Penjoy: Big in trucking

Penjoy owners bought the company as their first business after husband was laid off from his job

When it comes to selling Mack and Freightliner trucks, few dealers can match Penjoy Co.

Owners Allen and Linda Zook say they've sold about 12,000 trucks since May 2006, when they took over the Mount Joy firm.

Penjoy's customers have included a number of big-name companies, such as Rite Aid, Staples, Nestlé, Pitt Ohio Express and Yellow Freight.

Maybe it's the cost — starting at $40 a truck in minimum lots of 100.

Of course, at that price, the trucks are so small they can't haul much more than the customers' logos. But for promotional purchases, that's enough.

And unlike most dealers of full-size models, Penjoy actually assembles and paints the one-sixtyfourth-scale trucks it sells.

The metal parts are die-cast at Deco Products in Decorah, Iowa, and shipped to Mount Joy for finishing. The rubber and plastic parts are made by Master Tool and Mold in York.

Despite being just a few inches long, Penjoy's trucks have as many as 57 parts, said Allen Zook, the company's president.

Once the parts are cleaned up and "painted" with a baked-on powder finish, it takes about a day and a half for an employee to put 100 trucks together, he said. Full Story.....

FedEx profit hit by economy, fuel

FedEx Corp. on Thursday reported a higher-than-expected third-quarter net profit, but gave a low outlook for the current quarter citing soaring fuel prices and slowing U.S. economic growth, sending the package delivery company's shares down more than 2 percent.

"Our fourth-quarter earnings outlook has been impacted by higher-than-anticipated fuel prices and a weak U.S. economy," Chief Financial Officer Alan Graf said in a statement. "Looking ahead to our fiscal 2009, we are expecting a continuation of fourth-quarter trends, which would result in limited earnings growth next year.

"We are scrutinizing all expenses and investments to realign them with the current environment," he added.

Al Meyers, portfolio manager for the AHA Diversified Equity Fund, said the results showed "the downward economic spiral continues."

"The question is whether in three months time whether we'll see any improvement," he said.

The Memphis-based company reported net income for its quarter ending February 29, of $393 million, or $1.26 a share, down almost 7 percent from $420 million, or $1.35, a share a year earlier.

Wall Street analysts had on average expected earnings per share for the quarter of $1.23, according to Reuters Estimates.

In a conference call with analysts, high oil prices were mentioned repeatedly as weighing on the company's business.

Chief Executive Fred Smith said he saw "little justification" for current price levels and said the high costs had led to some customers shifting "to lower-cost services." Complete Story...

Arkansas trucking group wants congressional study of diesel prices

Arkansas trucking companies are asking Congress to look into record high diesel fuel prices. The Arkansas Trucking Association says the high prices are threatening the general economy and the flow of goods throughout the country.

The trade group, based in Little Rock, wants Congress to hold hearings on the problem. Association President Lane Kidd says Congress should examine why diesel supplies are plentiful but prices keep rising and consumption is flat.

The group includes representatives from ABF Freight Systems at Fort Smith, FedEX Freight at Harrison, P.A.M. Transportation Services in Tontitown, and USA Truck Inc. at Van Buren.

UPS Freight Workers in Alabama, Michigan, Pennsylvania Sign Cards to Become Teamsters

In Latest Victories, About 280 Drivers, Dockworkers Will Join Teamsters

An overwhelming majority of about 280 workers at the UPS Freight terminals in Alabama, Michigan and Pennsylvania have signed authorization cards to become Teamsters, bringing the total number of drivers and dockworkers seeking to join the union to more than 9,000 since January 16, Teamsters General President Jim Hoffa announced.

The workers are seeking to join Locals 991 and 612 in the Alabama cities of Birmingham, Dothan and Mobile; Locals 7, 406 and 486 in the Michigan cities of Battle Creek, Cadillac, Grand Rapids and Saginaw, and; Local 397 in Erie, Pennsylvania.

“Every day brings more good news for UPS Freight workers, who have remained strong and committed in their long effort to join the Teamsters,” said Ken Hall, Director of the Teamsters Package Division. “It is exciting to have more than 9,000 UPS Freight workers join the Teamsters from across the nation.”

“This victory means a lot and I want to thank Jim Hoffa and Ken Hall for their efforts to make this happen,” said Tom Harty, President of Local 7.

“A lot of workers who started at Overnite were prior Teamsters who tried for years to rejoin the union. But they kept at it and now the former Overnite workers and UPS Freight workers are pretty tickled,” said David Robinson, Secretary-Treasurer of Local 486.

“We are ecstatic that these workers will be part of our union,” said Ron Holzgen, Secretary-Treasurer of Local 406. “We believe we can greatly improve the lives of these workers.”

“I want to thank several UPS Freight employees who were particularly instrumental in acting as organizers to get this done,” said Donnie West, President of Local 612.

“These workers will now have a voice on the job and this will move them toward a more secure future with the Teamsters,” said Jim Gookins, Secretary-Treasurer of Local 991. “Our thanks go out to the Teamsters’ Organizing Department for helping us with this victory.”

“We look forward to negotiating a strong contract for our new members,” said Ron Gibbs, President of Local 397. “Our greatest asset is our members.”

DHL National Contract Supported by Members in Delaware, Missouri, Connecticut

Additional Meetings Planned for Members Across the Country


DHL Express members in Missouri, Delaware and Connecticut reviewed the new DHL National Master Agreement in meetings held this past weekend. The meetings informed members of the highlights of this strong, historic agreement.

“Once everybody got the facts and could see everything in print, they were ready to go with the contract,” said Joe Smith, Secretary-Treasurer and business agent of Local 326 in New Castle, Delaware. “Members could see it’s a damn good contract. It protects the benefits, seniority and working conditions that have been in place under the NMFA.”

