FedEx is planning to reduce its European workforce by cutting 1,700 to 2,000 back-office and commercial positions over the next 18 months as part of its cost-reduction strategy. This move is expected to affect some of the nearly 50,000 employees in the region and could save the company between $125 million and $175 million annually starting from 2026-2027. However, the job cuts will incur costs of $250 million to $375 million in redundancy payments and related expenses.
The restructuring will involve eliminating certain roles, merging teams within back-office and commercial operations, and consolidating some activities across the region into select shared activity centers. Despite these changes, FedEx assured that customer service and delivery operations will remain unaffected. The company emphasized that the decision to cut jobs was difficult but necessary to ensure long-term stability and efficiency.
This latest round of cuts is part of FedEx’s broader restructuring plan, aiming to save $4 billion by the end of 2024-2025, including $1.8 billion in savings during the year ending May 2024. The company has already reduced its workforce by nearly 22,000 employees over the past year through job losses and attrition.
FedEx has been operating in Europe since 1984, with its regional headquarters in Hoofddorp, Netherlands, and major hubs in Paris and Belgium.
