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DHL cutting 1,000 jobs from Airborne's Seattle facility
The Seattle Times ^ | 4/2/04 | Shirleen Holt

Posted on 04/02/2004 2:31:49 PM PST by Willie Green

For education and discussion only. Not for commercial use.

As expected, 1,000 former Airborne Express workers will lose their jobs in Seattle over the next 12 months as the new owner, German air-cargo company DHL Express, concentrates operations at its headquarters in South Florida.

DHL filed the layoff notice with the state Employment Security Department yesterday, ending faint hope that some administrative jobs might remain here.

Workers at the offices in Belltown received no official company-wide announcement of the job cuts. But many have already gotten offers to relocate to other offices around the United States.

"Most here at our corporate offices have been extended job offers to relocate," said spokesman Robert Mintz. "I'd say 75 percent."

About 360 information-technology jobs will move to Scottsdale, Ariz., where the company operates an IT center. Some customer-relations jobs are moving to Tempe, Ariz. Back-office positions, including marketing, finance and human resources, are moving to DHL's U.S. headquarters in Plantation, Fla. Billing functions will move to Houston.

Employees who chose not to relocate were granted severance packages that included two weeks' vacation pay plus a week's salary for every year worked, according to one company insider. Certain key staff members were offered retention bonuses to stay until the conversion is complete.

The cuts come nearly eight months after DHL completed a $1.05 billion acquisition of Airborne's ground-delivery operation. Since then, the merging organization has operated from both Seattle and Florida headquarters.

DHL announced in October it would close the Seattle office and cut 520 local jobs. That number has since been boosted to 1,000. About 300 delivery and sales staff will remain in the Puget Sound area.

The layoffs are one more damper on Seattle's slow job recovery. The metropolitan area, which accounts for half the state's employment, has gained only 10,600 jobs since the recession ended last June. This, compared with 36,100 new jobs created in outlying areas.

DHL is owned by the conglomerate Deutsche Post, which owns Germany's postal service. The company bought Airborne to expand its ground-delivery business and to compete against Federal Express and United Parcel Service.

DHL operates out of Florida to better communicate with its global headquarters in Europe, a spokeswoman said last fall.

Shirleen Holt: 206-464-8316 or sholt@seattletimes.com


TOPICS: Business/Economy; Culture/Society; US: Washington
KEYWORDS: dhl; globalism; layoffs; thebusheconomy; transportation

1 posted on 04/02/2004 2:31:50 PM PST by Willie Green
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To: Willie Green
I'm waiting to see how the Organization for International Investment spins this to be a "growth in insourcing!" article.
2 posted on 04/02/2004 2:42:54 PM PST by lelio
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3 posted on 04/02/2004 2:44:39 PM PST by Support Free Republic (Freepers post from sun to sun, but a fundraiser bot's work is never done.)
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To: Willie Green
Looks like a great opportunity for FedEx or UPS to snap up some prime real estate and hire some experienced employees!!
4 posted on 04/02/2004 3:14:22 PM PST by Skybird
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To: Willie Green
Willie! How did you miss all those articles talking about the people hired in the last few months?

If it's correct that there's been so many people hired, then there should have been article after article talking about 10 people hired here, 15 people hired there.

Did you miss those?

Or could it be that only people laid off and fired get in the news?

In the mean time, I'm sure John Kerry thanks you for helping his campaign.

5 posted on 04/02/2004 4:07:48 PM PST by narby (Clarke's job was to prevent terrorist attacks, but he's better at CYA)
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To: narby
In the mean time, I'm sure John Kerry thanks you for helping his campaign.

I explained my position to you just yesterday, narby.
But since you seem to suffer some emotionally unbalanced compulsion to malign me,
including smears on threads where I'm neither a participant nor have you pinged me,
I think it best to simply put you on my list of idiots who are not worth a response.
Face it narby, you're boring.

6 posted on 04/02/2004 4:45:22 PM PST by Willie Green (Go Pat Go!!!)
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To: Willie Green
Hey Willie, I depend on you to give me unvarnished information. I use it in my business, and I just bookmarked your article. Yes, the economy is getting better. But this is still information I need to know - it's how I keep ahead.

Thank You!
7 posted on 04/02/2004 5:08:43 PM PST by dandelion
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To: Willie Green
Only pawns in their game
8 posted on 04/02/2004 5:12:22 PM PST by dennisw (“We'll put a boot in your ass, it's the American way.” - Toby Keith)
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