FEDEX is planning to cut thousands of jobs in Europe as it continues to struggle with sluggish market conditions.
The express giant said that it would let go between 1,700 and 2,000 members of its back-office team on the continent - around 3-4 per cent of its 52,000 European employees.
It hopes the move will generate annual savings of US$175 million starting from the fiscal year 2027, reports London's Air Cargo News.
The cost of the layoffs in legal fees and severance packages is expected to amount to between $250 million and $375 million, fedex said.
The company said layoffs were part of ongoing measures to reduce structural costs.
FedEx explained that the cuts would remove and consolidate admin and commercial positions.
'Certain activities performed across the region will also be consolidated to be located in select shared activity centres that are in countries that are best aligned with our needs and the existing FedEx real estate footprint,' FedEx said.
They would not have an impact on customers or delivery service levels.
In line with European and local labour laws, the consultation process will be conducted at the country level with differing timelines across the region.
FedEx has been tackling softer market conditions by implementing its Drive cost-saving programme that aims to generate annual savings of $4 billion.
SeaNews Turkey
The express giant said that it would let go between 1,700 and 2,000 members of its back-office team on the continent - around 3-4 per cent of its 52,000 European employees.
It hopes the move will generate annual savings of US$175 million starting from the fiscal year 2027, reports London's Air Cargo News.
The cost of the layoffs in legal fees and severance packages is expected to amount to between $250 million and $375 million, fedex said.
The company said layoffs were part of ongoing measures to reduce structural costs.
FedEx explained that the cuts would remove and consolidate admin and commercial positions.
'Certain activities performed across the region will also be consolidated to be located in select shared activity centres that are in countries that are best aligned with our needs and the existing FedEx real estate footprint,' FedEx said.
They would not have an impact on customers or delivery service levels.
In line with European and local labour laws, the consultation process will be conducted at the country level with differing timelines across the region.
FedEx has been tackling softer market conditions by implementing its Drive cost-saving programme that aims to generate annual savings of $4 billion.
SeaNews Turkey
