FedEx to spend $1bn on Memphis hub
16 / 03 / 2018
FedEx is to invest over $1bn in its Memphis hub, the project including construction of a new sort facility with state-of-the-art sort systems, construction of a bulk truckload building and a new area to improve handling of the oversized shipments that have increased with the growth in e-commerce.
Chairman and chief executive Frederick Smith said: “Modernisation and expansion of the Memphis hub will ensure that we continue to provide outstanding service to our customers around the world and make this an even better place to work for the thousands of team members here who keep our operations running every day and night.”
Construction is slated to begin in 2019 and should be completed by 2025, FedEx said.
Its hub in Memphis, which currently has 11,000 staff and 163 aircraft gates, is the largest sort facility in the FedEx Express global network, according to the Tennessee State Government. The centre processes 47% of total FedEx volume and 69% of US domestic volume each business day.
FedEx employs an estimated total of 30,000 people in the Memphis area. Tennessee State Governor Bill Haslam said: “As the Memphis area’s largest employer, and a major economic driver across the state, this investment reflects FedEx’s continued commitment to Tennessee and will benefit current employees and the future workforce for years to come.”