Download FedEx Home Delivery Operating Agreement and Employment Status of Drivers and more Slides Labour Law in PDF only on Docsity! FedEx Home Delivery HR Model for Drivers • Wilmington, Mass, 32 contractors at 2 facilit. • Recruitment – Independent Contractors – DOT driver requirements (e.g. license, drug screen) • Operating Agreement - “take-it-or-leave it” – drivers are ind. contractors – 14-Day FedEx Home Developed Training Prog. – FedEx Home may not determine breaks, hours, or routes taken – Must meet FedEx performance stds. Docsity.com Operating Agreement (cont.) • Wear Fed Ex Home Uniforms • Maintain personal appearance • Termination by driver or FedEx if business in area declines • Vehicles – Purchased (prices from $15-38,000) – Maintained by drivers • Normal operating maintenance and upkeep • DOT Standards for safety • FedEx Home standards for appearance and signage – Use • While delivering FedEx packages Tu-Sat as required), no other uses • May use vehicle for revenue when not on FedEx routes, 1 driver did so • Package Delivery – Service delivery area determined and may be changed by FedEx home – Must deliver all packages on truck scheduled for that day – Must permit FedEx Home management to ride with them from time to time • 2 all day service rides per year • Given packages but may deliver in order chosen • Deliveries based on customer contacts to FedEx Home, not drivers Docsity.com RD Analysis • 6 Cases all found drivers ees – 3 Roadway cases – 3 FedEX Home cases • Bases for finding of ee status – All do business in name of FedEx Home rather than their own names • uniforms • Logos • Vehicle specifications • FedEx Home training – Non-Fed Ex work • Not while delivering for Fed Ex • During off hours but no drivers do so – Due to constraints of relationship with Fed Ex- Docsity.com RD Bases for finding of ee status (cont). • FedEx maintains substantial control over performance – Determines and can change service area – Establishes Tu-Sat schedule – Determines day of delivery • Constrains control over daily schedule and breaks – “take-it-or-leave-it” agreement – Rates of compensation established by Fed Ex Home – Bonuses tied to compliance with guidelines – Business support for drivers Docsity.com FedEX Home Delivery v. NLRB CA DC, 2009 • Delivery drivers are independent contractors (IC’s) and therefore not covered by NLRA – Denies enforcement of NLRB finding of refusal to bargain • Reasoning – “Right of Control” test accepted since late 1960’s but definition of “control”is ambiguous • Criteria – Supervising performance? – Monitoring performance? – Improving performance? • Court looking for an objective, “bright line” test – Criteria for IC’s evolved • Significant entrepreneurial opportunity for gain or loss • May use trucks for own purposes if they mask FedEx logo • Fact that many contractors do not use trucks to earn income is less important than the fact that they may so use them – Other factors • May hire additional drivers • May operate multiple routes • May sell routes Docsity.com
