SARASOTA – Summer is around the corner, but already temperatures are beginning to rise. One group not happy about that is UPS drivers, since most of their trucks don’t have A/C. “Its very hot,” said Jennifer Sams about the temperature inside the ups truck she drives daily. “The trucks are brown of course, and white topped, which makes like a greenhouse and there is absolutely no air in there maybe a fan. But some of them don’t even have that.” And she says driving around in the hot truck is beginning to affect her health. “I’ve been in the ER 3 times, and its been heat exhaustion. They have to have heat up in these trucks in New York so I think it should be mandatory to have A/C here since we’re at the other end of the spectrum,” said Sams. So we took Sams’ concerns to UPS. “No one in the delivery industry uses A/C in those trucks because the doors are open all day long and the air moving in and out so it will make AC very ineffective,” said Dan McMackin a UPS representative. And he says there are things the driver can do to stay cool. “Training is really key to avoiding a situation like that. The first step is hydration, the second step is focus on wellness in your every day life, so diet does add additional factors to the heat.” But Sams says she’s taking those steps and they haven’t been working. “I have a cooler full of drinks that Im drinking constantly, Im trying to do everything I can and the last time this happened to me I felt like this could kill me,” said Sams. According to general practitioner Dr. Ed Carlastorm, those concerns are legitimate. “Worst case scenario is someone is unable to get out of the sun they could have organ failure and die,” said Carlastorm. Dr. Carlastorm says even while staying hydrated there is a danger. “Your body can’t maintain a normal temperature once it gets up to about 105, 106, it doesn’t have the ability to bring your temperature back down.” But despite the danger, Sams says her and other drivers complaints have gone unanswered. “There won’t be air in them in your lifetime Jen, thats exactly what they said to me.”
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Proposal on Healthcare
UPDATED April 12, 2013: Are UPS Teamsters presently in company plans heading for the Central States Health and Welfare Fund? That’s one proposal that UPS management has put on the table.
Are UPS Teamsters Headed to Central States Health Fund?
The International Union called a two-week break in negotiations to study this issue. So far, UPS Teamsters have only been told that management has proposed moving all UPS Teamsters into a union health and welfare plan.
Meanwhile, the Central States Health and Welfare Fund seems to be preparing to go national. The fund is even planning to drop the Central States name and perhaps rebrand itself as MyTEAMCare.
UPS wants to get retiree healthcare costs off of its balance sheets because of legal accounting changes. But how would switching to the Central States Health Fund affect Teamster members?
There’s no word yet on that from the IBT. Bargaining resumes on April 15.
Unlike the Central States Pension Fund, the Health and Welfare Fund is in good financial shape. It has 19 months of reserves, which is considered very healthy.
UPS Teamsters who are currently in this plan pay no monthly premiums. UPS retirees in this fund pay $200 per month for retiree coverage and $400 for retiree-plus-spouse coverage.
Switching UPS Teamsters into Teamster health plans may benefit members and our union. But UPSers have lots of questions, and they deserve answers.
Healthcare affects members and our families directly and personally. If major changes are in store for our health coverage, UPS Teamsters deserve full disclosure—all the facts and all the options—before any contract vote.
Click here to see a summary of Central States healthcare coverage with co-pay and deductible information. The C-6 plan is the top coverage currently available to Teamsters in the Central States.
Familiar Names for Succession of UPS CEO
By Mary Jane Credeur – Mar 28, 2013 2:12 PM MT UPS declined to make its executives available to comment for this article. James Kelly, who was CEO when the company went public in 1999, served exactly five years before leaving in December 2001. His successor, Michael Eskew, held the post for six years, leaving in December 2007. Before that, the longest-serving CEO after Casey was George Smith, who held the job for almost 10 years and stepped down in February 1972. Wall Street has known Kuehn for about 15 years, since he was UPS’s first vice president of investor relations, a role he was holding when the company went public in 1999. The departure of Eskew, Davis’s predecessor, was announced just two weeks after the completion of a Teamsters’ contract in 2007 — 10 months before the existing agreement expired. Davis was considered UPS’s first outsider when he was promoted, although he had worked at the company for 20 years at the time. Before that, he was CEO of an Oregon-based technology company called II Morrow that UPS bought in 1986.
Since founder Jim Casey left United Parcel Service Inc. (UPS) after more than five decades in charge, the company’s chief executive officers have served for an average of 5 1/2 years. Scott Davis reaches that milestone in June.
That means a leadership change is probably approaching at the world’s largest package-delivery operator, according to Kevin Sterling of BB&T Capital Markets and other analysts. A new CEO almost certainly will come from within, as have all the previous chiefs, Sterling said.
Identified Early
“UPS is disciplined and deliberate in its succession planning and the development of its leadership, including when and how senior leadership changes are made,” said Malcolm Berkley, a spokesman.
It’s premature to presume when succession will happen, or that there’s a targeted length of service UPS tries to achieve, he said. The board routinely reviews succession plans to ensure candidates are identified early and given the opportunity to demonstrate their skills, Berkley said.
Casey headed UPS for 55 years after its founding in Seattle in 1907 as American Messenger Co. The average tenure for the eight former CEOs since he stepped down in 1962 has been five years and six months, according to data provided by UPS and compiled by Bloomberg.
Average Tenure
At FedEx, Smith said in September 2010 that he “almost certainly” would leave within five years. In 2012, the 68-year- old founder, chairman, CEO and president said he’s “not planning on going anyplace” imminently.
UPS’s Kuehn, 58, started as a driver 3 1/2 decades ago and was senior vice president of global sales and marketing before being elevated to CFO.
That promotion allowed Gershenhorn to take Kuehn’s old job. Gershenhorn, 54, and Gray, 55, also began their careers with UPS in the late 1970s as part-time package handlers.
Wall Street
Kuehn, pronounced KEW-in, attended Yale, received a master’s in business administration from the University of Miami and is a graduate of the Advanced Management Program of the Wharton School of Business at the University of Pennsylvania, according to a biography on UPS’s website.
He sits on the boards of NCR Corp. (NCR), the Metro Atlanta Chamber of Commerce, the Woodruff Arts Center and the Foundation for Independent Higher Education.
If UPS follows its historical pattern, a new successor will be named within 12 months.
Kuehn has had “years of experience, and he’s probably the next guy to move up,” said Campbell, who recommends buying the stock.
Davis will probably remain CEO until a new contract with the Teamsters union is completed, Sterling said. The current contract expires in July, and Davis said in January he hopes for an early conclusion to negotiations.
First Outsider
“By the end of this year is probably the time” for a new CEO, said Campbell.
Indeed, the three CEOs before Davis all left at the end of calendar years, and their successors took over on New Year’s Day.
UPS is so consistent and reliable with succession planning that most executives look “shockingly young” when they retire, often around age 60, said Yale’s Sonnenfeld.
“They start so early and retire relatively early and there’s this unusual quality in these guys when they retire, a Dorian Gray thing,” Sonnenfeld said, referring to the Oscar Wilde character who doesn’t age.