- Oct 5, 2003
FedEx to transfer LAX airport maintenance to Indianapolis
FedEx will exit a maintenance facility at LAX and send the work to its Indianapolis hub to increase efficiency.
Sux to hear Kev. FedEx has been there since 1988. The article states that employees will be assisted to other rolls, what kind of "other rolls" and what will 400 maint techs all do??
FedEx to transfer LAX airport maintenance to IndianapolisFedEx will exit a maintenance facility at LAX and send the work to its Indianapolis hub to increase efficiency.www.freightwaves.com
I doubt it. I certainly wouldn't, though IND is a lot cheaper of place to live.I am pretty positive that no long term employee's will not leave Cali weather for Indy weather, huh?
Yeah, let's make sure everybody understands this is not a matter of Union versus non-union...
This is a matter of the airport not wanting to issue a long-term lease because they would rather redevelop that land into something more revenue-producing than a maintenance hanger.
I don't think this will be the last time we hear of a major maintenance base shutting down because the real estate is too valuable.
Spin it however you wish, but the fact remains that Airport terminal expansion is the reason this happened. LAX wants to tear down the hangars on the west side of the airport to expand the terminal.
United has already built a new hangar on the east side and should have vacated the old one on the west side already. Not sure what happened with the Delta or Qantas hangers, but they are far enough west that they are outside the footprint for the new terminal.
FedEx would have had to build a new facility on the east side, and from the sound of things, without a long-term lease. It's no wonder they would choose to just expand where they already have cheaper land available.
Most ground employees are vendors. Those are franchises. I know someone that owns several FedEx Ground in NYC.This move represents huge downward pressure on the FX Express workforce. I can see the company slowly whittling that group down to almost nothing. In this case, "hybrid" will likely really mean an 80/20 split in favor of lower-paid Ground employees/contractors.
In today’s financial presentation FedEx stated closing the LAX Hangar will generate $60 million in savings.
FedEx Announces Planned Consolidation of Operating CompaniesNew operating structure will create even greater flexibility, efficiency, and intelligence to unlock value for customers, team members, and stockholders Company hosts DRIVE Investor Event to provide further detail on progress toward $4 billion in benefits from transformation Announces 10%...investors.fedex.com