Close the FedEx Loophole

April 2, 2010: The Teamsters Union and UPS are backing legislation that would make it easier for FedEx workers to join our union.

For years FedEx has used its lobbying muscle to be classified as an airline. This puts FedEx under the Railway Labor Act, which makes it much harder for workers to organize.

Every other freight and parcel carrier—including UPS—is covered by the National Labor Relations Act.

The Teamsters and UPS are jointly backing legislation that would close the FedEx loophole. This reform was passed by the House last year as part of much broader legislation—the FAA Reauthorization Act. But the Senate version of the bill kept the FedEx loophole intact.

The differences now have to be worked out between the two houses of Congress.

Employees are paying the price for the FedEx loophole. FedEx workers are paid less per hour than comparable UPS Teamsters—and FedEx contributes much less an hour toward their benefits.

Closing the FedEx loophole will make it easier for FedEx workers to get the pay and benefits they deserve. It will also protect UPS Teamsters in contract negotiations where the company always points to the lower wages and benefits paid by the nonunion competition.

Our union needs to step up the grassroots pressure on politicians to pass this important legislation. Teamster members need to be ready to do our part.

Get Advice Join TDU Donate

Recent News

How We Made UPS Create RPCD Jobs in Our Local

UPS CEO Carole Tomé’s Better, Not Bigger strategy is about cutting volume and Teamster jobs. South Carolina Local 509 has fought back and won new driver positions. Shop Stewards John Gacsey and Russell Sires share how the fight played out in their building in Palmetto.

United Autoworkers Fight for Their Union

President Shawn Fain led members of the United Autoworkers (UAW) to victory in the Stand Up strike against the Big Three automakers. Now, he’s facing trumped up allegations from a federal monitor who’s trying to tip the balance in the upcoming UAW election for International Union officers. Here’s what you need to know.

View More News Posts