3 ms·
UPS has a lot of fixed costs and doing less business could hurt them more than making less profits. They have to start paying higher wages now because of the d
by frumper 3y ago
UPS has a lot of fixed costs and doing less business could hurt them more than making less profits. They have to start paying higher wages now because of the deal they made. Their customers likely can't absorb higher prices as quickly and like you point out will cause a decrease in business as people ship less. It's a balance for UPS and it very likely isn't "just raise prices to match".
- isykt 3y agoI suspect that UPS has a large contingency of MBAs who are better qualified at striking that balance than I am, which partially explains why I don't work there and why they haven't asked my advice on the matter. I can only control the part of the transaction that originates from me. My commitment is to seek out the solution that seems, to my level of understanding and investigation, to result in the fairest treatment of workers given my lack of price sensitivity. To do anything less is to give in to capitalist nihilism. It's tempting, but I'm not there yet, personally.