Word spreading around HQ is another 20% layoff very early 2024. Also, they’re finalizing which locations to permanently shutdown and/or sell. Bulldozer guy who also works at HQ has been trying to tell you guys this for months. Remember when everyone blew off the “rumors” in 2019? I think bulldozer guy is going to have a good laugh when most of you are unemployed and didn’t prepare like he suggested.
What are the chances that this is legit?
I think Vena showed up at FedEx around May or June of 22, and then officially resigned on August 14 when he became the the Chief Eccentric Officer of the UP. Looking at the FedEx stock history showed big changes were happening all while Vena was there. Job cuts and location closures were the biggest from what I read. So yeah PSR or some form of it did infect FedEx as well. That stock history had it ups and downs as all stocks do, but the problems there got worse after his appointment to the board. Vena left and the problems obviously didn't go away. I think Vena gave them shareholders a glimpse of the wealth they could have by following the PSR idea. The problems at FedEx were there before Vena showed up, but sadly got worse for them with Vena in the picture. Vena is going to live with the failure of PSR for the rest of his life. The best thing he should do right is to retire or be forced to retire. Hunter Harrison ran with PSR and never got to fully enjoy his 200 million that he was paid to implement his PSR plan at the other railroads. Vena was his right hand man at the CN, and is really all he knows. That really shouldn't be a shock to anyone at this point. Vena really doesn't know what he's doing. He knows PSR and that's it.
@2hqq Well the ironic part is that Vena is on the FedEx board. Were they doing bad before Vena got elected to the board? Maybe, but when did they first start seeing a decline in volumes? You said ten quarters worth, which is roughly around the time Vena first appeared there. Wanna bet it was actually when Vena showed up? Him being on the board DID NOT help their situation at all! He went there and started recommending layoffs at many FedEx locations. The PSR virus has infected many industries now. There's quite a few industries now that have announced cost cutting strategies to please the shareholders. You think that's a coincidence? If the freight recession was ongoing, then what triggered the federal hearings regarding service issues? If the freight was down, then why have multiple federal hearings regarding service issues due to lack of manpower? The work was there, but the people weren't! There's also a whole lot more to the Yellow liquidation that you left out. The work is out there, but there's people running these companies who think they can operate more efficiently with much less people, all in favor of pleasing the shareholders. You don't lay people off and then somehow magically gain volume. More people equals more volume. Less people equals less volume. That's sounds an awful lot like PSR to me. Companies out there need to show the CUSTOMER, not the SHAREHOLDER that they can operate on different levels. The UP failed at that miserably. They cut too many people, and the freight came back. OOPS! Now they don't have enough people and many of them that were let go, DIDN'T COME BACK! The UP never recovered from the last PSR stint. Now that Vena is back, I can assure you it won't get any better at the UP. Companies struggle and fail mostly due to poor management and bad decisions. The problems occurring at the UP isn't because of lower freight volumes. It's because of poor management and bad decisions. Vena better understand that people ARE watching, people ARE listening, and people ARE waiting. These people I speak of aren't just employees of the UP either!
How many non-agreement bail after they receive their reduced year end bonuses?(thanks Lance) those with enough years and age bail with their pension and go work for a government agency and collect pension? I’ve heard two SVP’s are out this spring when they hit 55…. Good luck and Happy New Year!!!
FedEx has reported 10 consecutive quarters with a decline in shipping volume.
FedEx just reported a bad outlook for 2024, with declining revenue and freight volumes. A signal that the US Economy is not as as strong as people think heading into the new year.
In particular: FedEx lowered their revenue outlook for 2024 and also reported a near 30% decline in shipping freight volumes from the levels during the pandemic. The reason FedEx is struggling is due to an ongoing Freight Recession in America, that is due to an oversupply of trucks and not enough goods to ship.
This Freight Recession has led to companies such as Yellow Corporation, one of America's largest trucking companies, to declare bankruptcy.
One has to wonder: if the issues for FedEx and the trucking industry continue, when will it rollover to railroad?
I foresee closing shops to be reopened as scab shops
I think your correct, I don’t believe there will be MASS layoffs but he has already laid off quit a few, shut down a few smaller places and made comments about “if we need to reduce staff in certain places we will” I have a hard time understanding how there’s anyone left to trim!!! It’s insane, the head count company wide is thousands and thousand less than before. I think this is why people get pi---d when he lays of 80-90 people, not a big number but compared to what’s already been cut, now your running razor thin, keep cutting 80-90 every few quarters and see how things play out. Not good
Very slim. We've been hearing this "word" for some time now. Any mass layoffs at any of the class 1's will trigger a response from the federal government and most likely another hearing or two. Remember that there's three other class 1 RR's that got away from the layoffs and that was publicly announced to the investors. Fritz got sh1t-canned because of the poor service. That poor service stemmed from lack of manpower which was largely caused by the layoffs and lack of folks returning. A lot of the rumors were blown off because they just weren't true. There's too many people that get on sites like this just to get people worked up, mostly because they're A-holes. If the rumors are true, then I'll worry about it when it happens. The point is that the first layoffs a few years ago is what started the hearings the last time. A massive layoff campaign will start those problems back up. I'm not a business professional, but I think Vena really should avoid doing any layoffs right now. Vena really can't afford to sc--w this up. He said in an interview that "I didn't come here to blow the place up", which is EXACTLY what he did the first time. Every problem at the UP was brought on by him, and he dam well knows it. The hearings were a result of HIS decisions. Fritz is the one that paid the price for Vena's bad decisions. Fritz protected him by telling the STB the final decision was his, when in reality is was Vena's decisions. Well that cost him his job. There's no one there to shield Vena now. If he screws up, then he'll take McCarthy and Whited with him. The buck stops with all three of them now.
This guy posting and responding to his own posts…My man you need therapy
I work at HQ, I’m hearing the same talk from the higher ups. I haven’t figured out who bulldozer guy is yet but he’s pretty popular around here despite being unknown. But yes, word is mass layoffs/closures. I personally know 17 employees at HQ who are quitting after the New Year.