FedEx Corp. released the findings from its 2022 report that analysed the company’s impact on the global economy with key regional and market-specific analyses from around the world at the conclusion of its 2022 fiscal year (FY 2022). The report, produced in consultation with Dun & Bradstreet, a global provider of business decisioning data and analytics, for the first time analysed the impact FedEx has on economies around the world. Over the past 49 years, FedEx has expanded its services to more than 220 countries and territories and invested in a global network enabling businesses of all sizes to access and grow the global economy.

The report found that FedEx played an integral role in helping businesses recover from the pandemic while overcoming strained supply chains and economic challenges. With nearly 550,000 employees worldwide, FedEx moved an average of 16 million shipments each day through its 5,000 facilities in FY 2022. The company’s network optimisation and investments improved efficiency and capacity for FedEx customers.

“All around the world, FedEx helped individuals, businesses and communities emerge from the pandemic by moving goods and providing services that connect us and power the global economy,” says Raj Subramaniam, President, and CEO, of FedEx Corporation. “The report illustrates the ongoing and important work we do every day, including supporting small- and medium-sized businesses, which are the backbone of our local communities. We call this, the ‘FedEx Effect.”

Measuring the FedEx Effect

The shipping and logistics company plays a role in fueling innovation, creating and supporting local jobs, as well as helping lift individuals and their communities regionally and in major markets around the world.

• FedEx worked with 360,000 suppliers globally who employed more than 16.5 million individuals. These businesses, many of which are small businesses, created significant economic activity within their local or regional markets and had a combined annual revenue of US$700 billion.

• FedEx's global economic activity supported 193,000 additional jobs beyond the FedEx worldwide employee base in FY 2022, which is 20,000 more jobs than FedEx indirectly supported in FY 2021.

• Small businesses made up 88 percent of the FedEx supply chain, and more than half of the FedEx supply chain spend in each region went to small businesses, which collectively supported roughly 810,000 small business jobs around the world.

• In FY 2022, FedEx invested US$6.8 billion – a 15 percent increase over FY 2021 – in facility improvements, network optimisation, and infrastructure improvements, which correlated to direct economic growth in the respective markets.

Impact across Asia Pacific, Middle East, and Africa (AMEA)

The company’s presence in Asia, the Pacific, the Middle East, the Indian subcontinent, and Africa serves more than 100 countries and territories in a highly interconnected region that is playing an increasingly prominent role as a driver of global trade. To support the region’s economic recovery from the COVID-19 pandemic, FedEx made strategic investments as outlined in the report that contributed to a 13 percent increase in employment, supporting more than 58,000 jobs beyond its 37,000 team members in the AMEA region.

“Through our continuous commitment to the region, we have helped support hundreds of thousands of businesses and communities still recovering from the pandemic,” says Kawal Preet, Regional President, AMEA, FedEx Express. “Our investments in our hubs in Guangzhou, Osaka, and Dubai enable us to meet demand and optimise routes for our customers as supply chains fluctuate. Our new and improved facilities like the Clark gateway facility in the Philippines as well as the consolidation at our Delhi hub create greater access to emerging markets and increase efficiency.”

FedEx’s economic footprint in the region continues to grow. The company recently enhanced its services to and from Africa with the expansion of the flight currently serving South Africa through Johannesburg to include its first regularly scheduled service to Nairobi, Kenya. This investment follows other recent extensions of FedEx services in Saudi Arabia, Egypt, and Jordan, which are all geared towards unlocking growth opportunities for small- and medium-sized businesses and boosting opportunities for trade across the Middle East, India, and the southern Africa region.

FedEx is committed to diversity, equity, and inclusion in the workplace, an important contributor to recent accolades including ranking on the World’s Best Workplaces list compiled by Fortune magazine in 21st place and being named as one of the best places to work in markets across the AMEA region. In October 2021, Kawal Preet signed the CEO statement of support for the Women’s Empowerment Principles established by the United Nations Entity for Gender Equality and the Empowerment of Women and the United Nations Global Compact.

Giving Impact

The report shows that in FY 2022, FedEx donated over US$86 million globally to charities and local non-profits in the communities where its team members live and work. In the AMEA region, this includes environmental programmes, childhood education, entrepreneurship, and healthcare initiatives to help improve lives. The company also served as a critical conduit for food and aid deliveries to Ukraine, among others.

FedEx is committed to connecting the world responsibly through its stated goal of carbon-neutral operations by 2040 and the pursuit of investments in renewable energy to power its operations. •