Pilots' union: DHL has lost some shipping business
Friday, September 19, 2008
DHL's U.S. shipping business is down 40 percent from a year ago and that has complicated its effort to hire United Parcel Service to handle its domestic air cargo sorting and flying, said the union representing ABX Air pilots, who currently fly DHL's U.S. packages.
That decline could reflect the U.S. economic slump as well as uncertainty among DHL customers since its May 28 announcement that it expects to hire UPS, said David Ross, president of Airline Professionals Association/Teamsters Local 1224. DHL has lost all of its business flying deliveries for Nordstrom and part of its work for Dell and Wal-Mart, Ross said Thursday, Sept. 18.
DHL spokesman Jonathan Baker said the union's claim of a 40 percent decline in the company's business is incorrect. Baker would not give specific figures, saying DHL does not comment on customer accounts or country-specific shipping volumes.
High fuel prices and the economic slump have hurt the shipping industry as a whole, he said.
DHL and UPS both said they are still negotiating and expect to reach a deal by year's end.
Ohio officials say hiring UPS will wipe out at least 8,200 jobs at DHL's Wilmington air freight hub, from where airlines ABX Air and ASTAR Air Cargo now fly all of DHL's domestic cargo.
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