FedEx investing $3.2B in employee wages, bonuses, pensions, expanding US operations

The FedEx Corporation announced Friday it will invest more than $3.2 billion in employee wage increases, bonuses, pension funding, and increase its investment in the U.S. as a result of the Republican tax reforms.

"FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States," the company said in a statement released Friday morning.

The shipping giant will spend more than $200 million more on annual pay increases that will take effect April 1, instead of the usual October date.

FedEx will also contribute $1.5 billion to its pension plan and direct another $1.5 billion to expand its Express hub in Indianapolis over the next seven years. The SuperHub in Memphis, Tenn., will also be brought up to date and expanded.