HomeIndustriesFedEx Faces Delivery Contractor Pay Dispute as Pandemic Boom Fades

FedEx Faces Delivery Contractor Pay Dispute as Pandemic Boom Fades

Transport company FedEx is being pressured by Tennessee businessman Spencer Patton to increase its compensation for its delivery contractors. The 36-year-old businessman is one of the largest contractors for FedEx Ground; the business unit that relies on 6,000 contractors to deliver packages to homes and businesses across the United States. He administers 275 semi-trucks and delivery vehicles that work for FedEx Ground.

“I am not here to be a bomb thrower and to trash FedEx Ground and the CEO,” Patton assured reporters at the contractor conference that he held in Las Vegas over the weekend, explaining that he is simply looking to work together with FedEx Ground in order to find a feasible solution.

Currently, Patton is working to form a trade group representing delivery partners from both FedEx and Amazon.com Inc in an attempt to promote delivery contractors’ interests. Should he be successful in gaining enough traction, FedEx could potentially see its profits squeezed ahead of the peak holiday shopping season.

Although FedEx sent Patton a “cease and desist” letter earlier in the summer, FedEx Ground leader John Smith assured contractors that the company will work to protect their interests. “As the pendulum swings back” from pandemic growth, FedEx Ground remains committed to working with each of you to find solutions,” Smith stated in an internal message.

Chemical Giant DuPont Will Split in 3 Companies, Replace CEO Ed Breen

Chemical giant DuPont is heading towards some major changes. The company announced on Wednesday that it will be splitting into three separate companies while...

Zoom Tops Estimates, Raises Full-Year Forecast

Zoom Video Communications reported its earnings for the first quarter of 2024 on Monday and topped the estimates of Wall Street analysts. The communications...

Reddit Stock Jumps on the Back of Open AI Partnership

Social media platform Reddit announced earlier this week that it is partnering up with artificial intelligence start-up Open AI to improve the experience of...