UPS to cut up to 30,000 more jobs in move away from low-profit Amazon shipments

[mahatmakanejeeves]

Consumer
UPS to cut up to 30,000 more jobs in move away from low-profit Amazon shipments

Last year, the company eliminated 48,000 jobs, launched driver buyouts and closed operations at 93 buildings.


---------- A UPS truck driver makes a delivery in River Forest, Ill., on June 25.Nam Y. Huh / AP file

Jan. 27, 2026, 11:30 AM EST / Source: Reuters
By Reuters

United Parcel Service will cut up to 30,000 operational roles and shut another 24 facilities in 2026, the world's largest package delivery company said on Tuesday, as part of a planned shift toward higher-margin shipments. ... Last year, the company eliminated 48,000 jobs, launched driver buyouts and closed operations at 93 buildings, targeting about $3 billion in savings this year.

The workforce reduction will "be accomplished through attrition and we expect to offer a second voluntary separation program for full-time drivers," Chief Financial Officer Brian Dykes said on a post-earnings call.

UPS said in January last year that it would accelerate a plan to slash millions of low-profit deliveries for Amazon.com, its largest customer and a growing delivery rival, calling the business "extraordinarily dilutive" to margins.

"We're in the final six months of our Amazon accelerated glide down plan and for the full year 2026, we intend to glide down another million pieces per day while continuing to reconfigure our network," CEO Carol Tome said on the call.

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[bucolic_frolic]

1. Somebody will deliver those packages, is that why USPS raised rates 6-8+% ??

Dump low-profit volume on USPS who can make more money on them. Implied is the cost of labor is squeezing UPS margins, so offload it.