It was all perfectly legal and convenient for Colorado shooting suspect James Holmes to turn to e-commerce to allegedly stock his arsenal for a movie theater shooting spree. Holmes had reportedly amassed more than 6,000 rounds of small arms ammunition from online arms merchants and had the bullets delivered by private carriers that may have included FedEx and United Parcel Service. Memphis-based FedEx and Atlanta-based UPS said Monday they were cooperating with investigators and took a relatively low profile about possible involvement in the alleged shooter’s supply chain. While the U.S. Postal Service does not carry live ammunition, FedEx and UPS routinely do so under special conditions imposed on hazardous cargo. Asked about reports of a surveillance video showing Holmes picking up 150 pounds of ammunition at a FedEx outlet in Colorado, FedEx issued this statement: “Our thoughts and prayers are with those impacted by this terrible tragedy in Colorado. We have a long-standing history of close cooperation with law enforcement agencies. Any questions regarding the investigation should be directed to authorities.” A spokeswoman said UPS was cooperating with investigators and hadn’t confirmed whether the suspect received ammunition deliveries by UPS. “While we are cooperating with the FBI for further investigation, it was erroneously reported (Sunday) that our drivers had been interviewed by authorities,” said sporkeswoman Susan Rosenberg. “This didn’t happen for any drivers that delivered to either the suspect’s residential or university addresses. If a reporter talked to any UPS driver, then all they heard was anecdotal about our delivery process in general but they wouldn’t have any information to the specific addresses. We’re still reviewing data, so we have no specific confirmation on deliveries or corresponding shippers.” CBS News reported on “Face the Nation” Sunday that authorities had learned the suspect shopped online outlets such as BulkAmmo.com and TacticalGear.com and that a UPS driver told authorities that 90 packages had been delivered to Holmes’ work address.
Standard-Examiner
Category Archives: UPS
UPS and the Economy
Fragile European economy dampens CEOs’ outlook Deteriorating financial conditions in Europe are weighing down companies’ profits. And hope of salvation from other regions – such as China, Brazil and the United States – is starting to dim as those economies weaken. That’s the message from this week’s parade of second-quarter earnings from some of the world’s largest companies. United Parcel Service Inc. – WHY IT’S IMPORTANT: UPS moves millions of packages between consumers and businesses every day – everything from flowers to car parts and computer chips. – WHAT THE NUMBERS SAID: Second-quarter net income rose just 2 percent to $1.12 billion, while revenue improved by little more than 1 percent. International revenue fell, while Internet shoppers kept UPS trucks busy in the U.S. UPS sees the global economy getting worse before it gets better. That’s why it cut its full-year earnings forecast to $4.50 to $4.70 per share from $4.75 to $5 per share previously. – WHAT THE EARNINGS SAID ABOUT THE ECONOMY: The world’s largest package delivery company has thrived domestically, but now it’s more pessimistic about U.S. growth than many economists. UPS expects the U.S. economy, by far the world’s largest, will grow just 1 percent this year. The company cited slower growth at U.S. service companies, lower retail sales and still-high unemployment as signs that the U.S. isn’t holding up as well as UPS anticipated just three months ago. And shipments out of Asia, which grew by double-digits two years ago, have shrunk as Europe’s economy founders. – WHAT THE EXPERTS SAID: Several analysts reduced their outlooks for the company, saying the quarterly results were somewhat disappointing. Even so, they think UPS should be able to grow in a weaker global economy as it saves money through reduced service out of Asia. – THE QUOTE: “Economies around the world are showing signs of weakening and our customers are increasingly nervous,” Chairman and CEO Scott Davis said in a conference call with analysts. He added: “I wouldn’t say we’re pessimistic about the future. We’re just a lot more uncertain about how much the economy will grow.”
TheSeattleTimes
Potential for Change With Contract Negotiations
The 2013 Contract Negotiations will begin in ernest this fall. There is much speculation what will, and will not, 
A corporate supportive government will empower the company to stand firm against the Union because they know that the support in a potential strike would be behind the company, allowing for replacement workers, and the potential for the company to be allowed to work without a contract, weakening the Union’s position in the negotiations.
Keep these things in mind when you vote this fall. Your job situation may depend on the outcome.
Some of the points of discussion are as follows;
Many of you may not understand that the company puts a dollar amount on the table. That dollar amount encompasses not only wages, but includes the cost of your healthcare, and your pension contributions. Putting more money into one category means taking out of another.
The speculation now is that most of the increases in the economic package will go to the benefits end. Healthcare costs have risen to the point where they eat up most of any increases in the economic package. That leaves very little to go to wage increases. The common wisdom is that most UPS drivers are being paid above the industry norm, so rather than increase wages noticeably, the increases will be put into benefits to minimize the out of pocket costs to the individual worker.
