Why Is FedEx So Bad? (16 Worst Reasons)

Several courier companies are vying for your business, but if you’re like most people, you probably have a preference.

And when it comes to preferences, there’s no company more polarizing than FedEx. You either love them, or you hate them. There doesn’t seem to be any middle ground.

For those who don’t already know, FedEx is one of the world’s most prominent package delivery services. They ship billions of packages annually and have an extensive network of employees and contractors.

However, despite their size and reach, they have many problems. So what is it about FedEx that elicits such strong reactions?

In this guide, we will look at some complaints about why FedEx is so bad and see if there’s any merit to them.

Why Is FedEx So Bad In 2022?

In recent years, shipping giant FedEx has been scrutinized for its business practices.

From allegations of price gouging to its controversial relationship with the US Postal Service, there are many reasons why FedEx has earned a reputation as one of the worst companies in America.

Here are 16 of the biggest reasons why FedEx is so bad in 2022:

1. Poor Customer Service

One of the biggest problems with FedEx is its customer service. Or rather, the lack thereof.

There have been many reports of customers not being able to get in contact with a human being when they have an issue with their shipment. This is unacceptable for a company of FedEx’s size and reach.

Recently, FedEx has outsourced its customer service to call centers overseas. Unfortunately, this has resulted in long wait times, difficulty understanding customer service representatives, and a general feeling of frustration among customers.

Moreover, these call centers are often located in countries with little to no regulation, which means they can get away with mistreating their employees. This mistreatment often leads to even worse customer service.

2. Poor Tracking System

Another big problem with FedEx is its tracking system. Or, again, the lack thereof.

Too often, FedEx will lose track of packages completely, and customers are left wondering where their package is and when it will finally arrive. This issue is compounded by the fact that, as we just discussed, FedEx’s customer service is not excellent.

So if you have an issue with your package delivery, good luck trying to get anyone at FedEx to help you.

3. Late Deliveries

Another big problem with FedEx is that they often deliver packages late. This can be highly frustrating for customers who are expecting a package on a specific day.

In some cases, packages have been known to arrive days or even weeks late.

4. Damaged Packages

Yet another issue with FedEx is that they often damage packages. This can be extremely frustrating for customers who have paid good money for their shipment only to have it arrive damaged.

In some cases, packages have been known to arrive destroyed.

5. Struggling To Keep Up With The Competition

The answer, in short, is that FedEx is feeling the squeeze from all sides. First, there’s Amazon. The online retail giant has been eating into FedEx’s business for years now, with Amazon delivering more and more of its packages via its own fleet of trucks and planes.

While FedEx was content to dominate the package delivery business, UPS and Amazon saw an opportunity to capitalize on the growing e-commerce market. They both invested heavily in their own delivery infrastructure and offered customers cheaper and faster shipping options. As a result, they have been slowly but surely eating into FedEx’s market share.

To stay competitive, FedEx has been forced to invest heavily in its own delivery infrastructure. Unfortunately, this investment has not always been successful. For example, in 2016, FedEx spent $4.8 billion to purchase European delivery company TNT Express.

However, the integration of TNT Express proved to be more difficult than anticipated and resulted in significant operational problems and cost overruns. As a result of these problems, FedEx was forced to take a $1.6 billion charge against earnings in 2018.

6. Trade War Between The U.S. & China

There’s an ongoing trade war between the U.S. and China. This has resulted in tariffs on many of the goods that FedEx ships back and forth between the two countries.

And there’s the fact that the global economy is slowing down. This has led to a decrease in demand for many of the products that FedEx ships around the world.

7. Unreliable Delivery

In addition to bad customer service, FedEx has also been accused of being unreliable. Customers have reported missed deliveries, late deliveries, damaged packages, and lost packages.

While no delivery service is perfect, FedEx’s unreliability has been a primary source of customer frustration.

8. Poor Business Practices

FedEx has also been criticized for its poor business practices. In particular, they have been accused of unfairly competing with small businesses, violating workers’ rights, and being hostile to unions.

These accusations have damaged FedEx’s reputation and caused many people to view them negatively.

9. Data Breaches

In early 2018, it was revealed that FedEx had suffered multiple data breaches that exposed thousands of customers’ personal information.

This was particularly damaging to the company because FedEx markets itself as being secure and reliable, so any suggestion that its systems can be easily hacked is a big blow to its reputation.

In response to the breach, FedEx hired a massive team of cybersecurity experts to try to shore up its defenses.

Still, it remains to be seen if this will be enough to win back customers who have lost faith in the company’s ability to protect their data.

10. High Prices

FedEx rates are often much higher than those of its competitors. This is especially true for international shipping, which can be cost-prohibitive for many customers.

11. Price Gouging

In 2020, FedEx was accused of price gouging customers during the COVID-19 pandemic.

The company was caught charging some customers up to 10 times the regular rate for shipping services.

12. Controversial Relationship with the USPS

FedEx has been criticized for its close relationship with the US Postal Service.

Many believe this relationship gives FedEx an unfair advantage over other shipping companies.

13. Dismal Record on Environmental Issues

FedEx has been ranked as one of the worst companies in America for its environmental record.

The company has been criticized for its emissions, fuel usage, and waste management practices.

14. Allegations of Worker Mistreatment

Allegations of widespread worker mistreatment have also plagued FedEx.

Tales of workers being forced to work excessive hours without proper compensation or rest breaks are unfortunately all too common. They have led to multiple lawsuits being filed against the company.

While FedEx has denied these allegations, they have nonetheless damaged the company’s image and made it hard for them to attract and retain top talent.

15. Declining Financial Performance

In recent years, FedEx’s financial performance has been declining.

As a result, the company has struggled to compete with rivals such as UPS and Amazon.

16. Canceling Contracts with Customers

In 2019, FedEx canceled contracts with significant customers like Amazon.

This move caused significant financial damage to those companies.

Conclusion

FedEx used to be one of the most popular delivery services in the world. But in recent years, they have been embroiled in controversy after controversy.

From bad customer service to poor business practices, there are many reasons why people are beginning to view FedEx in a negative light.

It remains to be seen whether or not they will be able to recover from these setbacks—but it’s looking increasingly unlikely.

FedEx is also facing stiffer competition from companies like UPS and Amazon. To stay competitive, it has been forced to invest heavily in its own delivery infrastructure.

Unfortunately, this investment has not always been successful. As a result, FedEx has struggled to keep up with its competition recently.

It is not surprising that, given the company’s poor services, you query why is FedEx so slow.

Sunny Hoi

Sunny Hoi

Sunny is an experienced content strategist. He has a deep understanding of the retail and finance industries. Sunny has written extensively about products, services, stores, stocks, cryptocurrencies, and investment strategies. Sunny's writing reflects his deep understanding of his subjects and commitment to providing clear, concise information that helps readers make informed decisions.

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