United Parcel Service (UPS) announced it has eliminated 48,000 jobs in 2025 as part of a sweeping effort to reduce costs and reshape its operations amid declining package volumes and rising competition.
The cuts, detailed in an Oct. 28 filing, mark the largest workforce reduction in the company's 117-year history.
According to UPS, about 34,000 of the cuts came from its "operational workforce," including drivers and warehouse workers, while 14,000 management positions were also eliminated.
Many of the reductions came through voluntary buyouts that were finalized by August 31, USA Today reported.
UPS Chief Financial Officer Brian Dykes said the layoffs were part of a plan to reconfigure the company's network for greater efficiency. "We keep finding opportunities to bring costs down," Dykes said during the company's earnings call.
He added that UPS has already closed 93 buildings and expects more closures before the end of 2025 under its "Network Reconfiguration and Efficiency Reimagined" program.
Chief Executive Officer Carol Tomé called the overhaul "the most significant strategic shift in our company's history."
In a statement, she said, "We are executing changes designed to deliver long-term value for all stakeholders. With the holiday season approaching, we're positioned to run the most efficient peak in our history."
This is Wild:
— StockMarket.News (@_Investinq) October 28, 2025
• Earlier this year, UPS planned 20,000 job cuts and to close 73 facilities by June.
• Fast-forward , it’s now 34,000 jobs gone and daily operations shut down at 93 leased and owned buildings in 2025.
• UPS just posted record profits, expects Q4 revenue near… pic.twitter.com/kIsZivEnZP
UPS Targets $3.5 Billion in Savings After 48,000 Job Cuts
According to the NY Post, UPS reported $21.4 billion in revenue for the third quarter, down nearly 4% from the previous year, and a net income of $1.31 billion.
The company handled 19.4 million packages in the quarter — a 9.8% year-over-year drop — as it continues to scale back lower-margin business with Amazon and other large-volume clients.
The restructuring has already saved $2.2 billion in 2025, with UPS targeting $3.5 billion in total savings by next year.
Cost-cutting measures include automation, reducing leased aircraft and vehicles, and lowering seasonal hiring.
UPS has also faced tension with the International Brotherhood of Teamsters, which represents about 340,000 US employees, as the company moves to consolidate operations.
Teamster leaders have said they will challenge any job cuts that violate labor agreements.
UPS currently employs around 490,000 workers worldwide, down from roughly half a million in 2024.
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