March 24 (Reuters) – United Parcel Service notified the International Brotherhood of Teamsters that it was withdrawing its latest driver buyout scheme in central region states, the union said on Tuesday.
The move comes a month after the delivery giant announced its plans to proceed with offering $150,000 buyout packages to its drivers after a federal judge rejected the union’s bid to block its workforce-cutting program on contract violation concerns.
On February 9, Teamsters sued UPS for its January 27 announcement plan to cut up to 30,000 jobs and shut 24 facilities as it moves away from millions of low-profit deliveries for Amazon.com, its largest customer.
“The latest buyout, which the company calls the Driver Choice Program (DCP), had asked drivers to accept a one-time lump sum payment in exchange for legally committing to never work for UPS again,” Teamsters said on Tuesday.
The Teamsters Central Region encompasses 13 U.S. states and is home to more than 68,000 rank-and-file union represented UPS employees.
(Reporting by Aatreyee Dasgupta in Bengaluru; Editing by Shailesh Kuber)
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