UPS cutting 12,000 jobs 5 months after
reaching union deal
WEWS-TV (Cleveland),
by
Elina Tarkasikis
Original Article
Posted By: OhioNick,
1/30/2024 2:10:35 PM
UPS says it will cut 12,000 jobs following a disappointing sales outlook for the year. The layoffs come just five months after the company reached a major union deal.
The job cuts will help the company save $1 billion in costs, CEO Carol Tome said in a call Tuesday morning. Manager and contract roles will be the most impacted.
Labor negotiations last year threatened to disrupt package deliveries for millions of customers, before a deal with Teamsters was reached. As consumers feared potential strikes, they took their business to rival companies, like FedEx. UPS expects to gain most of that business back, but so far has only won back 60% of it.
Post Reply
Reminder: “WE ARE A SALON AND NOT A SALOON”
Your thoughts, comments, and ideas are always welcome here. But we ask you to please be mindful and respectful. Threatening or crude language doesn't persuade anybody and makes the conversation less enjoyable for fellow L.Dotters.
Reply 1 - Posted by:
paral04 1/30/2024 2:22:17 PM (No. 1647614)
Obviously UPS and the other delivery companies are getting hurt by AMAZON's monopolistic moves. What amazes me is that all these companies with their Ivy league leaders don't invoke the Justice departments anti-trust laws making moves like this illegal. What are their lawyers doing? Sitting around setting quotas for Transgender opportunities instead of protecting their company. That nonsense is fine when a company is making money and obviously UPS is in trouble.
15 people like this.
Reply 2 - Posted by:
Gordon Mills 1/30/2024 2:36:54 PM (No. 1647621)
#1, that nonsense is never fine
20 people like this.
Reply 3 - Posted by:
plomke 1/30/2024 2:43:55 PM (No. 1647627)
Business is down.
Business is really down if UPS had a really poor 4th quarter 2024.
Less to do with Amazon and more to do with less packages and freight moving through our BidenEconomy.
And yet the squalid masses and future terrorists pass through our porous southern border like it didn't even exist.
FJB...
44 people like this.
Reply 4 - Posted by:
Sully 1/30/2024 3:09:34 PM (No. 1647634)
USPS is the Junkmail Industrial Complex. That is all it is. Would you trust an important document to the USPS?
Privatize it. Convert all pensions to 401K. Letem join the world called Reality.
17 people like this.
Reply 5 - Posted by:
WV.Hillbilly 1/30/2024 3:13:11 PM (No. 1647635)
In August:
“Our members just ratified the most lucrative agreement the Teamsters have ever negotiated at UPS.
This is the richest national contract I’ve seen in my more than 40 years of representing Teamsters at UPS. There are more gains in this contract than in any other UPS agreement and with no givebacks to the company.”
How's that working out for you?
52 people like this.
Reply 6 - Posted by:
sunshinehorses 1/30/2024 3:29:25 PM (No. 1647649)
Maybe that explains why my 2nd day air package took 3 days to get to me :( Also when I go to send a small package and the cost is $27 for UPS and $7-8 for USPS, that is a no brainer as to which service I will use.
22 people like this.
Reply 7 - Posted by:
Lawsy0 1/30/2024 3:50:50 PM (No. 1647664)
Except for their sparse counter personnel, UPS is way over-populated, even after lay-offs. Teamsters set their pay scale for drivers.
7 people like this.
Reply 8 - Posted by:
DVC 1/30/2024 3:52:18 PM (No. 1647667)
Unions destroy jobs. ALWAYS.
49 people like this.
Reply 9 - Posted by:
SkyKing1222 1/30/2024 3:54:29 PM (No. 1647671)
Absolutely correct #2
4 people like this.
Reply 10 - Posted by:
Banjo Willy 1/30/2024 4:36:07 PM (No. 1647688)
My dear old Appalachian
grandma might say;
"Ya brung it on yourself"
"That'll larn ye"
17 people like this.
