The FedEx corporation contracts with Independent Contractors/Service Providers all across the country to provide pick-up and delivery services for the company. Within its ground operation, FedEx works with independent contractors across three major divisions: Ground (commercial), Home Delivery, and Line Haul.
In each division, FedEx contractors:
a.) Own their own corporation
b.) Own the contracted delivery route(s) or service area(s)
c.) Own or lease their own vehicles
d.) Manage their own W-2 employees (drivers, managers, etc.)
e.) Oversee the financial and operational aspects of the corporation, including vehicle maintenance, payroll, fuel expenditures, insurance, etc.
f.) May buy and sell FedEx routes at their own discretion (FedEx approval required for purchasing entity)
FedEx Ground routes primarily service commercial accounts and operate Monday through Friday. These accounts generally include businesses, hospitals, schools, etc. In addition to local deliveries, FedEx Ground operators are also responsible for pick-ups and must account for certain pick-up windows.
FedEx Home Delivery:
FedEx Home Delivery routes primarily service residential accounts and operate Tuesday through Saturday. FedEx Home Delivery generally accommodates items such as online orders and personal deliveries; those deliveries generally not associated with commercial accounts. The FedEx Home Delivery business generally does not accommodate pick-ups and pick-up windows.
FedEx Line Haul:
FedEx line haul runs generally consist of longer, inter-state deliveries. As such, their days and hours of operation are much more loosely defined. FedEx line haul operators provide the means to haul packages on the “long haul” routes between FedEx hubs. Within the line haul division, there are several types of runs available to the contractors. Some of these include: dedicated runs, non-dedicated runs, team runs, and more.