Flat rate???

cannedmeat27

Expert Expediter
I just got off the phone with my coordinator. I was told the flat rate will only affect the surface fleet. It will not change the percentage contracts that the wg fleet have.
 

zorry

Veteran Expediter
Surface guys just have to put a pencil to it and see how it compares to last years numbers to see how good or bad it really is.

If the truck takes a hit, the % drivers take a hit.
Will it be harder to keep better drivers ?
 

layoutshooter

Veteran Expediter
Retired Expediter
Joe, go get your broker's license. I want to put 3 $printers on with you as soon as you develop that freight base.

Nope! IF I get out of expediting I am NOT going into ANY part of the freight/transportation business.
 

jjoerger

Veteran Expediter
Owner/Operator
US Army
It looks like we will have to keep our deadhead down to about 18% or less and really watch where we go. No freight dead zones. No long deadhead to pick up. A nickel more for WG? I am envisioning my acceptance rate going down.
We sure will miss getting that really good paying run once in awhile.
Thinking about changing my name to Ben Dover.
 

layoutshooter

Veteran Expediter
Retired Expediter
Surface guys just have to put a pencil to it and see how it compares to last years numbers to see how good or bad it really is.

If the truck takes a hit, the % drivers take a hit.
Will it be harder to keep better drivers ?

Only if you want drivers that speak 'Merican.
 

zorry

Veteran Expediter
It looks like we will have to keep our deadhead down to about 18% or less and really watch where we go. No freight dead zones. No long deadhead to pick up. A nickel more for WG? I am envisioning my acceptance rate going down.
We sure will miss getting that really good paying run once in awhile.
Thinking about changing my name to Ben Dover.

The .75 plus fsc is so you'll take long deadheads. You gonna goof on their plan ?
 

jamom123

Expert Expediter
Well i'm solo in a S/T, it won't take me long to figure out if this is going to hurt me. I have a feeling it's not going to be beneficial.

Sent from my SCH-I510 using EO Forums mobile app
 

zorry

Veteran Expediter
Since they redid our contracts, don't most have a year plus before they have to experience the new program ?
 

NTHEWIND

Seasoned Expediter
Just to give some FYI and food for thought. In 1986 my wife and I leased on with a United Van Lines Agent to be on a mileage fleet and haul a special trailer with an overhead crane. Our pay back then was $1.05 ALL DISPATCHED miles plus a handling fee. The best I remember we averaged $1.35-$1.45 back then.
 

LDB

Veteran Expediter
Retired Expediter
If a shipment’s loaded and unloaded miles add up to less than $175, then you will get $175.

If a shipment’s loaded and unloaded miles add up to more than $175, then you will get $250.

If a shipment’s loaded and unloaded miles add up to more than $250, than you will get that amount.


OK, if the total adds up to $174.83 you get $175.
Why not make it simpler? You get the greater of $250 or the actual total based on miles and fsc.

That will solve even more of their 30-100 customers per day rejection because it's pretty likely they're getting turned down because they don't pay enough.
 

aimeejos

Active Expediter
Zorry- If you stay on the percentage plan until your contract expires you take the run as offered- there is no negotiating at all. I think the issues fedex will face is refusal of loads due to high deadhead milage, refusal of loads going into deadmans zones and refusal of short milage loads.
 

zorry

Veteran Expediter
Zorry- If you stay on the percentage plan until your contract expires you take the run as offered- there is no negotiating at all. I think the issues fedex will face is refusal of loads due to high deadhead milage, refusal of loads going into deadmans zones and refusal of short milage loads.

Ok, I missed that. If bad load, and you say NO, FedEx hasn't gained anything. They lose the load, where now, for an extra $100 or so it may have gotten covered.

This will be interesting......
 

Daffyduck528

Expert Expediter
Zorry- If you stay on the percentage plan until your contract expires you take the run as offered- there is no negotiating at all. I think the issues fedex will face is refusal of loads due to high deadhead milage, refusal of loads going into deadmans zones and refusal of short milage loads.

This is exactly how we determined to take a load when we were flat rate with expediter services. It's also what we plan to do starting in June.
 

interstategar

Veteran Expediter
Yes its a fact starting in June. Your owner can print you out the new rates for all units. It doesn't include White Glove units.
 

jamom123

Expert Expediter
They say there having to tell between 30 and 100 customers a day they can't haul their load because everyone said it didn't pay enough. What makes them think this is going to make it better, the pay will be even worse.

Sent from my SCH-I510 using EO Forums mobile app
 

interstategar

Veteran Expediter
Not sure about the extra $100. They reduce the minimum pay from 150 to 115-135. New B units get .80/mi instead of .85. Luckily I just replace my unit this Jan so I will get .85/mi loaded. The DHPU is still only .15 per mile. The change is you get paid for all DHPU miles. They say they will pay tolls for all authorized miles. I'm still going to limit how far I will go for a pick up and the loaded mile ratio. It doesn't pay to wear out my van for .15/mi. I think in the long run Fedex will be better off, the owners and drivers maybe some of the time. I hope the company gives us back the info if they have covered more loads with this change.
 
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