“I think it’s a good contract,” said John Mastella, a 29-year driver based at DHL’s New Castle, Delaware facility and 15-year shop steward. “I tell coworkers it’s a strong contract, and I would say 80 to 85 percent of our barn endorses it. This contract has real strong language and it hits on all points—job protection, wages and benefits. We didn’t take a step backward on anything.”

Approximately 75 members of Local 326 and 95 members of Local 600 in St. Louis attended meetings to review the tentative agreement. Eleven members of Local 493 Uncasville, Connecticut attended a meeting with some 350 members of Local 25 in Boston. Approximately 250 members of Local 107 in Philadelphia also met this past weekend and strongly supported the new tentative agreement.

“Prior to the meeting we were getting feedback that there was going to be a lot of concerns about the use of part-timers,” said Scott Gilchrist, business agent at Local 600. “But after the workers had the rules explained, they were a lot more comfortable with the language that was used to protect them. I told our membership that we support the contract and I think the majority of our members are going to vote for this contract.”

“Receiving support from these first five DHL locals shows that this is a strong contract for members,” said Brad Slawson Sr., chair of the Teamsters national negotiating committee. “As more and more members learn the details of this tentative agreement, they see its great benefits.”

Unanimously endorsed 52-0 by local leaders who represent workers at DHL throughout the country on March 12, the tentative agreement is the first new national master agreement to be negotiated in more than 30 years. Members will be mailed voting ballots in the next few weeks.

Additional informational meetings are planned for DHL locals across the country. As more locals hold meetings, members will be updated regularly.

FedEx Files Brief Defending Illegal Contractor Model in U.S. Appeals Court

FedEx Asks For Review of NLRB Employee Determination

FedEx Corporation subsidiary FedEx Home Delivery is defending its illegal
contractor model in the U.S. Court of Appeals for the District of Columbia
Circuit.

In a brief filed Tuesday, FedEx Home Delivery is requesting a review of
a National Labor Relations Board determination that drivers at two
Massachusetts terminals are employees and not "contractors" as contended by
FedEx.

The drivers at the two facilities overwhelmingly voted in October 2006
to join Teamsters Local 25. The NLRB ordered FedEx to bargain with Local
25, but FedEx refused to do so and filed the request for review in the
Court of Appeals instead.

The D.C. Circuit is the highest court yet to hear a case on FedEx's
illegal contractor model.

FedEx's filing restates the many losing arguments that the company has
tried in previous trials and hearings before the NLRB, civil courts and
state and federal agencies. FedEx's brief focuses on the false claims of
"entrepreneurship" offered by the company and ignores the many control
factors that directs the drivers as employees in practice.

"The National Labor Relations Board has repeatedly and rightly
determined that FedEx Ground and Home Delivery drivers are employees, yet
FedEx is trotting out the same failed arguments and false promises before
the Court of Appeals," said Teamsters General President Jim Hoffa.

"Instead of sitting down, negotiating a contract with these drivers
that literally deliver profits to FedEx everyday and getting back to
business, FedEx is repeating its mistakes," said Local 25 President Sean
O'Brien. "These drivers and Local 25 are ready to talk and get a contract,
but FedEx insists on delaying the process and raising the stakes with an
appeal that will only result in another legal setback to its scam
contractor model."

Massachusetts authorities repeatedly ruled that these same drivers are
employees under state law. The state's Department of Workforce Development
ruled one driver was eligible as an employee for unemployment benefits. The
Massachusetts Commission Against Discrimination ruled four drivers were
employees and could pursue a claim. The Massachusetts Attorney General
issued 13 citations against FedEx Ground for misclassification and fined
the company $190,000 in an ongoing investigation.

The California Supreme Court and California Court of Appeal upheld a
trial court's 2005 decision that drivers in California were improperly
classified as contractors. In December 2007, FedEx announced that an
Internal Revenue Service audit also preliminarily determined that the
drivers were employees and issued a $320 million back tax bill to the
company.

FedEx's brief and other documents are available at FedExWatch.com.

Latest Victories Include Nearly 350 Drivers, Dockworkers

An overwhelming majority of nearly 350 workers at the UPS Freight terminals in California, Colorado, Kentucky and Tennessee have signed authorization cards to become Teamsters, bringing the total number of drivers and dockworkers seeking to join the union to about 8,750 since January 16, Teamsters General President Jim Hoffa announced.

The workers are seeking to join Local 287 in San Jose, California,
Local 17 and Local 961 in the Denver, Grand Junction and Colorado Springs
area, Local 519 in the Knoxville and Chattanooga, Tennessee area, and Local
505 which includes Prestonburg, Kentucky.

"The number of workers that have signed cards in recent weeks has been
overwhelming," said Ken Hall, Director of the Teamsters Package Division.
"Their determination to become Teamsters will be rewarded with the union's
dedication to them to get them as strong a contract as we can."

"Now these workers have union protection that they never had before,"
said Midget Morgan, President of Local 505. "The workers are so excited to
join the Teamsters."

"These victories have been tremendously uplifting to all the workers
across the country," said Bob Blanchet, President of Local 287. "They see
hope for a better future around the corner."

"Workers here have been concerned about their benefits slowly going
away and were eager to join the Teamsters in order to get a contract," said
Chris Rodriguez, Vice-President and Business Agent of Local 17.

"This has been a long time coming and we look forward to a great
relationship with the workers and with the company," said Matt Fazakas,
President of Local 961. "I also thank Mr. Hoffa and Ken Hall for leading
our efforts."

"The workers here were very united and committed and we got this done,"
said Wes Trotterchaud, President of Local 519. "We're sending the message
that we are unified."