I about choked on my coffee when little brother Crusader sent me this link this morning.
And that was only the headline causing the reaction â THIS headline.
UPS driversâ new $170k per year deal shows that unions (and Joe Biden) may just save the middle class after all
The first choke was the $170K, as you might well imagine. That is a staggering amount of cha-ching. The second thing drawing breath from my body was the unabashed Biden boosting.
Some of the details were shared in a release from UPS CEO Carol Tome, and holy smokes â that $170K figure for pay and benefits is an average, not senior employees. Itâs quite a jump from the $145K average prior the new contract.
Part-timers already employed by UPS will be pulling down $25.75 by the end of the contract, with full health care and pension benefits.
Suddenly, being Brown is very popular. Go figure.
I thought for certain the article would refute the headline. Nope. Asserts UPS drivers will make $170k in salary & benefits after 5 years in new contract.
Props to the UPS drivers, but this is unrealistic and will further push inflation as costs are passed onto consumers. https://t.co/k2YQqkiyby
— đ đđđ đđđ đđđ (@skjultster) August 8, 2023
There are other eyes watching what UPS just caved to, and donât think they arenât going to start upping the ante.
A former high-profile contractor said FedEx Ground, the ground delivery unit of FedEx Corp., (NYSE: FDX) must address the expected widening wage and benefit disparity between UPS Inc. (NYSE: UPS) drivers and those in the unitâs network if contractors are expected to attract and retain qualified drivers.
Spencer Patton, who had played a prominent role advocating for 6,000 FedEx Ground contractors until a legal spat last summer led the company to revoke his operating routes, said there has already been 30% to 40% turnover among FedEx Ground drivers in the past 18 months. This was long before a tentative contract between UPS and the Teamsters union agreed to late last month revealed significant wage increases for UPS drivers.
If the five-year contract is ratified â rank-and-file voting ends Aug. 22 â full-time UPS drivers could earn as much as $49 an hour, while part-time drivers would see their wages bumped to between $21 and $23 an hour. All 340,000 Teamster members would get a $2.75 an hour wage increase in the contractâs first year.
By contrast, nonunion FedEx Ground drivers make between $20 and $25 an hour, depending on their tenure and geography, according to Patton. Only about 20% of drivers have benefits, he said, and amenities such as air-conditioned vehicles are hit or miss. âSome contractors provide them, others donât,â he said.
The FedEx model is very different than UPS and might well be going the way of the dinosaur after this. We never realized it until working at my friendâs menâs store downtown, but our FedEx Ground driver had to actually lease his truck and pay for his own help at Christmas. UPS owns their trucks. John told us that if his leased vehicle broke down, he was the one footing the bill for the Penske rental until his was fixed. So, yeah, on paper he made what was then a boatload of cash, but once you took out truck payments, truck repairs, gas, paying for the part-time holiday help and thought about the hours spent on the road every single day â the FedEx hub is 52 miles from Pensacola NOT counting the route milage once you get here â he had no money and no life.
He is now a mailman.
For this Biden tongue bath of a Fortune article. This thing is a disgrace and nowhere does it say âop-ed.â
Donât read any of this if youâve just eaten.
âŠWhile not everyone is winning as much as these UPS workers, this represents a symbolic triumph for unions, the middle class and the labor-friendly White House (excluding German Shepherds, in the case of Joe Bidenâs noshing pet, âChampâ), as itâs a testament to collective efforts to boost the middle class for the first time in a generationâor two. The public has noticedâjobs site Indeed reported a 50% surge in searches for âUPSâ or âUnited Parcel Serviceâ within a week of the new contract, Bloomberg reported.
Bidenâs famous adoration of ice cream has really only been paralleled or eclipsed by his love for this middle class. His campaign premise to revive the average American quickly led to a new word: Bidenomics, a portmanteau (much like Obamanomics, Reaganomics before, or Hobama as of late), that refers to, in Bidenâs own words: âbuilding an economy from the middle out and the bottom up, not the top down.â
OMG the gooey treacle.
âŠNow itâs Bidenâs turn at the wheel, and drivers are getting paid famously. Rather than building from the top down, Joeâs strategy of bottom up and middle out, which can be seen in his push to invest in manufacturing jobs and record-breaking wage growth for those in historically lower-compensated positionsâŠ.
âŠBut there is reason to believe in a turning of the tide. The hottest summer in 100,000 years has also been named the summer of strikes, as multiple unions in the entertainment world have joined the fight for better wages (and A.I. regulations). Next up could be a historic triple strike in Detroit as the United Auto Workers, a historic union that has brand-new leadership after a series of scandals, is determined to win a new contract from the Big Three automakers..
All she needs is a cocktail and a cigarette after that steamy load of hooey.
This is financial âjournalizingâ?
Even Regular Joes called her out for the over-the-top Joe Biden Middle Class bodice-ripping fantasy.
@FortuneMagazine let Chloe berger know Biden had ZERO to do with the UPS teamsters contract negotiation, Rank N File workers voted for new leadership that lead to that contract. Get your propaganda outta here.
— Mathias (@MDougy7) August 9, 2023
Joe Biden is saving the middle class
I canât see it, no sir.
I donât think itâs going to fly.