UPS to Cut 30,000 Jobs, Scale Back Amazon Deliveries in 2026
Logistics giant to close facilities and lean on automation as it continues to reduce low-profit package volume.
United Parcel Service, the world’s largest courier company, has outlined plans for a significant workforce reduction, intending to cut as many as 30,000 jobs and close additional facilities in 2026.
The logistics giant also plans to further limit its package handling for Amazon as part of a broader cost-cutting strategy, CBS News reported.
During a Tuesday earnings call, Chief Financial Officer Brian Dykes confirmed the company will reduce its workforce by approximately 30,000 positions and shutter 24 locations.
The reduction will primarily occur through attrition rather than direct layoffs. According to CBS News and MSN, UPS will not fill positions that become vacant due to retirements or employees leaving for other reasons. The company also intends to offer a voluntary separation program for full-time drivers, similar to an initiative rolled out in 2025.
These plans are driven by the ongoing unwinding of UPS’s extensive partnership with Amazon. In April 2025, UPS announced it would lower its delivery volume for the e-commerce titan, a move that came with plans to cut around 20,000 jobs.
CEO Caroline Tome stated that the company will continue this strategy in 2026 by cutting one million low-profit deliveries per day and reorganizing its network, Reuters reported. The CFO added that more facility closures are possible in the second half of 2026, as the company shifts its focus toward automation in package sorting and delivery.
UPS employs approximately 490,000 people globally. While the job reduction plans are worldwide, the specific impact on employees in the company’s Polish operations has not been detailed. The company may allow part-time contracts to expire without renewal to naturally phase out positions.
