FedEx May Cut Jobs, Add Fewer Stores and Park Planes

[Browntothebone]

Actually, people are still sending boxes, and lots of them. The problem is that they are not paying the price to send them by NDA. Instead, they are paying lower prices to send em on the ground by truck.

What's NDA?

 

[mule]

NDA = Next Day Air

 

[jmreii]

Thanks for the lesson in Capitalism 101.

FedEx has always tightened down the ship in downturns. Cost Control becomes even more important when revenue becomes threatened.

On another note, I know of no other Company that has taken as good of care of their people since inception. Case in point, when Flying Tigers was purchased, they could have hacked and whacked many jobs. Instead, everyone was offered employment if they were willing to relocate. For a while, there was overstaffing, but over time, normal attrition and then growth brought balance back to staffing.

Belt tightening, although sometimes necessary, is also a symbolic gesture that builds Investor confidence in a downturn. By belt tightening, the market value of stock can be protected to some degree, preventing a sell-off because a lack of confidence in Corporate financial discipline. The CEO's mission is to build/protect stock value, which increases net worth over time. Cost Control discipline and intiatives are critical when Investors get jittery.

All of your points are valid and factual. I do believe Fredex will do whatever it can to preserve jobs without unnecessary losses. When Tigers was acquired that was a completely different era and I doubt very seriously you will see another acquisition at Fredex that comes with a union.
At this point in time Fredex is wrestling in court with Uncle Sam about and how it is using contractors. Inquiring minds want to know.
Freddie's plate is pretty full right now. Peace!

 

[rajflyboy]

contrail/raj- stfu, it's boring.

Not as Boring as flying a 40 year old BOX at 3AM