The expectation would be that wage scales will remain fairly flat for the term of the next contract.
For the part timers, proposals have been made to keep the wage rate at least 3 dollars an hour above the federal minimum wage level. Also changes in the benefit package could come again to part timers, as a cost savings to the company for healthcare. The reason part timers keep getting beat up in negotiations is because it’s common knowledge that they simply don’t vote. They are also very transient, and most of the parts timers here today, will not be here tomorrow.
As far as the general working language is concerned the usual major concern is over nine-fives, and lunchbreak times. Our contract is considered a mature contract. The remedies for nine-fives has been discussed over and over on every level. The fact is, drivers have the ability to have their hours reduced, if they put forth the effort. We could go into a discussion here about the drivers responsibility to bring things to management’s attention, and not be afraid to file, but we’ll save that discussion for later.
There is a push to get the driver’s lunchbreak reduced to a half hour from one hour it is now. Drivers seem to have the delusional thought that if their break was only a half hour, they’d get off a half hour earlier. We all know the reality is that the company would simply fill up that time with more work, keeping the driver from getting home any sooner. My feeling is we won’t see any change in that department.
I’m sure there will be discussions on present, and future technological changes and how they affect the driver’s day. Hopefully the contract will join the 20th century in dealing with the disciplinary issues that result from todays delivery process. In thirty some years it never did, and my expectations are low that there will be much change here.
Retirees major concern will be the cost of the retiree’s healthcare. Retiree’s currently pay $200 per month for their healthcare per person. That could change in the next negotiation. Obviously an increase would be devastating to retiree’s on a fixed income. I have no speculation as to what will happen here, I just hope the retiree’s don’t take it you know where.
The other issue at stake for future retiree’s (those that retire after August 1st, 2013), will be the UPS guarantee of the pension benefit amount in conjunction with the Central States Pension fund. Since the UPS removal of drivers from the Central States Pension Fund the fund has struggled to maintain benefit levels. The drivers that have retired under the current agreement have a guarantee from the company that benefit levels will remain the same regardless of what happens to the Central States Fund. In the 2013 negotiations, that guarantee is not automatically renewed, so if it isn’t, future retiree’s could be subject to reductions in their pension payments if the funding levels of Central States are reduced.
These are just a few of the issues at stake. Like usual there is a certain amount of apathy and what I call the UPS attitude, “Let someone else take care of it, I have more important things to worry about”. Most drivers couldn’t tell you what they have today, much less what any changes would mean to them. Of course they are the first ones to bitch about the strength of the Union. But that’s also a discussion for another day.
The hope is the contract will be decided early so it’s imperative that you all make your wishes known through your Local Unions as soon as possible. Sit down with your significant others and discuss things that may be important to you.
Also, each and every one of you needs to look carefully at what you are voting for in the upcoming elections. Are those candidates supporting your issues? Do those candidates understand what it’s like to be in your situation? Am I helping myself, and my fellow Teamsters when I pull the pin on the voting machine?
Make wise, and educated decisions. Don’t vote out of ignorance.
Whose Fault Was It?
Teamsters to Focus on Wages in Early Talks With UPS
Job security, health care and pensions are also expected to dominate negotiations
An early start to negotiations with UPS will allow the Teamsters union to focus on discussions over job security, wages, health care and pensions in January, the union said.
Teamsters leaders unanimously agreed earlier this month to begin negotiations on contracts covering approximately 250,00 union members on Sept. 27, roughly 10 months before the current five-year contract expires. The UPS and UPS Freight contract is the largest Teamsters contract and biggest U.S. collective bargaining agreement, said Jim Hoffa, Teamsters general president.
The UPS contract covers package delivery drivers, loaders and sorters, while the UPS Freight agreement covers drivers, dock workers and clerks.
“The struggling economy and the company’s recent announcements about record quarterly profits make this good timing to open negotiations,” said Ken Hall, Teamsters general secretary-treasurer. “We want to address operations issues now so we can concentrate next year on other important issues such as wages, health care and pensions.”
UPS profit in the first quarter rose 6.3 percent to $1.6 billion year-over-year, as revenue expanded 4.3 percent to $13.1 billion. The union said it plans to address work preservation related to subcontracting, workload and safety, and health this fall.
“This progress is the right thing to do for our employees and our customers,” UPS spokesman Norman Black said. “An early start to the negotiations greatly increases the chances of an early finish.”
Health care is expected to be a dominant negotiation issue, as members face rising costs and the U.S. Supreme Court decision on the Affordable Health Care for America Act looms, Hall said. He warned members that if Republican Mitt Romney won the presidency, the union would face an attack on “health care plans like we’ve never seen before.”
