MEMPHIS, TN – Officials at FedEx have confirmed that the company has cut 1,000 jobs worldwide and 500 of those are in Memphis.
According to a company spokesperson, the employees were “salaried exempt” professionals and managers. The laid off workers will be given severance packages and advance notice of job openings, said the spokesperson.
In mid March, FedEx officials announced it planned to cut more jobs, reduce some workers’ hours and cut back on truck and jet capacity. That came after the company said its 3rd quarter profits fell 75 percent.
The shipping company had already cut salaries for “salaried exempt” personnel, in December of 2008, by 5 percent in a cost cutting measure. Those cuts did not include hourly employees, such as package handlers, mechanics and pilots.
FedEx had already begun more than $1 billion in cost-saving measures; including job cuts across its FedEx Freight and FedEx Office divisions, a reduction of some workers' hours, elimination of certain bonuses and implementation of a hiring freeze.
The company employs 290,000 people worldwide.
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