FedEx expands last-mile network with $129.8mn purchase of P2P Mailing
FedEx has acquired P2P Mailing Limited, a provider of worldwide e-commerce transportation solutions, for $129.8mn, significantly strengthening its last-mile network.
In a statement, FedEx said P2P’s capabilities complement and expand the FedEx portfolio of offerings important to the rapidly growing global e-commerce marketplace.
P2P provides customers with last-mile delivery options, leveraging its relationships with private, postal, retail and clearance providers in over 200 countries. Its technology and processes provide plug-and-play options with carrier networks and customer systems.
The firm is headquartered in Laindon, United Kingdom and will operate as a subsidiary of FedEx Cross Border within the FedEx Trade Networks operating company.
“Global e-commerce continues to grow at a rapid pace, and more and more merchants, marketplaces, e-commerce and social platforms are looking for innovative, cost-effective ways to get merchandise from distribution points in one country to customers in another,” said Carl W. Asmus, president and CEO, FedEx Cross Border.
“By adding P2P to the FedEx portfolio, we will be able to effectively serve even more elements of the e-commerce market.”
Richard W. Smith, president and CEO, FedEx Trade Networks, Inc, said: “This acquisition is a further step in achieving the global mission of the FedEx Trade Networks group to provide specialized solutions to customers.”
“We are pleased to welcome the P2P team members into the FedEx family of companies and look forward to combining the talents of both teams to contribute to our continued success.”
In separate news, FedEx has jumped on the Tesla bandwagon, reserving 20 of the company’s Tesla Semi trucks. The fully-electric trucks, which are scheduled to begin production in 2019, will be operated by FedEx Freight, its less-than-truckload unit.
“FedEx has a long history of innovation and incorporating sustainability efforts throughout its global network,” said FedEx Freight president and CEO Mike Ducker. “Our investment in these trucks is part of our commitment to improving road safety while also reducing our environmental impact.”
Tesla says its new big rig will deliver a far better experience for truck drivers, while increasing safety and significantly reducing the cost of cargo transport.
ASCM: Supply chain pay gap closes in under 40s
The pay gap between men and women working in supply chain under the age of 40 has finally reached parity, according to the Association for Supply Chain Management’s latest annual Supply Chain Salary and Career Report.
The gender pay gap in this age group had been narrowing over the past two years, the ASCM’s previous surveys show, and in 2021 has closed entirely. Women report a median salary of $81,000 annually, while men earn a median annual salary of $79,000. Across all age brackets, men report a median salary of $82,000 and women $80,000.
Other highlights from the ASCM report
- 95% of supply chain professionals kept their job through the pandemic
- The typical starting salary for a supply chain professional is $60,000
- 48% of supply chain professionals now work from home
- 88% of survey respondents find supply chain a fulfilling career path
But there is still work to be done in closing the divide in those over the age of 40. Older men are still earning far more than their female peers, with a discrepancy of between $12,000 and $23,000 annually. ASCM’s report does not definitively conclude why this disparity remains, but says women who began their careers several decades ago may have started out on lower salaries. They may also have missed out on steady wage increases and career development after taking time away from work to have and raise families.
It is also likely that the pay gap in over 40s is affected by a lack of women in executive leadership positions. A recent Gartner study found that, while women now represent 41% of the supply chain workforce - a five year high - only 15% of executive level positions are held by women. That figure is a decline of two per cent on 2020.
Supply chain’s racial pay gap remains
For the first time, ASCM’s annual survey also looked into the pay gap between ethnicities, finding that the median salary for black professionals was 12% less than their white peers, and Latinos earned on average 14% less. That represents a divide of between $9,000 and &10,000 in real terms. Asian professionals earned a median salary of $80,000, compared with the $83,000 for white professionals.
Abe Eshkenazi, the ASCM chief executive, said reporting on and acknowledging lingering wage disparity was not enough: “Supply chain organisations must lead the way by creating environment where diverse talent is valued, included and developed. The need for supply chain professionals has never been greater, so now is the time to expand the aperture to include diversity of thought, influence and input — particularly for women and people of colour.”
Read the full report: ASCM 2021 Supply Chain Salary and Career Report