Just a hint of what privatization of the USPS would mean- a town in North Carolina is apparently thrilled to have attracted a new FedEx sorting facility, even though 89% of the new “jobs” will be part time:
CONCORD, N.C. – The announcement Thursday that FedEx SmartPost plans to move jobs from Charlotte to Concord includes the addition of a new 330,780-square-foot distribution center in the Phase III portion of the International Business Park in Concord.
SunCap Property Group LLC is building the $27 million facility for FedEx SmartPost, which has said it plans to employ 59 full-time employees and 462 part-time employees at the Concord location by 2019. The new facility will triple the size of the operation, which currently is located at 8910 Pioneer Ave., Charlotte.
Read more: FedEx investing $41 million to move SmartPost facility to Concord – The Independent Tribune: News.
Waiting for days to get prescription drugs. Trips to the post office to find an empty box where your business-critical supplies should be. After hearing these and other rural Alaskans’ frustrations about FedEx delivery problems that occur when FedEx hands packages over to the United States Postal Service in Anchorage for the final miles of delivery, Senator Lisa Murkowski’s efforts led FedEx CEO to reconsider its protocols. Read More
FedEx yesterday announced a jump in fourth quarter profits, but it also noted that its SmartPost product, a partnership with the USPS, had lost volume:
FedEx SmartPost average daily volume decreased 8% while net revenue per package was up 8% due to rate increases and improved customer mix, partially offset by higher postage costs.
While it wasn’t enough to significantly damage FedEx Ground’s profitability, the news is a reversal from past reports crediting growth in SmartPost with boosting the company’s overall success. Just a year ago, SmartPost daily volumes had jumped 25% thanks to increased ecommerce shipments. That may be a worrying trend for the USPS as it tries to capture “last mile” package delivery volumes to help offset letter mail losses.
Read more: FedEx – News Release.
One of those ubiquitous security cameras catches a FedEx driver having a very bad day- much to the amusement of the neighborhood dogs…
Sometimes Security Cameras catch a gem! – YouTube.
FedEx CEO Fred Smith blamed the company’s disappointing holiday performance on a combination of bad weather and sloppy customers yesterday.
From the Wall Street Journal:
FedEx Corp. Chief Executive Fred Smith took a tough line with e-commerce companies on Wednesday, saying they need to shape up sloppy shipping practices or risk losing customers.
A significant part of the industry’s Christmas-delivery mess, he said, stemmed from problems on the part of retailers.
Retailers, he said, claimed that packages had been tendered to FedEx and rival United Parcel Service Inc. for delivery to their customers before they actually were. In addition, labels were often affixed incorrectly or items weren’t properly packaged and subject to damage, the executive added, sounding like the Marine Corps veteran that he is, while speaking on an earnings conference call with analysts.
Retailers’ shortcomings on their side of the delivery equation “is a big part of the e-commerce business that really didn’t get enough publicity last year because they were an integral part of the problem even more than the weather and the carrier performance,” the FedEx chief said.
Read more: Wall Street Journal