FedEx’s cost-cutting plan is taking more shape in Europe in the form of job cuts.

The Memphis, Tenn.-based courier aims to reduce headcount across FedEx back-office and commercial teams by 1,700 to 2,000 employees. According to the company, some roles will be axed entirely, while certain operations will be consolidated in countries that are best aligned with its demand needs and existing real estate footprint.

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These changes will not affect FedEx customers, or the company’s delivery service.

According to several reports, 385 employees working at the Brucargo freight airport in Belgium were among the cuts. FedEx employs approximately 1,000 people at the site.

“FedEx is transforming to best match changing market dynamics and meet the needs of our customers,” said Richard Smith, chief operating officer, international and CEO, airline, Federal Express Corp. “Alongside the work we’ve done to optimize our networks, we’re taking necessary actions to streamline many of our functions to reduce structural costs while continuing to deliver outstanding service to our customers. We do not take these decisions lightly, but they are essential to putting FedEx on the right path for the future.”

In line with European and local labor laws, FedEx will conduct country-level “consultation” processes over the next 18 months, where the company meets with union representatives to discuss the reasons for laying off workers.

The actual amount and timing of cost savings resulting from the workforce reduction plan are dependent on the local consultations, regulations and negotiated social plans and may differ from current expectations and estimates, FedEx warns. Employees will be updated on any effects as the consultation process permits.

“These are difficult changes for any business, and we have in the front of our minds our affected team members and their families,” said Karen Reddington, president of FedEx Europe. “In line with our culture, we will conduct this process with the maximum support for those affected and in close consultation with our social partners.”

FedEx expects the pre-tax cost of the severance benefits and legal-related expenses to range from $250 million to $375 million in cash expenditures. These charges are expected to be incurred through fiscal 2026. The plan will generate annual savings between $125 million and $175 million beginning in fiscal 2027.