UPS reaches contract with 340,000 unionized workers, averting potentially calamitous strike
FILE - United Parcel Service driver Hudson de Almeida steers through a neighborhood while delivering packages, Friday, June 30, 2023, in Haverhill, Mass. UPS has reached a contract agreement with its 340,000-person strong union Tuesday, July 25, averting a strike that had the potential to disrupt logistics nationwide for businesses and households alike.
UPS had also agreed to eliminate a lower-paid category of drivers who work shifts that include weekends, and convert them into regular full-time drivers. Under the agreement, the company will create 7,500 full-time jobs and fill 22,500 open positions, allowing more part-timers to transition to full-time.
Union leadership was upended last year with the election of O’Brien, a vocal critic of union president James Hoffa — son of the famed Teamsters firebrand — who signed off on that contract. Logistics experts warned that the other U.S. shipping companies combined do not have the capacity to handle all the packages that would come their way during any UPS work stoppage, and that prices on shipping and goods would inevitably increase. Meanwhile, customers who shop online could have faced higher shipping fees and longer waits.
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