2023 UPS-Teamsters Contract
The 2023 UPS-Teamsters Contract is a five-year labor agreement covering about 340,000 UPS workers, reached in July 2023 and ratified in August, which averted a strike that threatened US parcel deliveries.
What happened and why it matters
The 2023 UPS contract talks pushed many shippers to diversify carriers, and the higher labor costs it set still flow into UPS pricing. With the old contract expiring on July 31, 2023, a strike would have disrupted a large share of US parcel volume, so many brands shifted some shipments to FedEx, USPS, and regional carriers in advance. The tentative deal on July 25 raised pay by $2.75 an hour in 2023 and $7.50 over five years, and added air conditioning to new delivery vehicles from 2024. Members ratified it on August 22 with about 86% approval. Multi-carrier setups are now common risk management.
People
Related events
Laws and regulations
Sources
- Teamsters ratify 5-year contract with UPS (Truckers News) truckersnews.com
- Teamsters ratify new five-year contract with UPS (SupplyChainBrain) supplychainbrain.com