itstargetnews
Key Advisors Wealth Management Co-Founder Eddie Ghabour Joins ‘Varney & Co.’ to explain why he believes the US economy is entering a powerful bull market despite mixed signals on Wall Street.
The United Parcel Service aims to cut up to 30,000 operational roles by 2026 as part of its turnaround strategy, Chief Financial Officer Brian Dykes announced on Tuesday during the company’s quarterly earnings call.
That reduction “will be achieved through attrition, and we hope to offer a second voluntary separation program for full-time drivers,” Dykes said.
The shipping giant has been in the midst of a transformation strategy, announced in June 2025, focused on optimizing its North American network and increasing productivity. The company called it the largest network reconfiguration in UPS history.
UPS WARNS OF CHANGES ‘FOR A MONTH’ AFTER GROUNDING ENTIRE FLEET OF JETS AFTER DEADLY KENTUCKY CRASH
Last year, the company cut 48,000 jobs and began a driver buyout. It also closed operations at 93 buildings.
The shipping giant has been in the middle of a transformation strategy. (Spencer Platt/Getty Images)
“This strategic initiative will optimize our network’s ability to align with expected volume levels and improve productivity through additional automation,” UPS said at the time, adding that “the reconfiguration will impact positions and we are committed to supporting our employees throughout this process.”
FORD TEMPORARILY STOPS KENTUCKY PLANT OPERATIONS AFTER FATAL UPS AIRCRAFT CRASH
The company said last January that it would accelerate a plan to cut millions of low-profit deliveries for Amazon, its biggest customer and a growing delivery rival, calling the business “extraordinarily dilutive” of margins.
“We’re in the last six months of our Amazon accelerated drop plan and for all of 2026, we intend to drop another million parts a day as we continue to reconfigure our network,” CEO Carol Tome said on Tuesday’s call.
| Ticker | security | last | change | % change |
|---|---|---|---|---|
| UPS | UNITED PARCEL SERVICE INC. | 107.22 | +0.27 |
+0.25% |
| AMZN | AMAZON.COM INC. | 244.68 | +6.26 |
+2.63% |
UPS said in its earnings report on Tuesday that as part of its “Transformation 2.0,” completed by 2025, the company identified opportunities to reduce management layers.
A UPS delivery truck parked in Pittsburgh, Pennsylvania. (Paul Weaver/SOPA Images/LightRocket via Getty Images)
It also began reviewing its business portfolio and identified opportunities to invest in certain technologies, such as financial reporting and scheduling, time and payment systems, which it said would help reduce overall indirect operating costs, improve visibility and reduce reliance on legacy systems and coding languages.
A UPS Boeing 767 at San Diego International Airport in California. (Kevin Carter/Getty Images)
GET THE FOX BUSINESS ANYWHERE CLICK HERE
UPS shares are up 8% year to date.
Reuters contributed to this report.
