FedEx: FedEx to close Erie shipping center in June as part of plan to streamline operations

A FedEx shipping center at 117 W. 17th St. in Erie will close its doors in June as part of a companywide effort to streamline operations. FedEx, which also operates other facilities in Erie County, will continue to provide service to all parts of the county, the company said in a statement. "As part of our previously announced network transformation strategy, the FedEx facility on West 17th Street in Erie will close in June," the company said in a statement. "Team members at this facility were notified several months ago, and many will be offered other roles within the company." What happens to employees affected by closure? FedEx did not say how many employees work at the affected location. The statement continued: "These decisions are never taken lightly and reflect our commitment to supporting affected employees -through job placement assistance, relocation aid, or severance, as applicable - while transforming our network and continuing to provide an outstanding experience for our customers." Erie shipping center closure part of bigger trend The local shipping center is one of three being closed in the early months of 2025. In addition to the Erie facility, FedEx has closed a facility in Lexington, Kentucky, and plans to close another in Staten Island, New York, according to a report in Supply Chain Drive. Those closure's are part of an effort the company calls Network 2.0, which FedEx describes as a long-term plan to streamline its package network "to make us more efficient and effective for you." Introduced in 2022, Network 2.0 merges the operations of what had been separate FedEx Express and Ground Networks, according to Supply Chain Drive. In areas where Network 2.0 has been implemented, pickup and delivery costs have been trimmed by 10%, FedEx CEO Raj Subramaniam said in an earnings call. FedEx investing in new facilities The Memphis, Tennessee-based company has closed numerous locations since 2022 and is expected to close more. But as part of its restructuring, FedEx is also investing in centralized warehouse and sorting facilities. They include a 250,000-square foot, $21 million distribution center that opened in 2023 in the Mercer County city of Hermitage. Contact Jim Martin at jmartin@timesnews.com .