Future of cargo carrier ABX Air in doubt
The passenger airline sector may not be the only ones feeling the pinch. ABX Air, which handles packages for DHL Express in the United States may have to lay off as many as 7,000 employees because DHL, based in Germany, is pulling out of the domestic market.
Reuters is reporting that the layoffs are dependent on whether DHL decides to switch their international business in the United States to rival United Parcel Service (UPS).
Almost three quarters of the sales for Air Transport Services Group, parent company of ABX Air, are generated by a contract with DHL.
The announcement is something new to ABX President John Garber. He said that in May, DHL told them that ABX would still handle ground freight while DHL is in negotiations with UPS to handle the express service.
A spokesperson for Air Transport Services Group said that they are still looking into the situation and will release information to the public and its employees as it becomes available.
You may also be interested in these articles
Comments
Please share your thoughts...