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FedEx Freight | FedEx to offer US staff buyouts in cost cut effort

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NEW YORK (AP) -- FedEx will soon begin offering buyouts to U.S. employees in an effort to cut costs in the face of a weakening global economy.

The world's second largest package delivery company hinted at cutbacks earlier this summer when it said that slowing economic growth would crimp its earnings well into next year. It has already removed some aircraft from its fleet of more than 600 to account for a loss of demand.

While FedEx hasn't yet decided how many positions will be eliminated, it will likely focus on slow-growth areas like its Express and Services units.

Express is where FedEx got its start in 1971, and it's still the company's biggest segment by far. The speedy shipping division, which moves 3.5 million packages on an average day, has been hit hard as people shift to slower delivery methods to conserve cash. The unit is also being dragged down slowing Asian growth and a reduction in demand for Asian goods from the U.S. and Europe. The unit reported revenue of $26.5 billion in the latest fiscal year and has more than 146,000 employees worldwide — 102,000 of those in the U.S. .....................

FedEx to offer US staff buyouts in cost cut effort - Yahoo! Finance


 
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Did I miss something. All this show me the money? Its EXPRESS not Freight.There will be no buyouts here at this time.
 
Gator said:
Did I miss something. All this show me the money? Its EXPRESS not Freight.There will be no buyouts here at this time.
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Do you really think they will stop at Express ? Bill Louge said he expects the impact on Freight to be " minimal ". I dont know about everybody else here but to me and what I have seen what they are capable of in my 2 short years here its as good as done in my book.
 
suzy1052 said:
Do you really think they will stop at Express ? Bill Louge said he expects the impact on Freight to be " minimal ". I dont know about everybody else here but to me and what I have seen what they are capable of in my 2 short years here its as good as done in my book.
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Everything they do in Memphis or Harrison seems "minimal" from a leather chair. Billy Boy needs to come on down to a big hub somewhere and take a good look at what purchase and high load factor are doing to this operation. Do these "efficiencies" really make up for the massive uptick in damages and claims? As a city driver, I say no. Since this new initiative has started I haven't had a day where I either had freight refused because of damage or had to make a phone call to do a claim. We could save a lot of time and money by not having to deal with either.
 
I can't believe they made 26.5 billion dollars and they're looking to cut back their employee's. That is why we have so much trouble in our society today. This is American creed at it's highest
 
Why would they do buy outs when they could do what ever other company does.
The corporate world has been cutting,or eliminating jobs for many years in the past.
Companies used to lay people off without paying them anything.
That is when companies had slow times,they would call folks back as needed whenever there was an upturn in growth.

However that practice ended some time ago,now companies down size.
Where they eliminate jobs and never do call backs,even if there is an upturn,they will rehire,or hire new to fill their need.

So for Fedex to offer buy-outs, well I gotta say that is mighty generous of them.
 
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