Originally Posted by
PurpleToolBox
Fred Smith was asked why keep Express and Ground/Freight as separate companies. He gave what I thought was a BS answer. But the analyst said it would bring a lot of savings to FedEx.
I wonder if that is what they're examining? UPS's airline is much smaller than ours and I don't think they haul much less than we do.
That's the gist of what the analyst are complaining about. One driver for UPS will typically stop once or twice at a location - early for the next day air packages and later on for the 2 day/ground packages while the same location may see several different FedEx drivers. The UPS model is much more integrated and efficient, but also highly unionized. UPS Teamsters are one of the largest unions the country.