FedEx Corp. is starting an employee buyout program that will cost as much as $575 million before taxes, as the courier seeks to pare expenses amid a sudden decline in international business.
The voluntary buyout will yield annual savings of as much as $275 million, FedEx said in a regulatory filing Friday. The company is offering U.S. employees four weeks of pay for every year worked as part of a cost-cutting initiative announced in December.
The maximum payment under FedEx’s buyout is two years’ pay. The offer expires at the end of May.
FedEx climbed less than 1 percent to $177.26 after the close of regular trading in New York.