“Romney has made it incredibly clear how he feels about labor unions,” Hall said.
Q&A
April 10, 2009: On January 1, 2008, UPS transferred some 44,000 full-time Teamsters out of the Central States Pension Fund, and into a new UPS-only pension plan.
UPS Won’t Guarantee Benefits After 2013
Many members have questions about their benefits in the new fund. TDU consulted pension attorneys and experts to answer some of the most frequently asked questions.
Do you have a question or concern about your benefits in the new UPS plan? Call TDU at (313) 842-2600, or email us at info@tdu.org.
Q: If I retire and Central States fails to pay me their portion of my pension, will UPS guarantee me the difference?
Yes and No. If you retire by July 31, 2013, yes. If Central States fails to be able to pay its full portion, UPS will make up the difference to guarantee your pension.
But if you retire after that, all bets are off. It all depends on what is bargained in the 2013 contract. This illustrates a major problem: the UPS pull-out weakened the Central States Plan, but UPS Teamsters are still dependent on it for a large portion of their pension benefits.
You can be sure UPS management will make good use of this hammer in bargaining, to try to extract more concessions from the Teamster leadership.
Fortunately there is an IBT election in November 2011. Teamsters have a chance to vote out Hoffa and elect leaders who will protect the pensions of all Teamsters.
Q: When I retire, will I get two checks?
UPS pays your full pension until age 65. Once you are 65, you will get two checks. Central States and the UPS Plan will each pay a share, based on how many years you have in each plan. Your years prior to 2008 will be paid by Central States; your years beginning with 2008 will be paid by UPS.
Q: Can you count your part-time years toward early retirement?
Your part-time years can be counted in order to qualify for a 25 or 30 year early retirement, but will not count toward your benefit amount. For example, a Teamster with 25 full-time years and five part-time years qualifies for 30-and-out, but will get $2625 instead of $3,000 per month because the part-time pension pays very low benefits. (This is the same rule as previously, under Central States.) If you qualify for a part-time pension and a full-time pension, you will receive two checks, and three checks after you reach age 65.
Q: How do the benefits under the new UPS plan compare to other Teamster plans?
They compare unfavorably, and that situation is going to get worse by 2013. Benefits in the UPS plan are frozen for the life of the contract, whereas those in most other plans are increasing. For more information, see The Teamster Pension Divide at www.tdu.org/pensiondivide.
The UPS Plan also has no reciprocity with other pension plans. This means if you transfer into the plan from the West or East, you cannot add your pension credits together from the UPS Plan and another plan. It also means if you leave UPS and take a job at another Teamster company, you cannot add your years together in the two plans.
Q: Can UPS take over other Teamster plans?
UPS gave the International Union a letter agreeing not to try to take over more pension plans until the contract after next. However, that is no solid guarantee. If they see a weak leadership at the International Union, they may seek to take over more pensions.
We Do the Same Work But We Get Less
“Our pension is the lowest for any UPSers in the country. We do the same job, but in the end we get less.
“You can bet that if we can ask to improve our pensions in our next contract, UPS is going to put a steep price tag on it.
“I’m helping to put together a TDU meeting in Florence so that we can educate other members. UPS is already planning for the next contract. We should too.”
Always a Factor in Contract Negotiations
UPS 2nd Quarter Profits: $1.12 Billion
Headed into contract negotiations, UPS continues to make big profits.
UPS announced it made $1.12 billion in profits after taxes for the 2nd Quarter on $13.35 billion in revenue. Not a bad haul for three months.
Operating profit for U.S. domestic package jumped more than 12 percent. Package volume is up 3.5 percent. Not only are we delivering more packages; the company is making more money on every package we deliver. Average revenue per package increased 0.6 percent.
Click here to read our detailed coverage at www.makeUPSdeliver.org.
FYI
Survey: One in 11 employers plan to drop health coverage
By Parija Kavilanz | CNNMoney.com – Tue, Jul 24, 2012 3:42 PM EDT
One in 11 employers is planning to drop health insurance coverage for workers over the next three years because of the high expense, according to a report from consulting firm Deloitte.
While Deloitte’s 2012 survey of employers — conducted before the Supreme Court’s ruling in June to uphold health reform — showed that 9% of them planned to stop offering health care coverage, 81% of companies polled said they would continue providing the benefit as a means to attract and retain employees.
That’s good news for more than 160 million people — more than half the U.S. population — who currently get health insurance directly through their employers.
Another 10% of employers polled in the Deloitte survey indicated that they hadn’t yet made up their mind.
Among those employers who indicated that they wouldn’t dump health coverage, most plan to make workers pick up more of the cost associated with it through higher premiums, co-pays and deductibles.
