{"id":70421,"date":"2026-06-11T14:31:13","date_gmt":"2026-06-11T14:31:13","guid":{"rendered":"https:\/\/www.europesays.com\/ai\/70421\/"},"modified":"2026-06-11T14:31:13","modified_gmt":"2026-06-11T14:31:13","slug":"ai-productivity-gains-precede-expeditors-uncharacteristic-layoffs","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ai\/70421\/","title":{"rendered":"AI Productivity Gains Precede Expeditors&#8217; Uncharacteristic Layoffs"},"content":{"rendered":"<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t<a href=\"https:\/\/wwd.com\/tag\/freight\/\" id=\"auto-tag_freight\" data-tag=\"freight\" rel=\"nofollow noopener\" target=\"_blank\">Freight<\/a> forwarder <a href=\"https:\/\/wwd.com\/sourcing-journal\/logistics\/expeditors-international-cyberattack-60-million-chargeback-demurrage-port-customs-1238795274\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Expeditors International<\/a> will cut 230 employees by the end of the year in a shift from the Washington-based company\u2019s longstanding no-layoff policy.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tA Worker Adjustment and Retraining Notification (WARN) filed with the Washington State Employment Security Department on Monday lists separations starting Aug. 8, across five Expeditors offices in Seattle, Bellevue, Federal Way, Lynnwood and Airway Heights.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAccording to the WARN notice, the <a href=\"https:\/\/wwd.com\/sourcing-journal\/logistics\/fedex-freight-spinoff-trucking-ltl-market-debut-margins-standalone-1238990920\/\" id=\"related_article_link_freight\" data-tag=\"freight\" rel=\"nofollow noopener\" target=\"_blank\">freight<\/a> forwarder is restructuring its U.S. global technology department, with all cuts expected to be finalized by Dec. 31. Separations are expected to be permanent.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe Seattle office will see the most cuts, with 68 employees getting notice of their termination. Another 66 were cut from the Federal Way office, while 59 working in Lynwood got their walking papers.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe staff cuts would represent 15.4 percent of the company\u2019s information systems branch as of March 31, 2026. The company employed 1,498 workers within the branch to close out the first quarter, up from 1,358 staff the year prior. In total, Expeditors employed roughly 20,361 workers, so the cuts represent 1.1 percent of the company\u2019s total staff.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cThis action is not expected to result in the relocation or contracting out of the Company\u2019s operations or the affected employees\u2019 positions,\u201d said Courtney Hawkins, senior vice president and chief information officer of Expeditors International, in the WARN notice. \u201cAffected employees will continue to receive any pay and benefits due to them as a Company employee up until the termination of their employment.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHawkins runs the information systems branch for the <a href=\"https:\/\/wwd.com\/tag\/logistics\/\" id=\"auto-tag_logistics\" data-tag=\"logistics\" rel=\"nofollow noopener\" target=\"_blank\">logistics<\/a> provider.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tPositions impacted included software developers, quality assurance engineers, project managers and business analysts, among others.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tA report from GeekWire highlighted a discrepancy in the company\u2019s website that signaled a change to its internal policies regarding <a href=\"https:\/\/wwd.com\/tag\/layoffs\/\" id=\"auto-tag_layoffs\" data-tag=\"layoffs\" rel=\"nofollow noopener\" target=\"_blank\">layoffs<\/a>.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAs recently as January, Expeditors\u2019 online corporate history page credited \u201cour no layoff policy\u201d for making 2010 the company\u2019s \u201cbest year to date,\u201d according to a version of the page captured by the Internet Archive\u2019s \u201cWayback Machine.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tA snapshot on the site taken on May 11 indicated that the phrase was since amended to call it \u201cour short-term no layoff policy.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAccording to various reports, Expeditors did not conduct <a href=\"https:\/\/wwd.com\/fashion-news\/fashion-scoops\/the-new-school-layoffs-job-cuts-87-people-1238997950\/\" id=\"related_article_link_layoffs\" data-tag=\"layoffs\" rel=\"nofollow noopener\" target=\"_blank\">layoffs<\/a> during high-stress economic periods including the global financial crisis of 2008-2009, the Covid-19 pandemic and wider tech <a href=\"https:\/\/wwd.com\/tag\/job-cuts\/\" id=\"auto-tag_job-cuts\" data-tag=\"job-cuts\" rel=\"nofollow noopener\" target=\"_blank\">job cuts<\/a> after the Federal Reserve began increasing interest rates throughout 2022.