What the Heck is Up with FedEx???
Judy Clothier
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Thursday Aug 8th, 2024
If you’ve done much shipping lately, you might have experienced some of the current chaos that seems to be plaguing FedEx. What’s going on? How does it affect you? Will it get better? What can you do about it right now?
Grab your favorite beverage and buckle in for a long ride. But if you’re short on time, you can skim this list and then skip down to the topic/question/concern that means the most to you:
- What’s causing this mess to begin with?
- I haven’t noticed anything wrong. What experiences are other people having?
- FedEx hubs are closing?
- Why can’t I find my local hub on your website? It was there yesterday.
- Are FedEx drivers being laid off?
- Is FedEx reducing the number of flights for Express shipments?
- Are they putting Express packages onto Ground trucks?
- The scanner/tracking system seems wonkier than ever.
- Is there a timeline for being done with this mess?
- Can I ship with UPS?
- Are we seeing any positive outcomes from all this mess?
- What can I do in the meantime?
- Are there more closures coming soon?
- What is Redline doing?
1. What’s causing this mess to begin with?
Historically speaking, FedEx has essentially been two separate businesses–Express shipping and Ground shipping. They operated as completely separate entities, with only a little communication and shared infrastructure between them. (There's also Freight, but that's a whole other beast we don't deal with at this time.)
In the spring of 2023, we got word that FedEx is working on merging Express and Ground into a single, integrated enterprise. This merger, called Network 2.0, comes with significant upgrades and alterations to the FedEx infrastructure.
These changes have been going on for quite a while now. Several hubs have closed over the last few months with barely anyone noticing. It was only last week when FedEx closed/changed several hubs all at the same time, all within close proximity of each other in SW Florida, that people really took notice. For those impacted by these closures, it was very alarming. That's when the questions really started to fly.
For now, this is causing a bit of chaos, confusion, and inconvenience for some of our customers, but we're confident these are just growing pains. These changes will increase FedEx efficiency in the long run.
2. I haven’t noticed anything wrong. What experiences are other people having?
The vast majority of FedEx customers won’t notice or feel the changes they are going through. But the specialized nature of our business, shipping live animals, gives us a much more intimate connection with the nitty gritty details of FedEx infrastructure.
Multiple Ship Centers (hubs) have been closed, repurposed, or consolidated across the country, especially in Florida. Being repurposed or consolidated may change how they operate, so that even if still open, they may no longer be accepting live animal shipments. More hubs will be impacted as the merger continues to roll out. Most of the time, there will be alternative hubs that customers can still reach.
Some Express shipments, primarily 2Day or slower, are being delivered on Ground trucks. This isn't a new practice but might feel new if you haven't heard of it before. It can cause confusion in the tracking system and snags our ability to intervene through FedEx customer service, not to mention the potential risk of exposing live shipments to unregulated temperatures on delivery trucks. 2Day shipments are especially vulnerable to this development. More on this below in question #7.
Most shipments still track just fine through the system, but wonky or missing tracking scans seem to be happening more often. If this happens to you, it may feel like it's happening everywhere, but the vast majority of shipments are still going through as normal.
3. FedEx hubs are closing?
Some, yes. Will your local hub close? We don’t know. We’re not always given advance notice on which hubs are closing, or what changes are being made. And until those multiple closings hit all at once last week, we did not know the impact these changes would have. We don’t hear about them until there’s a specific issue that brings them to our attention. We then reach out to FedEx and ask for clarification and more details.
Some hubs are being shut down entirely. Some are merging with a nearby Ground hub. Some are being turned into “Office” stores.
Redline Shipping is your advocate throughout these changes and beyond. We’re keeping up with the rapidly evolving situation and adjusting the information available on our website daily, with as much as we know at that time. We're implementing new procedures to check the status of hubs and be ready to put up alert banners if we hear about changes coming to popular hubs.
4. Why can’t I find my local hub on your website? It was there yesterday.
As mentioned above, we’re doing all we can to keep up with the rapid changes. The “Find a Facility” feature of our website is integrated with the FedEx system and filters local Ship Centers based on how FedEx has them classified.
If FedEx changes the classification of a hub, it may drop off of our list. We also sometimes find out that a hub has closed, but the FedEx system hasn’t kept up with these changes. When we know a hub no longer accepts live animals, we will remove that listing from our database by hand.
“I’m 100% sure my local hub is still accepting live animals, but it’s not on your list. Can I still ship there?” Yes, you can enter the address by hand. Just understand that we can’t vouch for that location. There are certainly going to be conflicting status reports among the hundreds of hubs still operating as things continue to evolve. But there’s also the risk that the hub you think is still operating as normal changed just that day and the package you sent arriving tomorrow may be rerouted to deliver at a new hub.
Please contact us if you learn any details about your local hub you think we should know. And don’t hesitate to reach out to us if you have any questions, either about your own hub, or one for your customer.
5. Are FedEx drivers being laid off?
Some, yes, along with other FedEx employees. But FedEx seems to be generous with options to transfer to another local facility, relocation to FedEx in a new city, or severance packages to help employees tide the gap between jobs.
