Teamsters Happy IRS Fined FedEx

[bestsynd]

Teamsters Applaud IRS Ruling Against FedEx Ground – Company Fined $319 Million In What Hoffa Calls An Illegal Scam



(Best Syndication) Federal Express has been able to make inroads into the ground shipping business by using private contractors. Unlike the United Parcel Service (UPS) who uses salaried union workers, FedEx Ground has been able to compete by using drivers who provide their own vehicles. The private contractors hired by FedEx are paid by the package and by the mile.

The strategy seemed like a great idea. The drivers were responsible for their own taxes, their own liability insurance, and their own gas. But now the company may suffer. The Internal Revenue Service (IRS) has ordered the company to pay back taxes and fines totaling $319 million for ground employees the firm misclassified as independent contractors.

What did Jim Hoffa Say?

[theLIBERTARIAN]

At least the teamsters are happy.
_________________
Bing News - The Best Place To Get Your News

Bing Search

[Guitarras Reyes]

Yeah. Those goddamned employees who almost lost their jobs.
_________________
www.myspace.com/suejacobsband
Hecho en E.U.A. COMING SOON!

[theLIBERTARIAN]

I am not sure what you are talking about Eric.

There were never any employees. FedEx started their ground unit with private contractors. There were no employees fire, BUT now that the Teamsters convinced the IRS to rule against FedEx, the private contractors could lose their work / employment.
_________________
Bing News - The Best Place To Get Your News

Bing Search

[Guitarras Reyes]

Oh I get it now. They won't be called private contractors anymore but will still be expected to perform like employees. Or, they'll be called employees and not receive the luxury of knocking off early.
_________________
www.myspace.com/suejacobsband
Hecho en E.U.A. COMING SOON!

[ktmpilot2]

The whole 'private contractor' experiment has been a bust anyways. It's time to dismantle it.

[Biscuit]

[theLIBERTARIAN]

I am not sure what your point is Eric, but FedEx could just eliminate FedEx Ground. The drivers were and are private contractors. They were never employees. They chose to contract with FedEx.

I pretty much agree with you about the unions Biscuit. Many people believe collective bargaining laws have outlasted their usefulness. They have raised the cost of goods and companies have had to move operations overseas to compete. In a way, the unions cut their own throat.
_________________
Bing News - The Best Place To Get Your News

Bing Search

[Biscuit]

Thats very true. The unions have outlived their own usefulness.
They got greedy, they actively persued power and money.....instead of sticking to the priciples in which they were founded upon....which was to protect to workers from unfair business practices, and workplace abuses and to help ensure a fair wage with decent working conditions.

Not so anymore.....and it has'nt been fair for a very long time now.

No one is forcing anyone to become a FedEx Ground driver/contractor....they do so at their own risk/knowledge.

To do so, means to contract directly with the company, outside of the boundries of the union.

[Guitarras Reyes]

Private contractors serve as employees. Those who serve should serve well, and be paid for it. Those who unite, scare the business owner. Private contractors serve at the business owner's pleasure, until they realize they could screw the business owner if they simply act like say, BLACKWATER.

Who should be dismantled? The BLACKWATER type employees under the guise of "contractor". Yeah. Of COURSE you don't "get it" Lib. You support kooks and the supporters of kooks.
_________________
www.myspace.com/suejacobsband
Hecho en E.U.A. COMING SOON!

[Biscuit]

Comparing Blackwater to FedEx .....yeah, the kooks are out in force.

[Guitarras Reyes]

So do private contractors own those cute FED EX mobiles? Or do they just pretend to live in a puppet contractor world? A contractor is a contractor. Can FED EX "private" contractors, CONTRACT with other companies not "FED EX"?

Ask Ron Paul!
_________________
www.myspace.com/suejacobsband
Hecho en E.U.A. COMING SOON!

[Biscuit]

Who's to say they cant??.....you think Ron Paul has the answers??
Contracts are made to be broken anyways.....the unions do it all the time.

[theLIBERTARIAN]

[tnole]

Here is the point of view from an ex contractor. I sold my business in December of 07 because it came down to expand or sell, and because of the way that FedEx dealt with us I could not see myself putting on another truck in addition to the two that I had. I am 41 and bought into the whole thing after I lost my job due to 9/11. Management treated us all like 2 year olds who had no common sense at all. We had a saying, management went to FedEx school to learn one thing, the FedEx way. They were hard to deal with and never open to any sugestions or ideas which would benefit us as whole. We were independent contractors yet constantly being told to be at certain places at certain times for pickups with no input from us. Does that sound like owning your own business? If you told them there was a scheduling or time conflict, the standard answer was "it's your area, you service it." How were we to do that with FedEx causing the problems and leaving us in the field to deal with the consequences? We were always told to take care of the customer, but were threatened with the pulling of our contracts at every turn. 99% of the customers were happy with the driver service but unhappy with FedEx customer service, because management left it up to the drivers to deal with the promblems management caused. Yes, the money was good, but the work enviroment was terible. I always got in and out of the hub as quickly as possible because the atmosphere was terible. Good luck to the contractors still out there pounding the pavement, because they deserve every break they get. One can only hope that management will take this as a wake up call, because thousands of people make there living doing the impossible for them.