Pennsylvania to lose three UPS locations; several jobs at risk amid reconfiguration efforts

The United Parcel Service (UPS) has announced plans to close three of its facilities in Pennsylvania, a move that is expected to have significant economic implications for the state. The closures, which will impact hundreds of workers, are part of the company's ongoing effort to streamline operations and reduce costs. This decision has raised concerns regarding job security and the future of the workforce. 

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Why is UPS shutting down its stores?

The UPS’ decision to close down its stores comes as part of their network reconfiguration efforts called “network of the failure”, which they announced in 2024. The goal of these efforts is to reduce the supply chain’s dependence on manual labour for package sortations and save up to $3 billion by the year 2028, according to Nando Cesarone, EVP and President U.S at UPS. 

As part of its ongoing efforts to modernise, UPS has reconfigured its network to introduce more automated package hubs, leading to the closure of nearly 200 facilities nationwide. According to a UPS spokesperson, the company began this initiative in the early months of 2025, aiming to improve efficiency and streamline operations across its distribution centres.

The company stated, “As announced on our Q1 earnings call, we are executing the largest network reconfiguration in UPS history. This strategic initiative will optimise the capacity of our network to align with expected volume levels and enhance productivity through additional automation.” It acknowledged, “The reconfiguration will impact positions, and we are committed to supporting our employees throughout this process.” 

The utility chain added, “While our building footprint is changing, our record of reliable pickup and delivery is not. We remain committed to providing industry-leading service to customers in more than 200 countries and territories around the world," as reported by The Mirror US.

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UPS stores’ initiative sparks job security concerns 

The spokesperson for the utility store added that the initiative will result in nearly 20,000 job losses and the closure of 73 stores, as reported by ABC. The reconfiguration efforts have resulted in the shut down of three stores in Pennsylvania, including the 1821 South 19th Street in Harrisburg, PA, 2006 River Road in New Kensington, PA and 2129 Rockdale Lane in Stroudsburg, PA.

While the spokesperson for UPS failed to mention how many of the 20,000 job losses would affect the workers of Pennsylvania. They added that the company is taking measures to put employees who are affected by the reconfiguration efforts in new positions.