Stephen, J. Cabot blog

June 28, 2007

NLRB DELIVERS TOUGH BLOW TO FEDEX

Filed under: Employee Free Choice Act — Stephen Cabot @ 12:24 pm

The National Labor Relations Board has certified a union vote on behalf of FedEx drivers in Wilmington, Massachusetts. The drivers had been hired as independent contractors, which permitted FedEx to encourage entrepreneurship amongst its drivers, while providing flexible, competitive service to its customers. The certification, in effect, says that the drivers are not independent contractors, but are employees.

The drivers in the home delivery division had voted 24 to 8 to become members of The Teamsters Union which would represent them in collective bargaining.

FedEx, of course, disagrees with the ruling, stating that the union engaged in “objectionable misconduct,” thus affecting the outcome of the election.
This may portend an unfortunate trend, for there are now 35 consolidated suits being brought by drivers in 30 states whose representatives would like to move forward as a class action.

There are 15,000 independent FedEx drivers who could be affected by a pro-union ruling, which would have negative consequences not only on FedEx, but also on those who do business with the carrier.

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