Fact Check

CLAIM: FedEx is claiming that UPS supports H.R. 915 because it amounts to a corporate “bailout” for UPS.

FACT: A government bailout is when a private corporation receives money from the government to keep the company afloat. That simply is not the case here…period. In reality, the law would simply remove what amounts to a “corporate welfare” benefit currently enjoyed by FedEx Express.

CLAIM: On it anti-UPS “Brown Bailout” website, FedEx claims that UPS lobbyist are arguing “that UPS and FedEx Express are companies with identical operations” but that “UPS and FedEx Express operate in vastly different ways – one as a trucking company, the other as an airline.”

FACT: UPS isn’t claiming that it and FedEx have “identical operations,” but that both provide the identical service – package delivery using both airplanes and trucks. Their operations are different, but the service is the same. For example, McDonald’s and Ruth’s Chris operate very differently, but they’re both restaurants. It’s only common sense that two express delivery companies should be treated the same under the same labor laws.

CLAIM: Wouldn’t it be better to put UPS under the same law as FedEx rather than the other way around?

FACT: Yes, years ago when that was an option. But efforts to do just that were blocked by FedEx which leaves Congress with no other way to level the playing field other than to put FedEx Express drivers under the same law as everyone else. In essence, FedEx is for the idea now that it can’t be done, while having impeded such a proposal back then when it could have been. They may have outsmarted themselves.

Additional facts will be added to this list on an ongoing basis…

5 Comments

  • #1 by FedEx 4 Life on June 29th, 2009

    | Quote

    What’s your opinion on the fact that if this is so obvious, why not introduce it as a separate bill instead of sneaking it in as an apparent rider?

  • #2 by C.S on July 4th, 2009

    | Quote

    Type your comment here

    FedEx 4 Life :

    What’s your opinion on the fact that if this is so obvious, why not introduce it as a separate bill instead of sneaking it in as an apparent rider?

    Why did Fedex sneak it in as a rider back in 1996?

  • #3 by FedEx 4 Life on July 6th, 2009

    | Quote

    What part of the ‘air express carrier segment’ or ‘RLA’ was amended/changed in 96?

  • #4 by C.S on July 6th, 2009

    | Quote

    Type your comment here

    FedEx 4 Life :

    What part of the ‘air express carrier segment’ or ‘RLA’ was amended/changed in 96?

    In 1995 the ICC (interstate commerce commission) reclassified Federal Express under the NLRA. Federal Express panicked and lobbied congress for a special deal and they got it with the help of Senator Fritz Hollings. Old Fritz put a rider in the 1996 Faa Reauthorization bill that would place Federal Express back under the RLA.This rider never even passed in the house bill, it was added to the bill in conference.

  • #5 by FedEx 4 Life on July 6th, 2009

    | Quote

    Interesting, I didn’t think the ICC was still around in 1995. By chance, do you have references to this?