FedEx Freight to shutter 29 locations, furlough workers

On Monday, Memphis-headquartered FedEx announced that it will close dozens of locations, consolidate operations, and furlough workers.

In a May 1, 2023, announcement, company leaders said that they will close 29 FedEx Freight locations in August.

FedEx released the following statement outlining the location closures as well as planned consolidations and furloughs:

“As FedEx continues to adapt to an evolving global business environment, FedEx Freight has announced a decision to close 29 freight locations and consolidate its operations into other locations, effective Aug. 13, 2023.  We continuously review our network to ensure we have the right design to address changing market dynamics. Through that process, we identified opportunities to consolidate operations in certain locations to improve customer service levels while lowering our cost to serve.

FedEx Freight is enacting an additional furlough for certain job classes beginning May 28, 2023. Eligible employees will be offered permanent transfer opportunities to other markets that have hiring needs. FedEx Freight will maintain health benefits for furloughed employees. This is a temporary workforce adjustment, and all furloughed employees will be recalled on or before Aug. 25, 2023.

In early April, FedEx also announced that it would consolidate FedEx Express, FedEx Ground, FedEx Services, and other FedEx operating companies into Federal Express Corporation as a cost-cutting measure by June 2024. FedEx Freight is to operate as a standalone company under parent company Federal Express Corporation.