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30,000 More UPS Jobs On the Chopping Block as Amazon Era Ends (cnbc.com)

(Wednesday January 28, 2026 @11:45AM (msmash) from the deeper-cuts dept.)


UPS said today it plans to [1]eliminate an additional 30,000 operational jobs this year as the shipping giant continues to wind down its partnership with Amazon -- previously its largest customer -- and push forward a broader turnaround strategy under CEO Carol Tome.

CFO Brian Dykes said on an earnings call that the cuts will be accomplished through attrition and a voluntary separation program for full-time drivers. The company also plans to further deploy automation across its network. UPS has identified 24 buildings for closure in the first half of 2026 and expects to reduce operational hours by approximately 25 million as the Amazon relationship unwinds.

Last year, UPS eliminated 48,000 jobs -- 34,000 operational and 14,000 management -- and closed 93 buildings. The company expects $3 billion in total savings from the Amazon unwind.



[1] https://www.cnbc.com/2026/01/27/ups-job-cuts-amazon-unwind-turnaround-plan.html



Union vs non-union jobs (Score:1)

by OffTheLip ( 636691 )

UPS employs teamsters who are well represented by their union. Amazon, not so much. It's not easy for UPS to be competitive with Amazon with that dynamic hanging over them. The future of logistics looks cloudy from my vantage point (well outside).

Re:Union vs non-union jobs (Score:4, Informative)

by AmiMoJo ( 196126 )

They aren't competing with Amazon, they are working for Amazon. Amazon was using UPS for deliveries, but being Amazon they demanded terms that were simply unprofitable for UPS. So UPS is now winding down that partnership, and presumably Amazon is either looking for another sucker, or cracking the whip on its own delivery drivers a bit harder.

Re: (Score:2)

by fropenn ( 1116699 )

> Amazon is either looking for another sucker

Many of the last-mile deliveries are managed by "independent" franchises that work only for Amazon. They were trying to sell one to a sucker a few years ago in my neck of the woods. As with all franchise models, you (the franchise "owner") would invest the money, hire the drivers, purchase the Amazon vehicles, and then Amazon would dump the packages in a warehouse somewhere and you had to deliver them, and then Amazon would decide how much they wanted to pay you. Amazon claimed your annual profit would be $

Reverse Centaurs (Score:2)

by hwstar ( 35834 )

From Cory Dotorow:

A “reverse centaur” is a machine head on a human body, “a person who is serving as a squishy meat appendage for an uncaring machine.” Here’s his example, in all its painful clarity:

Like an Amazon delivery driver, who sits in a cabin surrounded by AI cameras, that monitor the driver’s eyes and take points off if the driver looks in a proscribed direction, and monitors the driver’s mouth because singing isn’t allowe

Re: (Score:1)

by OffTheLip ( 636691 )

> They aren't competing with Amazon, they are working for Amazon. Amazon was using UPS for deliveries, but being Amazon they demanded terms that were simply unprofitable for UPS.

In my mind they are competing with Amazon since they wanted to be a delivery service for them. I agree UPS couldn't profit based on the terms but that's competition too.

I don't know (Score:1)

by olsmeister ( 1488789 )

I just got off a chat with Amazon this morning about a package I'm waiting for. Amazon shipped it via UPS, it travelled 1,000 miles and got to within 50 miles of my location, and now for some reason is being returned to sender without ever making it to my doorstep. They apologized profusely and are looking into it. I can't help but wonder if it is UPS just being assholes.

Re: (Score:3)

by rickb928 ( 945187 )

Hanlon's Law.

Yes, you could help yourself to not attribute mistakes to malice. But it's more rewarding to find fault in others.

Re: (Score:3)

by DarkOx ( 621550 )

THIS

Amazon and their drivers do a pretty good job with delivery instructions. They deposit the packaged as requested snap a photo a leave.

Anything remotely difficult like please pace the item in the box at the end of my driveway, and UPS sticks a 'we are sorry we missed you' sticker some place I won't find it for two days and demands I drive 30min each way to get my package.

won't be sorry to see Amazon take over the rest of their deliveries

Re: (Score:2)

by aaarrrgggh ( 9205 )

Boy, I have the exact opposite experience. I know my UPS driver's name (and two of the alternates that occasionally sub for him). If he has something that needs a signature for me he will either flag me down if I am driving or call me to get a verbal authorization. I still have his Christmas card in my car though since Amazon packages were eliminated-- I have only gotten one other UPS delivery in the past two months and he took vacation time that day.

I have consistently had similar experiences with UPS dri

Re: (Score:2)

by sentiblue ( 3535839 )

Amazon is not taking over their own last mile delivery. The still do the long haul transports between warehouses, but the last mile is taken care of by a network of small businesses who partner with them.

Illegal employment (Score:2)

by rsilvergun ( 571051 )

A huge part of the reason for this is that Amazon is illegally using contractors to deliver packages. It is still not legal to use contractors to do work that is core to your business. You can hire a contractor to build a fence but if you're a fence building company you can't hire contractors to build fences.

We stopped and forcing white collar crimes. Probably about 40 years ago. Maybe even 50.

This has consequences for you whether you work for UPS or not because 30,000 middle class jobs are about to

Re: (Score:2)

by DarkOx ( 621550 )

What are you on? Of course a fence building company you can sub-contract a given job.

Replaced by private small businesses (Score:2)

by sentiblue ( 3535839 )

AMZ has been quietly, over the past several years, to establish relationship with newly created private small businesses whose only business is to execute the last mile delivery. The companies operate out of the AMZ warehouses right next to the packages being loaded onto their vehicles for delivery. AMZ pay those companies the rental cars, the driver wages, plus something along the line of $0.20 per package delivered. Depending on how big/efficient each company works, they earn around 150K/year. The only pr

Re: (Score:2)

by sentiblue ( 3535839 )

By the way... if you're interested in being their delivery partner, you can study the process here [1]https://logistics.amazon.com/ [amazon.com]

[1] https://logistics.amazon.com/

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