Land Line has reported that "Nearly 12,000 independent contractors for FedEx Ground, including many OOIDA members, are still reeling from the company’s recent news that they must comply with new business standards or lose their contracts. On May 20, FedEx President and Chief Executive Officer David F. Rebholz sent a letter to all of FedEx’s independent contractors stating the company will only contract with entities that “are corporations established under state law and not, for example, an LLC, LLP or sole proprietorship.” They will also have to be “in good standing with the state(s) in which they do business and classify personnel who provide services for them as employees. Independent contractors leased to FedEx have 180 days, beginning May 20, to “satisfy the standards” outlined in the letter. According to its August 2009 quarterly report to the Securities and Exchange Commission, FedEx Ground is “involved in approximately 50 class-action lawsuits, including 29 that have been certified as class actions, several individual lawsuits and approximately 40 state tax and other administrative proceedings that claim the company’s owner-operators should be treated as employees, rather than independent contractors." Read the full article here

From postcom.org

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