UPS and the Teamsters Union reached a tentative agreement late last month, averting a strike.

UPS also has a market cap of 156B$ vs Fedex’s 66B$. Both average around 90B$ in revenue. Fedex drivers maker an average of 52k$ a year. Fedex doesn’t have any unions.

In summary, it seems that having a union helps workers earn a lot more, but also help the company have significantly better stock market performance.

  • Parsani [love/loves, comrade/them]@hexbear.netEnglish
    0·
    1 year ago

    Seeing as this is coming from the CEO, I do not trust this to be true, or is overstating it to make the public think the drivers are “greedy” or “overpaid”. They also want to blame a bad year of revenue on this, which is bullshit.

    Looking at the average hourly listed for full timers @ $49 (which is great tbh) works out to about $101K before tax. I’m not sure what kind of benefits they are getting, but $70k in benefits is suspect.

    Also, the part timers are still starting at $21, which extrapolated to full time hours is $43k. Not sure if they get benefits.

    The quote is saying that “drivers” will average $170k, but that doesn’t specify whether that is including full and part time. I’d also like to see what the ratio of part:full time is, because I can only assume it skews towards the former.

    I’m happy to see the teamsters got a good deal, but lets not trust the numbers the CEO is spitting out…

    • spectre [he/him]@hexbear.netEnglish
      0·
      1 year ago

      My understanding is that the cost of decent benefits for an employee is often about the same as their wage. I don’t exactly have firsthand experience, but I believe that companies budget for expansion hires using this rule of thumb (intended wage x2 is the total cost to hire them).

      • AlecSadler@lemmy.mlEnglish
        0·
        1 year ago

        As a business owner, at least in my experience it’s about 30-50% more per employee’s base wage for benefits.

        I don’t say that negatively. I am not entirely sure how it would hit 2x though, but I suppose it would depend on the industry? My particular industries don’t have overhead of trucks, uniforms, badges, etc.

        edit: I think people misunderstood what I’m saying. I’m basically saying that I feel like UPS is inflating some side of numbers to argue for a “total compensation” amount but the reality being a lower base amount for the employees. Benefits have value, for sure, but I personally think UPS drivers base pay needs to be higher.