“The FedEx Effect”: company releases report on its own economic impact

In consultation with data and analytics company Dun & Bradstreet, FedEx has released a report on its own impact on the global economy.

This impact, which the company has dubbed the “FedEx Effect”, is presented in the report mainly through a series of totals FedEx has achieved in areas relating to employment, small business and investment, both directly and indirectly.

According to FedEx, the company now has almost 550,000 employees and 360,000 direct suppliers, who have between them employed more than 16.5 million people. These businesses had a combined annual revenue of $700 billion in fiscal year 2022.

FedEx noted that 88% of its supply chain is comprised of small businesses, and half of its supply chain spend in each region went to these businesses, supporting 810,000 small business jobs globally.

The company also invested $6.8 billion in its own facilities, networks and infrastructure, a 15% increase on fiscal year 2021.

In the US, FedEx said it contributed roughly 12% of the net economic output of the transportation and logistics sectors, and 0.3% of the net economic output of the US economy as a whole, which is currently valued at around $24 trillion.

Its rates of employment growth also beat the overall rates of growth in states such as Alaska and Arizona.

For more statistics, you can download the full report from the FedEx website.

Source: FedEx

Header image: Marek Piwnicki