DHL has announced it will close all its ground hubs in the US as it battles to cut 80% of its domestic costs in the face of the economic slowdown.
The company has already slashed 9,500 staff, which along with the closures should put DHL on track to its US operating costs by 80%, from $5.4 billion to less than $1 billion.
That will leave the company with 3,000 to 4,000 workers to manage 103 stations entirely devoted to international express service, but it said its logistics and forwarding businesses in the US would not be affected.
"Focusing our US Express efforts on what we do better than anyone else, international shipping, serves the best interests of our customers, employees and shareholders around the world," said DHL Express CEO, John Mullen.
Source: Routes News