FedEx Annual Report 2018

Tax Cut Investment

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Investing in our people and our network

FedEx exists because of our extraordinary team members and the unequaled global network they’ve built. That’s why we committed more than $4.2 billion following the passage of the Tax Cuts and Jobs Act to ensure we can deliver the service and solutions our customers expect from FedEx far into the future.

>$200M
Compensation
We increased compensation by advancing 2018 pay increases to certain hourly team members 6 months early, and we increased performance-based bonuses for salaried personnel.
$1.5B
Pensions
We made a voluntary contribution to our U.S. pension plans — among the best funded in the U.S. Our primary pension plans are fully funded under the Employee Retirement Income Security Act of 1974 (ERISA).
$2.5B
Network
We’re modernizing and expanding FedEx Express hubs in Memphis and Indianapolis. At the Memphis World Hub — ranked second in the world for total air cargo traffic — we’ll be investing in new sort systems and automation, and improving the quality of work life for our team members. We’ll also significantly expand the Indianapolis hub and install new equipment.