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TEAMSTERS REACH STRONG SETTLEMENT WITH UPS ON DRIVER SEVERANCE PACKAGES

The agreement limits severance offers and gives senior drivers first rights to buyouts, with $150,000 early-retirement payments for those who accept.

  • On Sunday, the Teamsters National Negotiating Committee reached a settlement with United Parcel Service capping severance offers at 7,500 drivers while protecting seniority protections.
  • Teamsters General President Sean O'Brien successfully pushed United Parcel Service into negotiations after the company launched its Driver Choice Program unilaterally in February without union approval.
  • Under the settlement, eligible long-haul feeder and Regular Package Car Drivers receive $150,000 for early retirement, with applications approved based on seniority and business needs.
  • United Parcel Service agreed not to pursue any other severance programs for the life of the current Teamsters National Master Agreement, which expires July 31, 2028.
  • "This agreement is a powerful reminder to UPS executives that the Teamsters never want to harm the company's ability to be competitive," O'Brien said, emphasizing labor's commitment to both rights and profitability.
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The Berkshire EagleThe Berkshire Eagle
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TEAMSTERS REACH STRONG SETTLEMENT WITH UPS ON DRIVER SEVERANCE PACKAGES

O'Brien Pushes UPS to Negotiate on $150,000 Agreements for 7,500 Drivers Nationwide

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teamster.org broke the news in on Sunday, April 5, 2026.
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