The workforce reduction is part of an effort to align resources in 2024 and will save the company nearly $1 billion, the Atlanta-based company's CEO Carole Tomé said on a company earnings call.

“I want to thank UPSers for providing the best on-time performance of any carrier for the sixth year in a row,” Tomé said in a statement released by the company Tuesday. “2023 was a unique and difficult year and through it all we remained focused on controlling what we could control, stayed on strategy and strengthened our foundation for future growth.”

More than $9 billion decline in revenue

UPS Director of Financial and Strategy Communications Brian Hughes confirmed the layoffs to USA TODAY.

"In 2023, dynamic external and economic conditions led to lower volume and a more than $9 billion decline in revenue year over year," Hughes wrote in an email.

As a result, Hughes said, the company plans to 'right-size' its global staffing and eliminate roughly 12,000 jobs around the world over the next several months and that 75% of the reductions will come during the first half of 2024.

He would not say exactly which positions would be eliminated.

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