Thousands of workers will lose their jobs as a result of the DHL restructuring.

DHL said it will eliminate approximately 1,800 jobs in low volume rural locations around the country. Another 6,000 jobs will be scrapped at air cargo carrier ABX Air if the proposed deal with UPS goes through.

Deutsche Post World Net's express operation in the United States, headquartered in Plantation, Fla., expects to lose $1.3 billion in 2008. On Wednesday this week, DHL announced a plan to hire competitor Atlanta-based UPS to provide air transportation for all of DHL's domestic express and deferred packages and airlift for DHL packages between the United States, Canada and Mexico. The air transportation deal would effectively cut out ABX Air, which has provided DHL with airlift since 2003.

The restructuring plan would reduce DHL's infrastructure network capacity by about 30 percent and cut overhead and other administrative costs.

As part of the plan, DHL will close its air sort hub in Wilmington, Ohio, and phase out its outsourced flying with ABX Air to turn that business over to UPS, which has its own hub in Louisville, Ky.

ABX Air President John Graber told the Wilmington News Journal that the shift is expected to cost 6,000 ABX workers their jobs. The current ABX work force of 7,000 would be cut to approximately 900 to 1,000 employees at the DHL Air Park in Wilmington, Graber told the News Journal.

Related Stories:
DHL Restructures, Outsources to UPS
UPS Says DHL Will Bring $1 Billion
DHL to Cut ABX Fleet
DHL Closing Wilmington Hub
Postal Service Expands Last-Mile
DHL Restructuring to Cost 7,800 Jobs
Pilots' Union Balks at DHL-UPS Deal