UPS will cut 30K more jobs after massive 2025 layoffs as it ends Amazon partnership

Core Viewpoint - United Parcel Service (UPS) announced approximately 30,000 job cuts in 2023 as part of a cost-cutting strategy and the winding down of its partnership with Amazon, following significant job reductions in the previous year [1][4][5]. Group 1: Job Cuts and Operational Changes - UPS plans to reduce operational hours by about 25 million as it decreases its reliance on Amazon [1]. - The job cuts will be achieved through attrition and a second voluntary separation program for full-time drivers [4]. - The company previously cut 48,000 jobs in 2022, including 34,000 operational roles and 14,000 in management [4]. Group 2: Strategic Shift and Financial Outlook - The announcement of job cuts was unexpected, as UPS had initially projected a total of 20,000 layoffs by 2025 [5]. - CEO Carol Tomé, who has been under pressure from investors due to the company's underperformance, is leading a multiyear turnaround plan [5]. - UPS anticipates $3 billion in total savings from ending its business with Amazon [9]. Group 3: Future Plans and Performance - UPS has identified 24 buildings for closure in the first half of 2026, with potential for more closures later this year [4]. - The company aims to enhance automation across its network as part of its operational strategy [4]. - Following the job cuts and the release of fourth-quarter earnings that exceeded Wall Street expectations, UPS shares rose by 3% [9].