UPS Strike To Disrupt Supply Chain

As talks between UPS and the union that represents more than 300,000 delivery drivers break down, a strike this summer is looking more likely. That could impact 25 to 30 percent of parcels and packages shipped in the U.S.

The Teamsters represent 340,000 UPS workers. Should a strike happen, it would be the first since a 15-day walkout by 185,000 workers crippled the company a quarter century ago.

UPS has become a large part of the United States economy. UPS has stated that on average 24.3 million packages were delivered during 2022, totaling roughly 6.2 billion packages by the end of the year.

UPS has stated that they do have contingency plans should staff go on strike after the 31st contract deadline, however disruptions will be substantial.

If UPS workers do decide to strike, and the company’s remaining workforce isn’t able to meet demand, small businesses who rely on UPS could also be left looking for alternative shipping options. But USPS, FedEx and other shipping companies might not be able to ramp up operations quickly enough to keep things moving on time.

UPS has stated it will temporarily begin training nonunion employees in the U.S. to step in, should there be a strike.

Author: Ethan Klein

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