FedEx to slash over 10% of management jobs globally, says report

FedEx is cutting global officer and director jobs by more than 10 per cent, the courier’s latest cost-saving step as economic concerns and waning e-commerce weigh on demand for package delivery.

The company plans to consolidate some teams and functions in addition to the headcount reduction, part of an effort to become a “more efficient, agile organization,” Chief Executive Officer Raj Subramaniam said Wednesday in a memo to employees. 

The changes will align the size of the network with customer demand, he said. 

“This process is critical to ensure we remain competitive in a rapidly changing environment, and it requires some difficult decisions,” Subramaniam said in the memo.

The latest cuts bring FedEx’s total employee reductions to 12,000 since June, a spokeswoman said. As of May, the company had 345,000 full-time workers, according to a regulatory filing.

FedEx said the job losses include “executive management,” but didn’t give additional details on which units would be most affected. 

During an analyst call in December, the company said the Express unit requires more work to improve margins.  

“At Express, the team is transforming the network to be more agile, efficient and digitally led,” Subramaniam said on the call. FedEx is also making changes at its Ground unit to weed out underperforming delivery contractors.

EV maker Rivian to cut 6% jobs amid price war

Rivian Automotive is laying off 6 per cent of its workforce in an effort to cut costs as the EV maker, already grappling with falling cash reserves and a weak economy, braces for an industry-wide price war.

As reported by Reuters, Rivian’s chief executive RJ Scaringe announced the lay-offs in an email to employees, stating that the firm is focusing resources on increasing vehicle manufacturing and 

achieving profitability.

Despite a massive initial public offering in November 2021, the price of Rivian's shares has dropped by about 90 per cent as of Tuesday's closure.

“We must focus our resources on ramp and our path to profitability,” Scaringe wrote in the email.

He also apologised to employees for the necessity of the cuts, the report mentioned.

In July last year, the electric car maker had confirmed to lay off around 6 per cent of its 14,000 employees, or around 800 people, to ramp up future versions of its electric vehicles.

In an email, spokesperson Amy Mast had said that the company made the decision to speed up development on future versions of its electric

Pinterest cuts 150 jobs

Pinterest is laying off about 150 employees, or 5 per cent of its total workforce, Bloomberg News reported on Wednesday, joining a flurry of technology companies that are firing workers to cut costs.

The job cuts came from teams across the San Francisco-based company, though not all were affected to the same degree. 

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