Layoffs Continue: What It Means for Shippers
UPS has announced another round of layoffs, impacting hundreds of workers across the U.S. Key locations affected include:
- Charlotte, NC – 198 workers (effective March 2025)
- Hialeah, FL – 65 workers (effective April 2025)
- Portland, OR – 900+ workers (effective July 2025)
These layoffs follow job cuts earlier this year in Vernon, CA; Commerce City, CO; Portland, OR; and Oklahoma City, OK — totaling nearly 1,200 workers let go in 2025 so far.
This wave of cuts is part of UPS’s “Network of the Future” initiative, aimed at reducing labor costs through automation and artificial intelligence. However, this push for modernization comes with growing concern about service reliability and the impact on frontline workers.
📦What This Means for Shippers
While automation may improve efficiency long-term, shippers should anticipate possible short-term challenges, especially in areas impacted by workforce reductions:
- Potential delays in package processing and delivery
- Reduced access to live customer support
- Strain on remaining staff impacting service quality
🧭 How Shippers Can Prepare
To reduce risk and maintain consistency during this period of change, here are a few steps shippers can take:
- Audit Your Supply Chain: Identify regions or services most reliant on UPS and assess potential points of failure.
- Diversify Carriers: Begin testing or integrating services from other providers like FedEx, USPS, DHL, or regional carriers.
- Communicate with Customers: Keep customers informed about potential delays and offer tracking tools or flexible delivery options.
- Stay Informed: Monitor UPS service alerts and union news for further developments.
- Partner with Expert Negotiators: Collaborate with experienced logistics or contract negotiation professionals to review and renegotiate your contracts with UPS
UPS’s evolving structure may bring long-term efficiencies, but shippers who take a proactive approach now will be better equipped to maintain reliability and customer satisfaction. Now is the time to partner with expert negotiators like ebb Logistics.
💡Why Most Shippers Struggle
Carriers negotiate every day. Most shippers? Once every few years.
- Discounts that only apply to a small portion of shipments
- Buried fees and surcharges that eat into margins
- Unfavorable volume incentives and missed zones
You need a partner who understands how these contracts are built—and how to shift them in your favor.
🤝 Why Partner with ebb Logistics?
- Data-Driven Analysis: We benchmark against hundreds of shippers
- Carrier Expertise: We know all carriers inside and out
- Optimization: Post-negotiation support that keeps costs down
- Clear ROI: Transparent results that hit your bottom line
💰Expertise Pays for Itself
Shipping can represent a large portion of your spend. Why leave it to guesswork?
Let the experts at ebb Logistics show you how strategic negotiation can unlock real savings.
ebb Logistics | Real Strategy. Real Savings. Real Results.