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Raj Subramaniam, FedEx Corporation, speaks at the U.S. Chamber of Commerce Aviation Summit in Washington, D.C. on March 5, 2020.
Kristoffer Tripplaar | Sipa via AP Images
FedEx is cutting more than 10% of its officers and directors, CEO Raj Subramaniam announced on Wednesday, as the company slashes corporate jobs to cut costs amid cooling consumer demand.
“Unfortunately, this was a necessary action to become a more efficient, agile organization. It is my responsibility to look critically at the business and determine where we can be stronger by better aligning the size of our network with customer demand,” Subramaniam said in a letter to FedEx team members.
Shares of FedEx were up 2% in midday trading Wednesday.
The layoffs come as shipping momentum slows after the pandemic e-commerce boom.
The company raised shipping rates by 6.9% in December as another measure to offset consumer slowdown.
This story is developing. Please check back for updates.
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