UPS strike: Organizations ask White House to intervene to prevent strike that could cost billions

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UPS Labor Talks
UPS workers “practice picket” at Teamsters Local 804, outside of a UPS facility on Thursday, July 6, 2023, in the Brooklyn borough of New York. Contract negotiations between UPS and the union representing 340,000 of the company’s workers broke down early Wednesday with each side blaming the other for walking away from talks. (Brittainy Newman/AP)

UPS strike: Organizations ask White House to intervene to prevent strike that could cost billions

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With less than two weeks until the United Parcel Service strike, a coalition led by the U.S. Chamber of Commerce urged the Biden administration in a letter to intervene in the labor conflict between the delivery company and a labor union.

About 340,000 UPS workers, who are represented by the International Brotherhood of Teamsters, plan to walk out of their jobs on Aug. 1 if negotiations for a new labor contract do not reach an agreement by then. Contract negotiations between UPS and Teamsters are set to resume next week after both sides blamed each other for walking out of talks earlier this month.

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More than 250 organizations signed the letter to voice their worries about the likely strike.

“Given the debilitating impact of a strike on American families and the economy, we urge your Administration to provide the support necessary to help the parties reach a new agreement by the August 1 deadline,” the letter read.

It went on to note that the strike would harm the U.S., considering UPS moves $3.8 billion in goods per day, or about 20 million packages a day. If the strike lasted for 15 days, the American economy could lose $55.5 billion, according to one study cited in the letter. In only five days, the strike could cost $15.8 billion.

Additionally, the delivery service’s competitors cannot pick up the slack if UPS loses more than half of its workforce in the case of a strike.

“A Teamsters strike against UPS could be the costliest such strike in at least a century, with significant and lasting harm for small businesses and online retailers,” the letter stated.

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The concerned signatories included the Association of American Railroads, American Public Transportation Association, and state and local chambers from 47 states, among many other organizations.

The coalition’s concerns come as the Teamsters president said earlier this week the White House will not intervene in the UPS labor dispute upon his request. The Biden administration has not publicly spoken on the issue itself.

© 2023 Washington Examiner

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