April 25, 2013: On the same day that UPS is looking to ink a tentative agreement on a new contract, the company announced its profits are on the rise.
UPS’s after-tax profits for the first quarter rose to $1.04 billion. This is up from $970 million made during the same period last year.
For the year, UPS is projecting to haul in $4.6 to $4.8 billion in after-tax profits.
UPS made this announcement in a conference call with investors and analysts this morning.
This afternoon, UPS hopes to wrap up a tentative agreement on a new national master contract with the Teamster National Negotiating Committee. Some supplemental agreements are still being negotiated.
Revenue increased to $13.43 billion, up from $13.14 billion last year. Daily package volume in the U.S. grew 4.4 percent.
UPS Ground continued to be the fastest growing part of the company’s business. Teamster drivers delivered 531,000 more packages per day in the first quarter.
The growing profit numbers are good news for UPS CEO Scott Davis who made $9.8 million last year. What will they mean for working Teamsters?
UPS Teamsters need to look at the proposed new deal carefully to see how higher profits and growing volume translate into Teamster wages, benefits, full-time job creation, and protections from harassment and excessive overtime.
Click here to read a press report on UPS’s profits.
Click here to read UPS’s report to the press on its earnings.