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UPS to Cut 20,000 Jobs and Close 70+ Facilities as It Scales Back Amazon Deliveries

Company Restructures to Focus on Profitability After Reassessing Longtime Amazon Partnership

by poligirlsayswhat
April 29, 2025
Reading Time: 2 mins read
0
Texas UPS Workers Accused Of Trafficking Cocaine In Packages

Texas UPS Workers Accused Of Trafficking Cocaine In Packages

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UPS is making some big changes this year, and it starts with cutting about 20,000 jobs and shutting down over 70 buildings across the country. The company announced this move as it significantly reduces the number of packages it handles for Amazon.

By the end of June, UPS says it will close 73 of its facilities—some owned, some leased—and more closures could be coming as the company continues to review its operations.

The major shift comes after UPS reassessed its decades-long relationship with Amazon. While the e-commerce giant is UPS’s biggest customer, company leadership says it’s not the most profitable one. In fact, UPS CEO Carol Tomé revealed earlier this year that Amazon’s business was actually dragging down profits in their U.S. domestic division.

Instead of renewing the same level of service, UPS decided it was time to cut back on the volume of Amazon packages it handles. The company hopes this move will help streamline operations and boost profit margins, even if it means a smaller workforce and fewer facilities.

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