Tag: USA

Some US franchisees unhappy with UPS

With a gleaming new sign out front and more small packages than ever coming through his doors, these should be the best of times for UPS Store owner John Kelley.

But a blizzard of boxes in December — the peak holiday shipping month — masked what Kelley says is a troubling fact for him and some other UPS Store owners: The franchises are less profitable now than when UPS bought their parent company in 2001.

The problem for UPS Store owners, however, is that UPS capped store shipping rates — a boon for consumers who get lower prices but a hardship for store owners accustomed to steep markups.

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USPS Launches innovative management pay system

U.S. Postmaster General John E. Potter, working with Postal Service employee groups, has launched an innovative pay system for 70,000 management employees that uses goals and performance indicators to determine the size of their annual raises. Potter is betting the pay-for-performance system will spur most postmasters, managers and supervisors to continually improve mail operations because they will have a chance to earn bigger raises than in the past. “If our people are happy, our customers will be happy because service will be up, and costs will be down,” he said.

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US Postal Service, airlines at odds over mail fees

United Airlines and other carriers were paid USD284 million to ship international mail last year, five times higher than actual costs, the Postal Service said in seeking to freeze the rates and negotiate lower fees.

Rates should be based on the market, without adding costs such as maintenance and salaries the government considers in setting fees, the service said in a Department of Transportation filing last month.

A fair rate would cut international mail costs to USD50 million, the filing said.

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Flick to Replace Retiring Warrick as President of UPS Europe

Wolfgang Flick, a veteran UPS manager who began his career by helping establish the company’s first international operation outside North America in Germany, was named to replace the retiring John Warrick as president of UPS Europe.

Warrick, a 34-year veteran of the company, had directed the operation of UPS’s largest international region since 2000. Through Warrick’s tenure in Europe, UPS enjoyed continuous volume growth and record-breaking revenue.

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