Today we had a teams meeting explaining that the company is imposing a 3% surcharge on all products delivered after April 1 regardless of when they were ordered. We sell long lead time products for the building industry which we get deposits for plus signed contracts. Now our bosses want us to tell our customers too bad what your contract says you’re paying more if you don’t take delivery prior to April 1. Yeah this counts for products ordered but not even in our possession at that time. So even if they want to take delivery we couldn’t do it and they’d have to pay. If they don’t pay they don’t get the product. I’m assuming that they believe most if not all clients will grow down and pay because if they don’t they would be delayed at least 8 weeks if they had to order elsewhere.
The reason is to cover increases in fuel costs. Here’s the best part. I and many others are on the road daily and only get 35¢ per mile plus $140 per month. I’m over 1200 miles this month already. That 3% isn’t earmarked for us at all. It was even stated that there is no plan to raise our compensation rates. This money is just going to the bottom line and not for our fuel costs.
Time to start looking….