FedEx, Chamber of Commerce Publications on Contractors

FedEx pays a lot of money to its public relations and lobbying people.  Perhaps Fred Smith can spend more on disinformation from the savings they get on hiring terrible lawyers.  We're going to do a deconstruction of the Fred Smith, FedEx and Chamber of Commerce publication titled "Work, Entrepeneurship and Opportunity in 21st Century America."  FedExWatch.com doesn't want to pay the Chamber for reprint rights, so you'll have to go here to see the report.

Fred Smith is a busy man, so he must have scheduled his speech at the Chamber's Access2006 many months in advance.  So it must also have been his good fortune that the Chamber of Commerce issued a publication that stated "independent contracting is today the most frequent target of attack" by state authorities, trial lawyers and unions  just a week before his speech.  Fred Smith could then "echo" the findings of the Chamber report in his speech.  And the FedEx Corporation could issue a statement showing how Fred Smith and the Chamber were in agreement.  And then days later, FedEx Ground/Home Delivery mouthpiece Paul Callahan could send an email praising the Chamber publication conclusions by saying "I couldn't agree more."

The FedEx and Chamber of Commerce propaganda tries to hide behind the phrases of "entrepeneurial worker" and "freedom and flexibility."  They slice their facts as they see fit.  They cherry pick the data they need to support their case.

For example, the Chamber publication says "Data compiled by the Employment Policy Foundation found that the desire to control benefit costs is typically one of the least important reasons why firms hire independent contractors."  The Chamber relied on the Department of Labor Bureau of Labor Statistics for much of the publication's data.  Why switch from the Department of Labor to the corporate-financed Employment Policy Foundation on this topic?  Because if the Chamber went to the Department of Labor, they'd find a 2000 report commissioned to investigate independent contracting.  That report found, "The number one reason employers use independent contractors or misclassify employees is the savings in not paying workers' compensation premiums and not being subject to workplace injury and disability related disputes."

We've posted the BLS report and the Dept of Labor 2000 report.  Just to have handy the next time the FedEx and Chamber of Commerce dog and pony show comes to town.