Head News about DHL layoffs

Global delivery company DHL announced Monday that it was cutting 9,500 jobs as it discontinues air & ground operations within the United States. DHL said its DHL Express unit will continue to operate between the United States & other nations. But the company said it was dropping “domestic-only” air and ground services within the United States by Jan. 30 “to minimize future uncertainties.” (money.cnn.com)

DHL willing to donate Air Park to state

HL is willing to donate the 1,130-acre Wilmington Air Park, the nation’s largest privately owned airport, to the state of Ohio for future development, John Mullen, CEO of the package carrier said today. In a conference call with reporters, Mullen said DHL was discussing “a number of other measures as well” with Ohio officials to ease the transition from its decision to abandon U.S. pickup & delivery and focus on its international operations. The move will mean the elimination of about 8,000 jobs at the Wilmington Air Park, where DHL consolidated operations after acquiring Airborne Express for $1.05 billion in 2003. Most of those job cuts will be from contractors such as ABX Air Inc. and Astar Air Cargo Group which provide air services to DHL (news.cincinnati.com)

UPS & FedEx Losing DHL As Competition Via Layoffs (UPS, FDX)

DHL has announced that it was cutting 9,500 jobs as it discontinues air & ground operations within the United States. DHL Express says that it will continue to operate between the United States & other nations, but it is killing the “domestic-only” air and ground services within the United States by January 30. Despite an obvious slowdown, United Parcel Services, Inc. (NYSE: UPS) and FedEx Corporation (NYSE: FDX) are probably happy as clams over this announcement. The company is shutting down all ground hubs and reducing its number of stations to 103 from 412. This latest announcement of 9,500 job cuts is on top of 5,400 terminations this year. The company believes it will have 3,000 to 4,000 workers after the firings have been effected. (www.247wallst.com)

Deutsche Post Announces Mass Layoffs at US Subsidiary

The move is part of Post’s attempted restructuring of DHL which will also involve shutting down the domestic air & ground operations of the US subsidiary. DHL, which competes with rivals UPS and FedEx, has been a perennial loss-maker for Deutsche Post since former Post chief Klaus Zumwinkel, who was recently charged with tax fraud, decided to push into the US market. The Bonn-based company had already announced it would cut 4,500 jobs, a decision likely to affect drivers, shipping clerks & warehouse workers. (www.dw-world.de)

Wilmington worried about pending DHL announcement

With the German owner of DHL Express preparing a public announcement next week about its restructuring to cut multimillion-dollar losses in its U.S. package deliver operations, officials are concerned that could speed the pace of job losses at DHL’s domestic freight hub in Wilmington USA. DHL declined on Friday, Nov. 7, to say what John Mullen, global chief executive officer of its German parent, Deutsche Post World Net, will announce Monday. (www.daytondailynews.com)