Core Viewpoint - United Parcel Service (UPS) is implementing a significant restructuring plan that includes closing 22 package sortation centers across 18 states to enhance profitability through network consolidation and automation [2][4]. Group 1: Closure Plans - UPS plans to close 22 sortation centers with union employees, including locations in Dallas, Miami, Baltimore, and Atlanta [1]. - This is part of a broader strategy to close 200 sortation centers over the next five years as part of the "Network of the Future" optimization plan [3]. - The company has already reduced 48,000 frontline jobs and closed 93 distribution centers in the previous year [3]. Group 2: Job Reductions - UPS aims to eliminate 30,000 jobs in the first half of the year, with 22 of the closures affecting union-represented employees [4]. - The company plans to reduce warehouse workers through attrition and delivery drivers through a buyout program, with potential involuntary layoffs if not enough drivers accept the severance package [6]. Group 3: Financial Incentives - UPS intends to offer $150,000 plus accrued benefits to over 100,000 drivers as an incentive for voluntary resignation [7]. - The Teamsters union is contesting this voluntary separation program in court, arguing it violates the contract by altering employment status without union consent [7]. Group 4: Relationship with Amazon - UPS is on track to decouple 50% of its business with Amazon by June due to unprofitable deliveries, and has agreed to outsource last-mile delivery for certain economy shipments to the U.S. Postal Service [2].