6. Is FedEx reducing the number of flights for Express shipments?
FedEx is moving away from its current hub-and-spoke model of sending the majority of shipments through Indianapolis and Memphis, and towards more direct flights. While the overall number of flights will go down, it'll be due to an increase in efficiency and not as a result of throttling their services.
7. Are they putting Express packages onto Ground trucks?
Ground drivers delivering Express packages is not new. The practice was especially prevalent during the peak of the Covid pandemic. Priority Overnight (PO) shipments still have to deliver on time earlier in the day, though, so it's mostly 2Day and slower that get given to Ground since their routes are less time-sensitive. Ground drivers also tend to leave the stations very early in the morning, hours before PO shipments even get to the station, so Ground drivers often take 2Day shipments with them for delivery since those are already at the station by the time they have to head out.
This practice may increase as more hubs are consolidated with both Express and Ground services. We strongly encourage all invert and aquatic shippers to consider switching to Priority Overnight or Standard Overnight, which not only increases the safety of your shipment and its contents, but also offers the option of our On Time and Live Arrival Insurance, which could be invaluable through these FedEx growing pains.
8. The scanner/tracking system seems more wonky than usual.
The handheld scanner devices have been getting a major upgrade. The downside is that new tech always has bugs to work out. At this time, Redline is not seeing a significant change in the number of tracking issues, but that could change as the systems are fully merged and new bugs pop up that need to be fixed. Rest assured, Redline is always on your side and here to help you through any tracking/scanning issues you encounter.
Overall, the new scanners are very good news. We are already seeing benefits such as GPS location tagging on residential and other non-hub deliveries. GPS tagging has already helped us locate several "missing" shipments and is powerful evidence against people claiming to not have received their shipments.
9. Is there a timeline for being done with this mess?
As is typical with big changes to massive infrastructure, the process is taking longer than originally anticipated. Current predictions are another one-to-two years before everything is in place and fully integrated.
10. Can I ship with UPS?
As of this writing, the official stance at UPS is that they still do not accept or allow any shipments involving live snakes or arachnids. We continue to keep tabs on any developments from that angle.
11. Are we seeing any positive outcomes from all this mess?
Yes, absolutely. As mentioned above, the GPS tagging system on the new scanners is already helping to find packages. Communication with drivers is also getting better.
FedEx is implementing new infrastructure and procedures for live shipments that will help keep them safer during delays and make them easier to find in the rare event that they get lost in the system.
We’re building powerful relationships with multiple department heads that will continue to strengthen as we work through these challenges together.
12. What can I do in the meantime?
Check in with your own local hub. Ask if they are expecting any significant changes, such as closure or consolidation with another facility.
Check in with “Find a Facility” before you book your label, and again before you ship out. Make sure it’s still open and on the list.
Get to know your local “mom-and-pop” shipping stores that work with FedEx, and the people that run them. Don’t just walk in with an animal out of the blue and expect acceptance, but if you build a relationship there…if you’re friendly and open with them...they may be glad to set a policy of live animal acceptance at their store. And if you get an arrangement like that set up, let us know!
13. Are there more closures coming soon?
Yes.
Three hubs in South Carolina (West Columbia, Florence and Myrtle Beach) and one hub in North Carolina (Conover) are scheduled to close on September 3, 2024. Redline will be monitoring this closely and looking for alternative options to support our customers.
It's still possible that changes may come without warning, but we are diligently searching for news and will let you know when we have something concrete to share. Please watch RedlineShipping.com for banner announcements as they come.
14. What is Redline doing?
We are putting new procedures in place to receive early warnings whenever possible of future hub closures or changes. We'll be putting up banners to warn customers who may use those hubs, and offer alternative drop-off/pickup locations, as available.
We have been working closely with our account rep, the head of the Live Animal Desk, and several other FedEx department heads to push for better solutions for our clients. We are actively brainstorming with them on various solutions to help minimize the disruptions and other issues experienced by live shippers.
We have some FedEx heavyweights going to bat for us/our industry and we are optimistic that we will ultimately get approval on some of these ideas. It's a process, to be sure. Changes don’t come easily or quickly to a corporate entity the size of FedEx. But be assured we are working hard and continuously to protect and improve the process of shipping reptiles, amphibians, invertebrates, and aquatic animals…not just for our customers, but for everyone who depends on Live Shipping for their livelihood.
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We sincerely hope this eases some of the uncertainty and apprehension surrounding the changes FedEx is currently going through. It might sound scary, but we are on top of it!
Please don't hesitate to report any specific issues you encounter with your local FedEx facilities to support@redlineshipping.com. We can, and will, forward those to our contacts at FedEx to help them better understand what is or isn't working for us.
Redline is in your corner. We are proud to be your advocate and your voice, making sure FedEx does not lose sight of the critical role they play in our world. Your best interest and the safety of your animals is our absolute top priority. We may have some bumpy roads ahead, but we'll get through them together!