The survey also showed that smaller businesses — those with fewer than 50 employers — view health insurance exchanges more favorably than bigger companies.
Under health reform, states are mandated to set up health insurance exchanges — online marketplaces where consumers can buy subsidized health plans — by 2014.
These exchanges are geared toward making health insurance affordable to underinsured and uninsured individuals.
By 2014, companies with 50 or more full-time employees must start providing health insurance or face penalties.
For most small businesses, that means a new way to shop for less-expensive health insurance on the exchanges where they can buy plans for their workers.
Deloitte’s online survey, conducted between February and April, polled 560 randomly selected companies with 50 or more workers that offer health.
This UPS Driver Saved A Wandering Alzheimer’s Patient
Lifelong Raleigh, N.C. resident and 25-year UPS veteran Kenneth Donleycott was driving his route a few weeks ago when a police officer pulled up and asked him if he’d seen an elderly man walking a white dog. The man had been reported missing from his home. In a smooth North Carolina twang, Donleycott — who, in addition to driving a delivery truck, also serves as the co-chair of the safety committee at UPS’s Raleigh office — related his story. “I hadn’t seen him, but on my way out, I saw a lot of police canvassing the neighborhood. Not too much later, I saw an older guy walking his dog and figured it was him.The first thing I noticed that wasn’t right was that he had a bunch of rocks stuffed into both of his pockets. I asked him where he was going and he pointed in a direction that was different than the direction he was going.So I asked him what he did for a living and he said he was a retired marine. I told him my father-in-law was a retired marine and he started talking. What he said was kind of garbled and he seemed confused. So I called 911.” Donleycott said that the police arrived within 15 minutes of his call, and that the man, who they said has Alzheimer’s and a propensity toward heat stroke, had wandered pretty far from home. Raleigh police had considered calling a “silver alert” — the code for a lost elderly person — when Donleycott called in to report that he had found the man. They called Donleycott later in the day to confirm that the man had been reunited with his family. UPS wasted no time posting Donleycott’s picture and a synopsis of the story on the company’s Facebook page, quickly racking up 5,490 comments, 6,616 shares, and 217,680 likes. Most of the comments are positive, but Donleycott said that a few accused UPS of staging a publicity stunt.
What can brown do for you? Well, track down and monitor a wandering Alzheimer’s patient, for starters.
Raleigh police were looking for an elderly man with Alzheimer’s, but it was a delivery man who ultimately found him. We talked with the UPS driver who found the old gentleman and kept him company until police showed up to take him home.
“There were too many comments for me to respond to a lot of them, but this was real, not a publicity stunt. It really did happen. But I think credit should go to the officer who told me [the man was lost]. If he hadn’t told me, I would have driven right past the guy.”
JALOPNIK
FedEx Fights UPS to Keep $1B Postal Deal
FedEx Corp. (FDX) (FDX) will have to fend off competition from United Parcel Service Inc. (UPS) (UPS) to keep a contract valued at more than $1 billion with its largest customer, the money-losing U.S. Postal Service. The agreement generates more than 3 percent (FDX) of FedEx’s sales, according to data compiled by Bloomberg, and covers shipping of first class, priority and express mail. UPS“definitely wants to bid” for that work when the Postal Service seeks proposals after the contract’s expiration in September 2013, said Norman Black, a company spokesman. UPS, which already has a $100 million contract with the Postal Service, is the “most logical competitor,” said Ben Hartford, a Robert W. Baird & Co. analyst in Milwaukee. The agency is seeking new bids as it closes mail-processing plants and cuts its work force to save cash after a $3.2 billion loss in the quarter through March 31. Just being the incumbent, FedEx is “the most likely to get the business going forward, but it would likely be under different terms,” Hartford said in a telephone interview. During an 11-year relationship, FedEx has “raised the service levels and reliability of the Postal Service product,”Jess Bunn, a FedEx spokesman, said in a telephone interview.“That record of success will be an important consideration.” FedEx warned in a regulatory filing this week that it may lose the contract or be able to negotiate less favorable terms for renewing it. Postal Service work generated about $1.4 billion for the Memphis, Tennessee-based company in its fiscal year through May 2012, Helane Becker, a Dahlman Rose & Co. analyst in New York, said in a note to clients. FedEx fell 1 percent to $91.03 at 12:25 p.m. in New York trading, after previous gains of 10 percent so far this year. UPS climbed less than 1 percent to $79.11. FedEx last month predicted profit (FDX) of $6.90 to $7.40 a share in the fiscal year through May, compared an average estimate of $7.33 from analysts and $6.41 last year. The FedEx Express unit also has around 5,000 drop boxes at Postal Service locations that will be removed under an agreement that expired in June, the company said in the filing.
Bloomberg Businessweek