Under the new program, employees who participate in a pension plan will begin accruing future benefits under a cash balance formula, effective June 1, 2008. Any benefits already accrued under the old formula will be capped May 31, 2008, and will be paid monthly at retirement. These changes will not affect the benefits of current retirees.   Details on the FedEx pension plan.

For its 401(k) plans, FedEx will increase its matching contributions for most employees and will provide additional investment options. The new federal law allows FedEx to automatically enroll employees and increase their saving contributions each year.