UPS Plans to Cut Up to 30,000 Jobs, Close 24 Buildings
CFO Brian Dykes said UPS will cut up to 30,000 operational jobs in 2026 and close 24 buildings in the first half of 2026.
Overview
United Parcel Service said it will cut up to 30,000 operational jobs in 2026 and offer a second voluntary separation program for full-time drivers, CFO Brian Dykes said during the company’s earnings call.
The reductions follow UPS’s plan to lower Amazon volume by more than 50% by the second half of 2026 and to reconfigure its network, a shift executives say requires facility closures and automation, company filings show.
CEO Carol Tome said UPS reduced Amazon’s volume in its network by approximately 1 million pieces per day by the end of 2025 and intends to glide down another million pieces per day for full-year 2026, she said on the call.
UPS employs about 490,000 workers, and regulatory filings show the company cut about 34,000 operational positions and closed daily operations at 93 leased and owned buildings during the first nine months of 2025.
UPS said it expects to deploy automation across its network and target about $3 billion in savings in 2026, and market data showed shares of United Parcel Service Inc. rose 3.4% in afternoon trading after the announcement.
Analysis
Center-leaning sources frame UPS’s job cuts as a strategic, operational pivot: they foreground company statements, financial context, and network reconfiguration while minimizing worker perspectives. Corporate quotes and detailed metrics legitimize the reductions; human-impact voices and labor reactions are absent, producing a managerial/market-oriented narrative.
Sources (4)
FAQ
The cuts will be achieved through attrition and a second voluntary separation program offered to full-time drivers.
UPS is reducing reliance on Amazon volume by over 50% by mid-2026, gliding down another 1 million pieces per day in 2026, and implementing automation to optimize its network and save $3 billion.
UPS cut about 48,000 jobs in 2025, including approximately 34,000 operational positions, and closed daily operations at 93 facilities in the first nine months.
UPS employs about 490,000 workers.
Shares of United Parcel Service Inc. rose 3.4% in afternoon trading following the announcement.
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