FedEx Corp to offer employees voluntary redundancy
14 Aug 2012
FedEx Corp is to offer voluntary redundancy to some of its US-based employees, as tough times hit shipping volumes and demand for cheaper delivery options rises.
The offer comes after the company warned in June that it needed to cut costs in the face of the European debt crisis and slowing growth in Asia.
According to FedEx, it expected the vast majority of those eligible for the voluntary layoffs to be staff employees at its FedEx Express and FedEx Services businesses.
Incentive packages would probably be on around March next year, spokeswoman Shea Leordeanu said, without giving more details on the number expected take up the offer.
The company, said the incentives would be offered to mostly non-operational staff groups and it expected to provide more details at an investors and lenders meeting on 9 and 10 October.
Given the sheer volume of goods the company moves, it is not surprising that its shipping trends are a closely watched indicator of consumer demand and economic growth.