« Rasmussen: Although House Passes Health Care, Most Voters Still Oppose the Legislation | Main | No Comparison, whatsoever! »

November 11, 2009

(Video) UPS -vs- FEDEX Analogy of What Unions are Doing to America

Topics: Political News and commentaries

In an illustration of yet another example of what happens when governments intervene in private markets, Reason TV's Nick Gillespie takes us inside the real issues of the battle between Fedex and UPS, satirizing the current UPS "whiteboard" ad campaign, and exposing the real villain of the issue - which is neither UPS nor FedEx. Instead, just as with most of the economic messes of the last few years, we have the federal government meddling in the marketplace once again (H/t - Ed Morrissey):

Here's a related video - a Fedex ad reminding American of the effects of union interruption business.

As Rachel Rutkoski notes at Supply Excellance:

... you should be concerned or, at the very least, aware. Since the US small parcel market is currently structured as a duopoly, the fear exists that the union could easily affect price and service in the form of coordinated work interruptions. If FedEx and UPS employees instituted a work stoppage at the same time, shippers in the US would be left with USPS for all parcels, and they simply don't have the breadth and depth of services UPS and Fedex have.

Meanwhile, UPS and FedEx are in a battle over unions. UPS lobbied for FedEx teamsters to have the right to organize, a move FedEx is resisting:

Congress is considering a change to labor law that would make it easier for FedEx Express drivers to unionize. FedEx currently is treated as an airline company, which is governed by the Railway Labor Act. Its industry rivals are treated as trucking companies governed by the National Labor Relations Act.

The new legislation would treat FedEx Express like a trucker. Ken Hall is a vice president at the Teamsters trucking union, which stands to gain new members from the change.

Ed Morrissey has additional commentary over at Hot Air.

Posted by Richard at November 11, 2009 6:31 AM

Articles Related to Political News and commentaries:

• (Video) UPS -vs- FEDEX Analogy of What Unions are Doing to America - Nov 11, 2009