United Parcel Service has reduced its headcount this year by 48,000, the company announced on Oct. 28, with most cuts coming from its "operational workforce."

The delivery giant said in its 8-K filing that it cut about 34,000 operational jobs, including drivers, under a consolidation and cost-saving plan, and another 14,000 positions out of its management ranks.

Brian Dykes, UPS Chief Financial Officer, said on the company's earnings call that the operational cuts included full-time drivers who took voluntary buyouts and that 90% of them left the company on Aug. 31. UPS also said that it closed daily operations at 93 leased and owned buildings during the first nine months of 2025 and is looking at further building closures as part of the plan it calls "Network Reconfiguration and Efficiency Reimagined."

In a news release, UPS Chief Executive Officer Carol Tomé said that the turnaround effort was "the most significant strategic shift in our company’s history."

"With the holiday shipping season nearly upon us, we are positioned to run the most efficient peak in our history while providing industry-leading service to our customers for the eighth consecutive year," Tomé added.

UPS announced in its first-quarter earnings release in April that it would lay off roughly 20,000 workers and close about 73 facilities during 2025, citing "new or increased tariffs" and "changes in general economic conditions in the U.S. or internationally."

Brian Dykes, UPS's chief financial officer, said in a statement to USA TODAY at the time that the announced reductions were in line with the company's plan to reduce deliveries for Amazon by more than half.

In 2024, UPS employed about 490,000 people worldwide, including 330,000 Teamsters-represented jobs in the United States.

What did the new earnings report show?

UPS reported that it brought in $21.4 billion in revenue for the third quarter, with a net income of $1.31 billion. That translates into earnings of $1.55 per share, according to the report.

It also reported that it handled 19.4 million packages in the quarter, a 9.8% drop year-over-year.

The company said it saved $2.2 billion compared to last year as of Sept. 30. It expects to hit $3.5 billion in total cost savings in 2025. The "Network Reconfiguration and Efficiency Reimagined" plan is expected to end in 2027, according to the parcel delivery service.

Contributing: Jonathan Limehouse, USA TODAY

This article originally appeared on USA TODAY: United Parcel Service cuts 48K jobs in 2025 in latest turnaround effort

Reporting by James Powel, USA TODAY / USA TODAY

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