You’d think Fedex pilots would be a little more humble given that Fedex was struggling despite one of the best years in the stock market in 2019. Furthermore, Fedex has depressing returns and continues to miss earnings compared to UPS, your closest competitor. At one point last year UPS was up 10% and FDX down 30%!

It seems you guys are almost proud that you aren’t the only ones struggling.

 

I think you’re reading too much into his comment. Many of us came to FedEx because it offered relative stability historically as compared to the boom and bust cycle of the passenger carriers.

Some reasoned with the original poster that these things happen. I don’t think anyone saw this (COVID-19) coming and certainly even a week ago the negative impact didn’t seem as drastic as it does today.

FedEx isn’t out of the woods but we aren’t drawing down our fleet in large numbers yet. No one is happy to see any other company struggling. It just seemed to me like an observation to the OP. It’s been a long few weeks and days for everyone, I’m sure for you guys at United especially. It will turn around. Head up pal.

-UA

 

There's a dramatic difference between struggling in the stock market, and actually struggling.

Earning's misses definitely not great for the stock market, but big scheme of things, profit margin still about 5%. It's just that the stock market wants it to be higher.
Still means FedEx has been profitable every year I've been here. FedEx even instituted a dividend payment in the fall of 2001. So, yes, as everyone else was laying people off. FedEx was profitable enough to start paying a dividend for the first time ever.

UPS makes more money than FedEx due to the higher margins and greater shipping totals. Only One UPS truck drives through every neighborhood every day while an Express Truck often makes two passes and there's a Ground truck and maybe a Home delivery truck...oh, an USPS finishes off some FedEx deliveries too.

Been a while since I ran the numbers. But at one time FedEx had roughly the same number of Capt's on the Seniority list as UPS had total pilots.

 

I came from a major airline 15+ years ago. I was furloughed after 9-11. The original post came off whiny to me. Wanted someone to convince him to stay. Honestly, I couldn’t care less what he/she does. If the grass is greener, he should find the best place for him. Fedex isn’t for everyone, but I have to say it’s been the best place I’ve ever worked.

 

I'd say jump. Go to a pax carrier that has lost 60% of their Asia flying. This will go on every time a virus comes out of China. And if you think the FedEx A fund sucks, try living off a B fund that just took a huge hit and will continue to be subject to the stock market. Social media, stupid people panicking will be what the future will bring. And FedEx has plenty of pilots flying overtime who don't care about the virus.

 

There is absolutely zero doubt that Fedex and UPS provide a much more stable environment than any airline. Not completely immunity, no job can provide that. People stay home, don’t travel, still purchase stuff online. E-Commerce has changed the landscape. Business, albeit at a lower rate, still ship/move stuff. The primo cargo carriers will always fare at least a tad better than any airline. Not immune, but more stable.

 

FedEx has performed poorly in earnings for so long, I was thinking pilots should head towards the pax carriers. But now, I think we are all screwed, both cargo and pax.

 

If you’re on the list at either FedEx or UPS at this moment in history, you hit the proverbial jackpot. Definitely don’t leave. It’s not the most glamorous job, but it’s stable relative to the pax carriers. Just read Gary Kelly’s letter to Southwest employees earlier this evening: very sobering. This is going to be a long, hard road back to normalcy for the pax carriers. Sounds like there will likely be some high profile bankruptcies. This corona virus pandemonium is a classic example: While the pax carriers are cancelling flights to Asia, FedEx and UPS are flying over there like crazy and hauling some pretty healthy payloads from what I hear. If things deteriorate domestically and large scale disruptions to commercial air traffic occur, the freight dawgs will be busy flying. I’m sure UPS and FedEx will be affected, but not nearly as dramatically. Both are still hiring/running classes, albeit in much smaller numbers.

 

Care to share the letter? ..or could you summarize it?

thanks

 

https://media.swalife.com/docs/news/...aCaptioned.mp4