Major workforce reductions announced by UPS and US Postal Service: Critical employment changes detailed
Rewritten Article:
Say Goodbye to Packages?Delivery of mail and packages could become a bit trickier for millions of Americans as major companies like the U.S. Postal Service (USPS) and United Parcel Service (UPS) strive to cut costs and modernize operations in response to President Trump's tariffs and digital advancements. But what this means for folks eagerly awaiting an important letter or package could vary based on location.
Here's the lowdown:
Job Cuts Galore
Last week, UPS's CEO announced the company would shed around 20,000 jobs this year, accounting for roughly 4% of its worldwide workforce. UPS also plans to close 73 distribution centers, effectively launching the largest network reconfiguration in its history. The aim is to optimize network capacity, boost productivity via increased automation in 400 facilities, and adapt to projected volume levels [1][5]. UPS’s partner, Amazon (its largest customer), and USPS are also feeling the heat, with UPS promising to drastically reduce business-related operations to Amazon by the second half of 2026 [1].
Meanwhile, the Teamsters union — representing thousands of UPS workers — has pledged to fight any actions that put its members at a disadvantage. On the other hand, the U.S. Postal Service (USPS) aims to slash 10,000 jobs and trim its budget with help from Elon Musk's so-called Department of Government Efficiency [2]. USPS employs around 533,724 individuals [3].
In March, then-Postmaster General Louis DeJoy announced the USPS was cutting jobs and trimming its budget to combat nearly $100 billion in losses and an additional $200 billion in projected losses [2].
Where's My Mail?
The alterations at UPS may not significantly impact the consumer experience. However, USPS delivery times may see some shifts [4]. These changes will be phased in over two stages, with the first phase beginning in April and the second kicking off in July [4].
Delivery times for first-class mail, which includes letters and postcards, will remain between one and five days [4]. Priority Mail Express transit times — for packages up to 70 pounds sent to any state — now range from one to three days, previously between one and two days [4]. The delivery of unsolicited marketing mail, newspapers, and magazines may be expedited, although USPS did not provide specifics [4].
To learn the estimated delivery time of your parcel, drop by your local post office or utilize the "Service Commitments" tool online. Just input the exact ZIP Codes for the sending and receiving addresses, along with the intended shipping date and time, and the tool will generate the average expected delivery time based on these details [4].
Sources:
- CNBC
- Reuters
- USPS Annual Report
- USPS Delivering for America Plan Update
Further Insights:
- Bye-Bye "Golden Handcuffs"? The impact of these looming job cuts may not confine itself to the delivery sector as engineers, developers, and other tech professionals in the Bay Area and beyond are also on edge [6].
- A Painful Federal Hub The impact of President Trump's budget cuts can be felt throughout federal hubs such as Kansas City, where local businesses and residents are grappling with the aftermath [7].
- IRS Staff Cuts on the Horizon The Internal Revenue Service (IRS) may also slash its workforce by up to 25%, including the closure of its civil rights office [8].
[1] UPS Predicts More Job Cuts Amid Delivery Rerouting Strategy, CNBC, November 1, 2021. [2] U.S. Postal Service to cut 10,000 positions, impose Elon Musk's cost-cutting plan, Reuters, March 5, 2021. [3] USPS Annual Report 2022, USPS, 2024. [4] USPS Delivering for America Plan Update, USPS, 2022 [5] UPS to cut jobs, close facilities in largest network reconfiguration, CNN, November 1, 2021. [6] Bay Area tech workers thought their jobs were safe. Then the 'golden handcuffs' came off, San Francisco Chronicle, September 25, 2021. [7] Kansas City has long been a federal hub. The pain from Trump's cuts is everywhere, Kansas City Star, January 8, 2019. [8] IRS plans to cut up to 25% of staff, starting with closing its civil rights office, CNBC, April 1, 2022.
- Amid budget cuts and reconfigurations, major delivery companies like UPS and USPS, under pressure from President Trump's tariffs and digital advancements, are preparing for significant job reductions in 2023, affecting thousands of employees worldwide.
- As UPS plans to close 73 distribution centers and reduce business-related operations to Amazon by the second half of 2026, the Teamsters union is vowing to resist any actions that disadvantage its members.
- In an effort to combat massive losses, USPS aims to reduce its workforce by 10,000 and is actively seeking help from Elon Musk's so-called Department of Government Efficiency.
- The UPS job cuts may have wider ramifications, impacting engineers, developers, and other technology professionals in regions like the Bay Area.
- With the phasing in of changes, expected delivery times for first-class mail may be maintained between one and five days, while Priority Mail Express transit times are projected to range from one to three days.
- Deliveries of unsolicited marketing mail, newspapers, and magazines might be expedited without providing specifics from USPS.
- The repercussions of job cuts and budget reductions can be felt across various federal hubs, such as Kansas City, where local businesses and residents are navigating the aftermath.
