Originally Posted by
Spur
He is misinterpreting "Gross Profit". Google it. For FedEx it is essentially gross revenue. You have to subtract operating expenses, taxes, and interest to get net income, which is what most of us think of when we hear "profit."
As far as operating under part 117, I agree. Now we have a target for scheduling improvements in the CBA
Actually "He" is not misinterpreting anything. 'Gross Profit' is used in finance to measure how effectively management uses labor in the production cycle. This is a labor issue isn't it. The rule changes will impact this effectiveness. However, when you compare a FedEx annual cost of $10 to 15 million to implement the rule changes vs. a $30 billion plus GROSS PROFIT it seems quite small. Something a few cent increase in shipping cost could possibly pay for.