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Feb 10, 2009

FedEx Freight to layoff 900 employees

FedEx Freight is making “staffing adjustments” to about 900 positions at 150 of its facilities.

Employees were made aware of the cuts in an e-mail to employees by FedEx Freight President and CEO Doug Duncan on Feb. 5.

FedEx Freight is a unit of Memphis, Tenn.-based FedEx Corp. (NYSE: FDX).

Duncan cited a continued decline in consumer spending and overall industrial production as putting unprecedented pressures on the trucking industry.

“It’s the worst I have seen in my 30-plus years in this business,” Duncan said in a statement. “The outstanding value proposition and customer service that our team delivers every day is still growing significant market share, but not sufficiently to counter deep declines in our base customer volumes.”

The company has a FedEx Freight location in Schertz, according to its Web site.

A company spokesman said it was too early to know if any local employees would be affected.

FedEx said the company will offer an option for affected employees to transfer to other positions or the employees could be recalled if conditions improve in the next three months. FedEx will offer severance packages to affected employees and maintain health benefits for 30 days.

Source : BizJournals
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