UPS is implementing voluntary employee buyouts for full-time drivers and select operations managers to achieve $3.5 billion in expense reductions amid declining demand, particularly from Amazon. This initiative may create service risks and tension with the Teamsters union, which is urging members to reject the buyout offers. Although UPS executives report buyout interest is as expected, the union expresses concerns about operational strains and excessive overtime for remaining drivers. As UPS anticipates reduced volume, they may need to hire seasonal drivers during peak periods, which could further complicate service delivery.

Source: https://www.supplychaindive.com/news/ups-driver-manager-buyout-risks-teamsters-response/760165/