UPS Offers Driver Buyouts as Company Cuts Jobs, Faces Union Pushback

Parcel giant UPS said its severance program is voluntary and compliant with the union contract. Teamsters called the plan illegal and vow to fight.

A United Parcel Service (UPS) truck delivers boxes in New York City, on April 26, 2022. Spencer Platt/Getty Images

Shipping giant UPS plans to offer voluntary severance packages to some of its full-time U.S. drivers.

On July 3, the International Brotherhood of Teamsters, a trade union that represents many of the drivers, announced that United Parcel Service Inc. will issue a plan later this month offering “cash to drivers to initiate early retirement or quit their job.”