United Parcel Services has said it is to cut jobs in its Supply Chain Solutions division in anunexpected cost-cutting move.
UPS spokeswoman Suzanne Rosenberg told US media that the Atlanta-based company had alreadybegun making redundancies from the logistics and freight forwarding unit, but would not be drawn onhow many employees would eventually face the axe. She told journalists that the number would becomeclear in the “next couple of weeks”, when UPS is to publish its first quarter results (up to 30September).
The redundancies would be limited to the 2,000 employees in the supply chain solutionsdivision, most of whom are based in Louisville. The announcement comes as a surprise, since UPS isexpanding its Worldport air hub in Louisville, where 18,700 workers are employed.
UPS broadened its core strategy several years ago, aiming to cover the entire supply chainafter nearly 100 years as a pure parcel service. It is reportedly finding costly the integration ofa series of acquisitions made over the past few years, such as Menlo Forwarding, Fritz andOvernite.
