UPS Cuts 14,000 More Jobs in Atlanta Restructuring

UPS, based in Sandy Springs, Georgia, is undergoing significant restructuring, which includes cutting 14,000 jobs. This decision comes on the heels of a strong performance in their third-quarter earnings, which surpassed Wall Street expectations.

Details of Job Cuts and Restructuring Efforts

In total, UPS has reduced its workforce by approximately 34,000 jobs in 2025. The latest round of cuts primarily affects management positions. Analysts predict that up to 14,000 additional jobs could be eliminated by year-end.

• Job Cuts: 34,000 total this year.
• Additional Cuts: 14,000 more anticipated.
• Focus: Primarily on management roles.

Operational Changes

As part of its turnaround strategy, UPS has ceased daily operations at 93 buildings, including both leased and owned properties. The company is actively searching for more facilities to close as it aims to optimize its operations.

Closure Plans

Earlier this year, UPS announced an intention to cut about 20,000 jobs and close over 70 facilities. By June, the company planned to shut down 73 locations. This significant reduction stems from a gradual decrease in shipments from Amazon, its largest customer, by more than 50% expected by 2026.

Financial Performance

UPS reported earnings of $1.31 billion, or $1.55 per share, for the third quarter ending on September 30. This performance marked a decline in earnings from the previous year, when the company made $1.99 billion, or $1.80 per share.

• Current Earnings: $1.31 billion ($1.55 per share).
• Previous Year Earnings: $1.99 billion ($1.80 per share).

Cost Savings and Future Goals

The restructuring initiative aims to achieve approximately $3.5 billion in cost savings by the end of 2025. UPS managed to save around $2.2 billion by September 30, 2025, as per their strategic plan.

Shares of UPS experienced a notable increase of over 12% prior to the market opening on Tuesday, reflecting strong investor confidence.

Conclusion

As UPS navigates this challenging landscape, their focus on job cuts and operational streamlining is crucial. With significant financial performance and ongoing adjustments, the company is positioning itself for a more sustainable future.