UPS revealed the latest wave of planned job cuts during a quarterly earnings call on Tuesday, Jan. 27. The reductions come after the shipping giant eliminated around 48,000 jobs in 2025, including 34,000 operational roles such as warehouse workers or drivers, and 14,000 management positions.
Chief financial officer Brian Dykes said that UPS plans to decrease its total operational hours by approximately 25 million as it winds down its business with Amazon, CNBC reported.
"In terms of variable costs, we expect to reduce operational positions by up to 30,000," said Dykes. "This will be accomplished through attrition, and we expect to offer a second voluntary separation program for full-time drivers."
UPS is undergoing a broad restructuring effort under CEO Carol Tomé aimed at improving efficiency and profitability. While Amazon was once UPS's largest customer, the companies are unwinding their relationship, with UPS shrinking its Amazon volume by more than 50% by late 2026.
According to UPS, the company expects to save up to $3 billion by pulling back from Amazon deliveries. Amazon is in the process of cutting tens of thousands of its own jobs as it pushes automation and expands its own delivery network.
Founded in Seattle in 1907, UPS had about 490,000 employees worldwide as of late 2024.
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