Teamsters Demand UPS Halt Roadie Deliveries Shifting Work from 100,000 Drivers

The International Brotherhood of Teamsters unanimously approved a resolution at its convention instructing leadership to challenge UPS for outsourcing delivery work to nonunion subcontractors and alleged violations of the 2023 collective bargaining agreement. This action seeks to rein in cost-cutting measures that the union says undermine its members’ bargaining rights.

The union claims UPS subsidiary Roadie has expanded nationwide by opening dozens of distribution centers and cross-dock facilities that rely on lower-paid gig workers. Teamsters allege these operations divert final-mile deliveries traditionally handled by 100,000 van and truck drivers covered under the master contract.

UPS maintains it complies with its agreement and handles all small-package deliveries directly, addressing any disputes through its grievance process. Roadie focuses on same-day, urgent and oversized shipments that bypass the standard parcel network, serving customers like Walmart, Tractor Supply and Benjamin Moore.

The escalating dispute could lead to formal grievances or arbitration, potentially delaying new cross-dock expansions and increasing labor costs. A prolonged battle may pressure UPS to adjust its subcontracting practices or face broader contract enforcement actions.