FedEx's Boeing 777 order may hinge on labor law
FedEx announced that it might renege on a $7.7 billion order for 30 Boeing 777 planes if Congress passes a labor law approved by a U.S. House panel earlier this month. The bill would apparently reclassify the company whose employees currently operate under the Railway Labor Act, placing them under the National Labor Relations Act instead. If passed, the legislation would allow workers to vote locally on union representation, making it much easier for them to unionize. UPS ? which has about 50% of its employees unionized already ? supports the bill as a means of evening the playing field with the now largely non-unionized FedEx. Boeing hasn't stated an opinion on the matter, while the Teamsters union is hoping the legislation will aid their organizing efforts at FedEx.
See "FedEx's Boeing 777 order may hinge on labor law", The Seattle Times, March 24, 2009