UPS announced it would cut 12,000 jobs — some 2.4% of the company’s more-than-500,000-strong global workforce.
The logistics giant said on its earnings call Tuesday that for the fourth quarter it was seeking $1 billion in cost reductions, citing softer demand and higher union labor costs.
“2023 was a unique and difficult year,” UPS CEO Carol Tomé said in a statement. “Through it all we remained focused on controlling what we could control, stayed on strategy and strengthened our foundation for future growth.”
The company reported revenues $24.92 billion vs. $25.43 billion expected, according to forecasts.
Its shares were down more than 6% in Tuesday trading.
In July, UPS agreed to a contract worth $30 billion with the Teamsters union that pushed the average full-time workers pay to $49 an hour and $21 an hour for part-time workers.
This is a developing story. Check back for updates.
Source: | This article originally belongs to Nbcnews.com
