US cargo giant UPS set to lay off 20,000 people in 2025

With lower shipping volumes expected due to Trump tariffs, UPS to also close 73 leased and owned buildings by end of June

By Mucahithan Avcioglu

ISTANBUL (AA) - US cargo and shipping giant UPS announced plans to restructure and reduce its operational workforce by around 20,000 people in 2025 in anticipation of lower volumes, according to the company's financial results released on Tuesday.

The statement included a transformation strategy for purposes such as resizing the workforce and making operations more efficient with automation.

"In connection with our anticipation of lower volumes from our largest customer, we began our Network Reconfiguration, which is an expansion of Network of the Future and will lead to consolidations of our facilities and workforce as well as an end-to-end process redesign," it said.

In addition to the layoffs, UPS also announced its plans to close 73 leased and owned buildings by the end of June 2025.

These moves would reportedly save $3.5 billion in total costs by 2025.

Due to US President Donald Trump’s imposition of higher tariffs on imports, a drop in customer demand is expected, which may reduce the need for cargo services.

Kaynak:

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