FedEx Closing 10 Northeast Facilities in Network 2.0 Restructuring

Key Details FedEx is shutting down nine parcel centers across New York and one in Pittston, Pennsylvania as part of its ongoing Network 2.0 consolidation. The New York facilities will close in June, while the Pennsylvania location ends operations May 2. Sixty-three employees will be laid off in Pennsylvania, though some may be reassigned within the company. What's Happening FedEx is consolidating its express and ground delivery networks into a single unified system. The company has optimized over 360 facilities and closed more than 200 locations to date. By 2027, FedEx plans to optimize more than 900 stations nationwide while closing over 475 locations - a 30% reduction in total facility footprint. Why It Matters The restructuring aims to reduce capacity costs while maintaining service quality. By consolidating operations so most neighborhoods receive service from one van daily, FedEx expects improved efficiency. The company has successfully handled the transition with minimal service disruption, and nearly 25% of eligible U.S. and Canadian daily volume now flows through reprogrammed facilities. Context Network 2.0 began in late 2022 as e-commerce volumes normalized post-pandemic. FedEx intentionally reduced low-margin last-mile delivery to focus on higher-margin heavyweight, international, and long-distance services. Management reports strong profitability and efficiency gains during the transition.