Teamsters File Emergency Order Against UPS Over Illegal Buyout Plan

Teamsters Union Takes Legal Action Against UPS Over Controversial Driver Buyout Plan

The ongoing dispute between United Parcel Service (UPS) and the Teamsters Union has escalated into a legal battle as the union seeks urgent judicial intervention to halt a proposed buyout program. The plan, which UPS terms the Driver Choice Program (DCP), has sparked significant controversy among union members and leaders.

The Teamsters Union has filed an emergency motion for a temporary restraining order and preliminary injunction against UPS. This legal move aims to immediately stop the implementation of the DCP, which the union claims is an illegal buyout initiative targeting its drivers. According to court documents filed in the U.S. District Court in Massachusetts, UPS is accused of multiple breaches of the National Master Agreement. These alleged violations include negotiating new contracts directly with workers, reducing union jobs, and undermining the roles of union shop stewards.

Over fifty-seven requests for documentation related to the revised driver buyout were reportedly ignored by UPS executives, including CEO Carol Tomé. The union asserts that these actions violate the UPS Teamsters contract ratified in 2023, intended to safeguard the rights of full- and part-time workers.

"For the second time in six months, UPS has proven it doesn’t care about the law, has no respect for its contract with the Teamsters, and is determined to try to screw our members out of their hard-earned money," said Sean M. O’Brien, Teamsters General President. "If Carol Tomé has buyer’s remorse for the historic, legally binding contract she signed with rank-and-file Teamsters, that’s her problem. Our union will not allow UPS to inflate its earnings reports on the backs of Teamsters families. We’ve given too much to grow and sustain this company, and we will not be sold short. UPS must dismantle its illegal buyout program and resolve its contract violations in the courts, or the Teamsters will see this greedy corporation in the streets."

Under the DCP, drivers would receive a one-time lump sum payment in return for agreeing never to work for UPS again, thereby waiving their union representation rights and forfeiting benefits such as competitive wages, healthcare, and retirement plans. The program is an expansion of a previous initiative, the Driver Voluntary Separation Program (DVSP), which was met with widespread disapproval and protest from union members last year.

Various local Teamsters unions have filed grievances over the initial DVSP, with these disputes expected to proceed to binding arbitration soon. The union's lawsuit claims that the DCP could irreversibly harm union representation if implemented, as participating drivers would irrevocably sign away their rights to contest the terms of separation.

The Teamsters' legal filing includes a request to stop the DCP and delay any further incentive programs until the DVSP grievances are resolved through arbitration. General Secretary-Treasurer Fred Zuckerman stated, "UPS’s latest DCP scam is more than a contract violation — it’s an assault on the rule of law and on every member of the International Brotherhood of Teamsters. If UPS is allowed to move forward with this illegal program, it would cause irrevocable harm to our union and a majority of our hardworking members. The Teamsters Union ensured our members rejected UPS’s insulting payoff last year. Unfortunately, UPS continues to reach new levels of greed and corruption that require our fight to continue."

Earlier in January, UPS reported substantial financial gains, having accumulated over $8.5 billion in cash in the fourth quarter of the previous year. The company also returned more than $6.4 billion to shareholders and spent $1 billion on stock buybacks, intensifying the union's grievances.

The International Brotherhood of Teamsters, representing 1.3 million workers across the U.S., Canada, and Puerto Rico, continues to challenge UPS in court. For more information, visit Teamster.org, or follow updates on X and Facebook.