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5/22/23 Monday Parcel News Update

by Grayson Gilbert

May 22, 2023

3 min read

1. FedEx Pilots Authorize Strike

FedEx pilots, pushing for higher wages following successful negotiations from other pilot groups, overwhelmingly passed a vote to authorize a potential strike. The Air Line Pilots Association (ALPA) reported a 97% voter turnout from their FedEx members, and that 99% of participants voted to authorize the strike.

The vote did not enact a strike, it only authorized union leaders to enact a strike if needed. Federal mediators would have to allow a strike to occur, and even then, Congress and the President hold the power to prohibit it.

The union isn’t pushing too hard for a strike yet, as Capt. Chris Norman, head of ALPA’s FedEx chapter, said their “goal is to reach an agreement, not strike.” However, moving one step closer to a strike likely gives them more bargaining power.

Article from the Associated Press

 

2. Strike Possibility Not Impacting FedEx Service According to Carrier

 

Despite continued negotiations and movement towards a strike, FedEx is holding that business is being conducted as usual, stating that the strike threats have “no impact on our service.” The carrier reiterated that they’re still in “productive” negotiations with the union under the supervision of federal mediators.

“FedEx is focused on reaching a comprehensive agreement and remains committed to bargaining in good faith with our pilots to achieve an agreement that is fair to them, our other team members, and all other FedEx stakeholders,” the company said in a statement.

Article from Rebecca Jeffrey, Air Cargo News Network

 

3. Flexport Enhancing End-to-End Capabilities

Flexport’s acquisition of Shopify Logistics, which includes Deliverr and their network of third-party warehouses, among other assets, strengthens their ambitions for an end-to-end delivery network.

Flexport’s services have historically involved moving international freight until it reaches a port, and then handing that freight to a different carrier for fulfillment to the end destination. Integrating Shopify Logistics will allow them to offer last-mile delivery and eCommerce fulfillment services – allowing them to handle fulfillment from a point of manufacturing to a customer’s doorstep.

Though Shopify was building logistics capabilities to rival Amazon, Flexport doesn’t view themselves as a direct competitor to Amazon’s fulfillment services. CEO Dave Clark pointed that while they’ll begin offering eCommerce fulfillment services, they’ll also complete other services like shipping to replenish stock at physical retail locations, doing a “a suite of things that maybe Amazon isn’t doing.”

Article from Max Garland, Supply Chain Dive

Grayson Gilbert

Grayson is the Marketing Specialist at Sifted. He leads our earned media efforts, podcast production, and review generation, all the while tracking industry news for our team and clients. His media relations skills have landed Sifted’s thought leaders in top publications like FreightWaves, Supply Chain Dive, PARCEL Magazine, and Yahoo! Finance. Connect with Grayson on LinkedIn here.
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