DHL to cut 9,500 US jobs

Source: Supply Chain Digital

Date :11/10/2008 11:51:53 AM

Global delivery company DHL announced Monday, November 10, that it was cutting 9,500 jobs to improve profitability and to prepare for the economic challenges ahead.

DHL said its DHL Express will continue to operate between the US and other nations. But the company said it was dropping "domestic-only" air and ground services within the US by January 30, "to minimize future uncertainties."

Earlier this year, DHL cut 5,400 jobs. After these job losses, between 3,000 and 4,000 employees will remain at DHL's US operations, the company said. It also said it was shutting down all ground hubs and reducing its number of stations to 103 from 412.

According to the company, this latest action will add US$1.9 billion to its restructuring costs, for a total of US$3.8 billion over two years, most of it during 2008.