The courier company UPS (United Parcel Service), one of the largest in the world, revealed this Tuesday that it cut 48,000 jobs this year, a figure much higher than previously expected, as part of its “transformation” strategy.
UPS reported this workforce reduction, which is not clear if it consists only of layoffs or also the elimination of vacancies, together with its results for the third quarter of 2025, in which it reflected a notable reduction in net profit and, to a lesser extent, in billing.
“We have reduced our operational workforce by approximately 34,000 positions and closed daily operations in 93 leased or owned buildings during the first nine months of 2025,” says UPS, detailing another 14,000 cuts in “management” positions.
It may be of interest to you: Amazon plans further staff cuts from the end of 2022: Reuters
The total of 48,000 jobs cut is more than double the 20,000 layoffs that it anticipated at the beginning of the year, and which it attributed to the reduction in its Amazon shipment deliveries, and the facility closures are also higher than expected, which it does not rule out continuing.
The entity reported in January that it planned to reduce its Amazon deliveries by more than 50% in the second half of 2026 considering that the e-commerce giant has been its largest client, but not the most profitable, according to its executive director, Carol Tomé, said then.
UPS’s profit in the third quarter of 2025 stood at about $1,311 million (52% less compared to the same period last year) and turnover at $21.4 billion (4%) less.
“We are executing the most important strategic shift in the history of the company, and the changes we are implementing are designed to provide long-term value to all participants,” Tomé said in the note, in which he predicted greater “efficiency” for the Christmas season.
UPS indicated that the measures implemented have allowed it to reduce costs worth $2.2 billion and expects them to rise to $3.5 billion in total by the end of the year.
UPS shares rose 8% today in a good market reaction to the data. Since the beginning of the year, the listed company has lost 24% in value.
With information from EFE.
Follow information about business and current events in Forbes Mexico