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe company has not given a reason for the policy changes, but highlighted increased productivity across the business in its first quarter earnings release on May 5.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAt the time, David Hackett, senior vice president and chief financial officer at Expeditors, attributed the improvements to <a href=\"https:\/\/wwd.com\/tag\/artificial-intelligence\/\" id=\"auto-tag_artificial-intelligence\" data-tag=\"artificial-intelligence\" rel=\"nofollow noopener\" target=\"_blank\">artificial intelligence<\/a> deployments.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cWith headcount sequentially flat versus the prior quarter, coupled with our revenue and margin growth, we meaningfully increased our productivity from the fourth quarter of 2025 as our operating efficiency achieved our 30 percent historical target,\u201d said Hackett. \u201cIn 2025, we made strategic investments in headcount aimed at higher-growth opportunities, particularly in customs brokerage, as well as essential investments in technology, including <a href=\"https:\/\/wwd.com\/footwear-news\/shoe-industry-news\/mexican-store-coppel-predictive-ai-first-insight-footwear-1239005524\/\" id=\"related_article_link_artificial-intelligence\" data-tag=\"artificial-intelligence\" rel=\"nofollow noopener\" target=\"_blank\">artificial intelligence<\/a>. We are starting to achieve benefits from these investments, which are helping to drive our productivity gains.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHackett noted that the gains were easing cost increases for Expeditors for a second sequential quarter, with operating expenses, excluding transportation-related costs, increasing less than one percent compared to the fourth quarter of 2025.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tIn the company\u2019s annual report, Expeditors says it is in \u201cthe early days in the deployment of AI\u201d and continues to work to see where it can be applied most beneficially.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cWe are dedicated to teaching our employees how to best utilize AI technologies, with groups creating their own agents and using tools in various areas of our business to gain efficiency and improve effectiveness,\u201d the report said.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tLast year, CargoWise and E2Open parent <a href=\"https:\/\/wwd.com\/sourcing-journal\/logistics\/wisetech-global-ai-layoffs-2000-employees-29-percent-e2open-cargowise-job-cuts-artificial-intelligence-software-1238863839\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">WiseTech Global<\/a> announced a nearly 30 percent culling of its staff through 2027, overtly tying the <a href=\"https:\/\/wwd.com\/footwear-news\/shoe-industry-news\/nike-layoffs-job-cuts-operations-technology-1238927553\/\" id=\"related_article_link_job-cuts\" data-tag=\"job-cuts\" rel=\"nofollow noopener\" target=\"_blank\">job cuts<\/a> to its deployments of AI technologies. Freight booking technology <a href=\"https:\/\/wwd.com\/sourcing-journal\/logistics\/freightos-cuts-15-percent-jobs-layoffs-restructuring-costs-breakeven-profitability-2026-q4-ai-freight-tech-1238865209\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Freightos<\/a> said March it was cutting 15 percent of its staff in a restructuring to cut costs, with the firm alluding to AI adoption within the company playing a role.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThird-party <a href=\"https:\/\/wwd.com\/sourcing-journal\/industry-news\/sourcing-journal-hosts-inaugural-visions-of-tomorrow-july-2026-1239003645\/\" id=\"related_article_link_logistics\" data-tag=\"logistics\" rel=\"nofollow noopener\" target=\"_blank\">logistics<\/a> provider giant C.H. Robinson, which has publicly championed its incorporation of AI technologies across its business over the past year, saw its own employment total dwindle 19 percent from 14,990 employees in the first quarter of 2024 to 12,085 in the fourth quarter of 2025.<\/p>\n","protected":false},"excerpt":{"rendered":"Freight forwarder Expeditors International will cut 230 employees by the end of the year in a shift from&hellip;\n","protected":false},"author":2,"featured_media":70422,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[24,25,39058,2923,1297,7901],"class_list":["post-70421","post","type-post","status-publish","format-standard","has-post-thumbnail","category-ai","tag-ai","tag-artificial-intelligence","tag-freight","tag-job-cuts","tag-layoffs","tag-logistics"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/70421","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=70421"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/70421\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/70422"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=70421"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=70421"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=70421"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}