the next time they decide to support the shareholders on our backs, they pause before making the final decision if enough people give voice to their disgruntlement.

When I contacted my CC to calmly and politely express my feelings, I was told, "Don't take it personally."

I wonder what my other option is.....

 

[TeamCaffee]

Couple scenarios.
1.) You are on the south of Los Angeles and DHPL to L.A., paid to southern city limit. You stop about 40 miles south of the city limits (within the 50 mile range). You then accept a load that picks up 150 miles south of the southern L.A. city limits. Does you DHPU miles include the 40 miles you were south of the city limit? Or, from your actual location?

This is how I guess the pay will turn out:

DHPL - Paid to the southern outer edge of LA. When you stop you will be checked into the express center.
DHPU - Will start from actual location.

I think the above scenario will apply to both of your examples.

2.) Same as above except the load you accepted is 150 north of the city limits. Do you get paid DHPU miles from your actual location or the southern city limits. OR!!!!!!!!!!!!!!!!!! Does your starting location now jump to the NORTHERN MOST point of the city limits???!!!

If scenario #2 is the case, how long before we revert back to the city limit to city limit mileage type of pay!!??

With todays GPS technology, all dispatched miles need to be paid.

I agree that the actual miles should be from address to address.

These new changes are another good reason to know what we really need per mile to make money. I keep all of our miles in a spreadsheet and I also keep track of uncompensated miles. With this new change there is even more reason to know these numbers and take loads that meet our needs.

 

[TeamCaffee]

When I contacted my CC to calmly and politely express my feelings, I was told, "Don't take it personally."

I wonder what my other option is.....

​That is funny and I think someone was not thinking when they made that comment.

 

[runrunner]

From the April 5th, 2013 Fleet Bulletin:

"FedEx Custom Critical will be making changes to the way it offers deadhead to planned layover (DHPL) options. Currently, the company offers DHPL options under which it compensates contractors to the exact center point of an Express Center. Starting April 15, FedEx Custom Critical will offer DHPL options under which it will compensate to the outer edge of the 25-mile radius around that Express Center.

The company is making these changes to ensure we are paying the miles we are actually asking contractors to drive. The new DHPL options more accurately reflect where contractors drive."

They have to pay for that Re Branding some way! LOL