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The Atlanta-based shipping giant revealed the job cuts in a regulatory filing on Tuesday, April 29. UPS also plans to close 73 buildings by June as the company aims to save $3.5 billion by the end of 2025.
CEO Carol Tomé said UPS is working to adapt to more difficult economic conditions for shippers due to President Donald Trump's sweeping tariffs.
"As a trusted leader in global logistics, we will leverage our integrated network and trade expertise to assist our customers as they adapt to a changing trade environment," said Tomé. "Further, the actions we are taking to reconfigure our network and reduce cost across our business could not be timelier. The macro environment may be uncertain, but with our actions, we will emerge as an even stronger, more nimble UPS."
The layoffs came after UPS also laid off about 12,000 workers throughout 2024. UPS reported first-quarter 2025 revenues of $21.5 billion, down 0.7% from the previous first quarter.
The move comes as UPS faces shifting demand and prepares for a sharp drop in deliveries from Amazon, CBS News reported.
In January, UPS said it had reached an agreement to cut Amazon delivery volumes by more than 50% in the second half of 2026.
"The reduction of package volume from Amazon is something UPS chose to do as we focus on revenue quality, and increase domestic operating margin and profitability," a UPS spokesperson told CBS.
Amazon said it had offered to increase UPS' volumes before the delivery company decided to pull back.
"Due to their operational needs, UPS requested a reduction in volume and we certainly respect their decision," an Amazon spokesperson said in an email to CBS.
Customers can track how Trump's tariffs will impact UPS on its website. The company also has the "UPS Global Checkout" tool, showing upfront costs for duties, taxes, and fees.
UPS delivered an average of 22.4 million parcels each day in 2024.
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