Transportation
UPS Pay Hikes for Package Handlers Raise Pressure on FedEx
- FedEx: Teamsters deal will make it tough to reduce turnover
- Maintaining labor levels had already been difficult for FedEx
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The raises won by United Parcel Service Inc. package handlers are going to put FedEx Corp. in a bind.
While the salaries that unionized UPS drivers will make under the tentative five-year agreement have grabbed headlines — ones with a few years experience could earn nearly $50 an hour — the bigger problem for FedEx might be that workers in sorting centers are getting even bigger pay hikes, with some increases hitting 55%.