Re: (erielack) REA Express

["Joe K." <joesk_@_ix.netcom.com>]

In the very early 1970's, UPS had most of the eastern portion of the 
US, basically up to the Mississippi River. UPS also had California, 
Oregon and Washington on the west coast. Packages from the east to 
the west and vise versa could only go by air at that time (Blue Label 
service). As the 1970's progressed UPS gradually got rights all 
across the US by land eventually covering all of the continental US.

Joe K.

At 09:00 AM 6/10/2013, Ed wrote:

>I remember back in the 60s and probably 70s UPS was not nationwide.  It was
>big around large metro areas.  REA controlled the interstate traffic.
>Possibly UPS saw the demise of the passenger trains and found a void in
>package express they could fill.  I know they made agreements with the
>Teamsters that usually struck a line that avoided strikes but got packages
>delivered regardless of how long a driver worked.
>
>Ed Montgomery
>
>
>
>
>On Fri, Jun 7, 2013 at 6:10 AM, Paul Brezicki <doctorpb_@_bellsouth.net>wrote:
>
> >
> > That's interesting, this is the first I've seen of UPS being a "contract"
> > carrier as opposed to a common carrier. As a contract carrier, UPS was
> > presumably less regulated, and the fact that this allowed it to skim the
> > cream helps explain why it succeeded at REA's expense. Can anyone explain
> > more about the contract carrier regulatory structure? I presume carriers
> > would still have to obtain certificates to operate in each state.
> >
> > Paul B
> >
> >
> >
> > Date: Fri, 7 Jun 2013 00:19:37 -0400
> >
> > From: "j mcea" <squid57_@_gmail.com>
> >
> > Subject: RE: (erielack) REA Express
> >
> >
> >
> > I worked for the NY Auditor of Disbursements of REA on E. 38th St., NYC,
> >
> > 1963-64 after the Navy as computer unit supervisor (a LARGE 16k, 4 tape
> >
> > 1401.) UPS was still not a common carrier, but some form of "contract
> >
> > carrier" as it could only carry packages of 'member' companies. Only REA
> > was
> >
> > a common carrier allowed/required to carry any shipment tendered at their
> >
> > offices or picked up by arrangement (including the potentially profitable
> >
> > Air Express.) In this loft building at 38th and 1st Ave. was a manufacturer
> >
> > of hats and other apparel. Each afternoon, UPS and REA trucks would be
> > there
> >
> > to pick up their shipments - UPS got the high value, high profit shipments,
> >
> > REA got mainly --- hats, which were light weight, high cube - and low
> >
> > profit. I was told UPS didn't want the hats, REA as a common carrier had to
> >
> > take them at the ICC determined rates. It was still many years before UPS
> >
> > became a true common carrier with "UPS stores" and drop boxes, by late
> >
> > 1960's as UPS began changing, an individual shipper had to drop his
> > shipment
> >
> > off at a UPS location. REA, until it went bust with the 1977 truck
> >
> > deregulation, had to stop at your house to pick up a shipment when
> > notified.
> >
> > And the statement told me by my boss Tom Layburn that in 1964 UPS NYC
> >
> > Teamsters signed a drivers' contract mandating a minimum daily
> >
> > piece-handling rate that was 3-4 times the REA drivers daily average - as
> >
> > much as I loved the connection to the railroads, I looked for a better
> >
> > computer job elsewhere.
> >
> > Joel M.
> >
> >
> >
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> >
>
>
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