Reply 11 - Posted by:
Catherine 1/30/2024 4:37:14 PM (No. 1647689)
# 8 - you are so right. I remember back in the day, the '70's, my dad and I would argue about unions and job loss in the US. He was a staunch union man. I realized that so many jobs and businesses were moving to Mexico and other countries because they could pay workers there a pittance compared to union workers. Businesses want to make the most money they can and paying exorbitant salaries is not how to do that.
22 people like this.
Reply 12 - Posted by:
red1066 1/30/2024 8:51:10 PM (No. 1647864)
UPS drivers can retire with full pension benefits at the age of fifty. However, many retire with bad knees, hips, and other health issues. They are also monitored the entire time they are in the truck for how long it takes to do their route, it's why you see them running so often when delivering packages. If they have an accident that is viewed as their fault, in many cases, they may lose their jobs. I know of one driver who hit an overhead sign that spanned the entrance to a business and was fired as a result. Their job is not easy.
12 people like this.
Reply 13 - Posted by:
Vitaman 1/30/2024 9:27:07 PM (No. 1647882)
The real reason for this can be illustrated by my own company's experience. I recently shipped a 13 lb box to a city within 200 miles. First, I checked UPS. Cost? Nearly $16. Then I checked USPS. Cost just over $7. We used to ship mostly UPS. Then they started with yearly 5-7% price increases for the purpose of keeping up with contractual raises. I warned my UPS rep that this was unsustainable. They were unconcerned. The chickens have arrived home and are now roosting.
12 people like this.
Reply 14 - Posted by:
Dodge Boy 1/30/2024 9:48:39 PM (No. 1647889)
Huh. I thought biden the cheater said the economy is doing just fine.
7 people like this.
Reply 15 - Posted by:
mifla 1/31/2024 5:37:41 AM (No. 1647996)
Union Boss: "We got you all raises!"
Union Member: "Great!"
Union Boss: "By the way, you are fired."
21 people like this.
Reply 16 - Posted by:
Strike3 1/31/2024 7:01:24 AM (No. 1648038)
If the USPS was not run and subsidized by the government, they would be more expensive to use than the private carriers. Every working citizen is paying for that difference from another pocket, known as federal taxes. They are also unionized and far less efficient than UPS and FedEx so on a level playing field would be far more expensive.
10 people like this.
Reply 17 - Posted by:
janjan 1/31/2024 10:23:18 AM (No. 1648172)
When companies get hijacked by expensive union contracts that money doesn’t come out of their pockets. It comes out of yours. Now 12000 happy sheep who thought they stuck it to the man will be unemployed. It’s guaranteed that none of those lost jobs will come out of union management.
2 people like this.
Reply 18 - Posted by:
franq 1/31/2024 10:28:34 AM (No. 1648176)
I think everyone is on the take, #1. Justice is no longer blind, just greedy.
3 people like this.
Reply 19 - Posted by:
Zigrid 1/31/2024 10:48:47 AM (No. 1648188)
And once again...President Trump was "right"...the unions only take care of themselves...not the workers....nice big group to vote for President Trump...welcome aboard the Trump train heading to Washington DC....
7 people like this.
Reply 20 - Posted by:
swarfer 1/31/2024 6:56:39 PM (No. 1648455)
Something similar happened when GM got bailed out after the financial meltdown in 2008. Union contracts were preserved instead of renegotiated as per exiting bankruptcy law, then thousands white collar non-union workers got laid off. Unions get the deal and everyone else pays. THIS IS THE REASON THE US LOST ITS INDUSTRIAL MIGHT SINCE WWII. Companies shifted production offshore to avoid unions. Everyone wants to blame management, the government or whomever, but the reality is unions. It is impossible to be competitive long term with higher wages paid to union employees unless the workforce is highly motivated, educated and cooperative. Airbus is a good example, coming out of the industrial ashes of WWII Europe to industrial dominance. There are few examples here in the US.
0 people like this.
I suggest that the out-of-a-job 12,000 take a look at the cushy salaries and lifestyles of the union leadership.
1 person likes this.
Below, you will find ...
Most Recent Articles posted by "OhioNick"
and
Most Active Articles (last 48 hours)