Deutsche Post plans to cut 8,000 jobs in its mail and parcel division, DHL, in Germany by the end of 2025.
This decision will affect around 4% of the total workforce in this division, which employs 187,000 people. Despite recent improvements in wages linked to a new collective bargaining agreement, employees will have to face these job cuts. The company assures that the process will take social factors into account.
The layoffs will also impact other divisions of the global logistics giant DHL, which employs around 600,000 people worldwide. Rising expenses have become a serious issue for the company, despite a 3% increase in revenue last year, reaching €84.2 billion. The company’s operating profit fell by 7.2%, amounting to €5.9 billion. In response, the company has announced a cost-saving program aimed at reducing costs by over €1 billion.
The main reason for the challenging situation is the inefficiency of the mail division in Germany, which faced a 5.6% decline in operating profit despite revenue growth. More profitable areas of DHL’s business, such as express delivery and supply chain management, have also been affected by economic instability and geopolitical conflicts.
