FedEx files lawsuit against its largest contractor over holiday peak shipping

Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.

Connect with CNBC News Online

#CNBC
#CNBCTV

[platinumjohnson]

Any business entity that would rather come up with a contingency plan vs paying contractors and carriers their worth should be abolished. Greed should equal failure.

[zamp]

FedEx is one of the worst companies to work for Ever!! FedEx is a perfect example of why Unions are Needed!! I was a former contractor of the year, with over 13 years of contracting to FedEx Ground. Over the last three years they have cut our pay drastically!! They call it E-Commerce pay. I call it a 50%+ pay cut on 80% of my delivery stops! Combine that with 7 day operations + nearly every holiday. So, in summary during Record Profits for FedEx corporate, & during the highest Inflationary environment in our countries history, along with soaring gas prices. FedEx is charging its customers fuel surcharges & pocketing the $, while also giving the contractors a pay cut on its residential deliveries (E-Commerce). Over Half of the Contractors are behind Spencer Patton (largest contractor), FedEx better be careful! They need to do the right thing & give back our pay cuts!

[juanordaz]

Everything Spencer presented in his speech is the total truth about fed ex as a whole Corp. Contractors are the back bone of the the company but yet get threatened and treated like garbage. It's been a one way street for a long time with this multi billion dollar company. There is never negotiation, it's always their way or the highway. I hope this goes viral so everyone sees the true colors of fed ex. I can go on for days about all the bs that goes on within fed ex and how they treat the most valuable asset they have which is the contractors and the drivers.

[Kelbyn_]

These “independent contractors” are not independent at all... they are more like franchises, with rules that interfere with the internal and external expenses and dynamics of their companies.
There have nothing "independent" about them.
I don’t know why they are still called “independent contractor”.
Independent contractor is my neighbor the plumber. He drives his own vehicle with his logos and stuff and he wears his own uniform.. no one tells him how to do the things but he ensures the job is well done.

[ChalrieD]

Weird lawsuit. They’re going to force these companies to lose money?

[darrenhere]

contingency ???? LOL ....what a crock of crap that

[michiganpoke]

Fedex is charging fuel surcharges but pocketing it rather than passing it on to the contractors that actually pay for the fuel

[GPWGP]

Protect our BRAAAND 🤣🤣.. Every Contract should quit period

[mosissun]

Is it why Fashionnova isn't shipping to Mauritius anymore

[RaisingWar]

This has got to be the worlds worst delivery company ever... Go out of Business !..

[JKat]

They are not contractors if you do not pay your own insurance and run under your own authority then you are an employee with your own truck and all the headaches FedEx is legally pimping those drivers SMH

[cl]

Fedex just lost a huge discrimination lawsuit. Do better Fedex.

[melglenn]

Fedex Ground is a complete joke and a fraud!!! You came up with a contingency rather than just letting the contractors at least know that you care?? You put all of those folks out of work because of your pride?? THIS will make me as business choose not to ship with you!!

[DonLyfe]

Fed ex trying to make some of that $300 million racial discrimination lawsuit money they lost back 😂

[JKat]

They have no contingency if all drivers say their not delivering FedEx Ground is done if he can stand up then all should support him

[olivierauberger]

How can you decently attack in court a multi year business partner?

[ellelegant]

What are the facts beside what the video and comments say???? corporations take bids for contracted jobs. this guy bids on the job and he gets the contract he need to deal with it and be quiet. He is responsible for budgeting, fuel, loads and all expenses accepting the contract bid. He did the math. It is his fault if he spoke up against a contract. Then trying to get other contractors in the mix. It is his fault the truck drivers lost their job. He is the one paying the 225 drivers and low balling them. He just opened the door for another company to make more money. Don't even go there with the money as every company does not care and want that profit. The guy is being the Bully IF he signed a contract bid submitted. This guy should be filing bankruptcy in the near future if no other corporation does not accept his bids.

[Fancyfarmgirl]

Fed ex never delivers to correct addresses in my area, excuse I have been given is it’s a third party they contract and are not responsible . Refuses to give name or contact information for third party.

[Sterile-Dirt]

If wE PAy TheM MoRE We’Ll MAkE LeSs mONeY

[tonylinardi]

Perfect excuse for FedEx to increase prices. Where will the contractors go without FedEx?