The Brown "Bailout"

I came across something recently that has troubled me. Knowing something and seeing something are two very different things. There is a new provision in the FAA Authorization Act which will change the way the labor negotiations are conducted for Air Express package companies. Instead of the Federal Railway Labor Act which has been used to govern most airline companies, the provision requires the use of the National Labor Relations Act.

Since Federal Express is primarily a non-union company they have began a campaign to oppose this provision labeling the campaign "Oppose the Brown Bailout." In tiny letters at the bottom of the page, it states that the web page is "brought to you by Fed Ex Express."

UPS is primarily a union company. What Fed Ex apparently objects to is the fact that the bill will according to one article: "language in the House version of the bill that would make it easier for certain FedEx Express workers to form local union bargaining units. It has spent millions on its lobbying effort, as has UPS, which supports the provision." This will benefit not only UPS, but all union based Trucking and shipping companies who use Air Express services.

Fed Ex is using its corporate might to promote what is clearly an anti-union stance which will result in keeping the status quo vis a vie union organization in shipping services. With the new Republican Congress, it is unlikely that the provision will be considered in the lame duck session. Yet, Fed Ex has sponsored a campaign to block this legislation and has apparently been successful.

Another corporation has used its might to cripple union organization and negotiation capacity.

UPS Explains their position here and I have been a little clumsy in explaining it. What I have a problem with is a major corporation campaigning against a provision which allows union organization. Fed Ex functions on a company wide basis as far as union organization is concerned. UPS, since it started as a primarily trucking based company functions as a group of individual Union provisions at each terminal. Fed Ex has none of those limitations.

In the commentary below I can further amplify my opposition to Fed Ex's corporate clout, but it is clear that UPS and Fed Ex are two very different operations.