2 October 20234 minute read

Unpacking the Impact of the UPS Drivers’ $170,000 Wages and Benefits Deal

Gauging the UPS pay bump 2023

We surveyed 1,003 Americans about how the landmark UPS deal affects them — spoiler alert: they’re jealous.

Key takeaways

  • 57% of Americans are very envious of the UPS wages and benefits increase, with those in education (72%) being the most envious.
  • Over 1 in 10 employed Americans have asked or plan to ask for a raise due to the UPS driver deal. Among those who have asked, 53% received a raise.
  • 37% of Americans say the UPS driver deal makes them more likely to consider working for UPS in the future.

A game-changing deal

Unionized couriers recently struck a new labor deal with UPS, raising their wages and benefits so drivers will average $170,000 annually within five years. The landmark deal is causing a stir nationwide; how do Americans feel about it?

We recently surveyed 1,003 Americans about the UPS deal to uncover how it’s affecting them. How do they feel when comparing couriers’ job opportunities to their own? Do they believe this deal could spark better compensation and benefits across industries?

Let’s dive into our findings to see how the UPS drivers’ deal is shaking up American workers.

Exploring the reaction to the UPS deal.

Key takeaways

  • 57% of Americans are envious of the UPS wages and benefits increase, with those in education (72%) being the most envious.
  • Over 1 in 10 employed Americans have asked or plan to ask for a raise due to the UPS driver deal. Among those who already asked, 53% received a raise.
  • 37% of Americans say the UPS driver deal makes them more likely to consider working for UPS in the future.
  • 69% of Americans view the UPS wage and benefits increase positively.
  • 75% of Americans positively view the role of unions in negotiating better compensation packages for workers.
  • 82% of Americans think the success of the UPS unionized drivers in securing higher wages and better benefits will encourage workers in other industries to consider unionization.
  • 24% of Americans believe their profession is at risk of displacement due to advancements in AI and automation.
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  • 23% of Americans are more likely to consider working for UPS or similar companies to mitigate the risk of AI displacement.
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  • 66% of Americans believe pay in other industries will become more competitive due to the UPS driver deal.
  • 65% of Americans believe other courier services will raise their pay in response to the UPS agreement.
  • 48% of Americans believe the UPS deal could disrupt the traditional pay structure in industries beyond delivery and courier services.

Key takeaways

  • When evaluating a potential employer, Americans are most concerned about salary and benefits (91%), and more than half (57%) factor in work-life balance.
  • Health care workers and other medical professionals (63%) are the most likely to say salary is extremely significant when evaluating a potential employer.
  • 50% of Americans base their decision to pursue a career or job on salary.

The ripple effect

Americans feel salary and benefits are the most important considerations when choosing where to work. It makes sense then that the impact of the UPS deal is rippling across industries, inspiring envy in Americans while motivating them to imagine new possibilities.

Some workers have already taken action to improve their pay, and it’s encouraging that over half got a raise when they asked for one. Others are considering a career change, possibly to the delivery industry.

Clearly, the effects of the UPS deal stretch far beyond their trucks and could continue to do so for some time to come.

Methodology 

Circuit surveyed 1,003 Americans on the UPS wages and benefits deal. Among them, 15% worked in information technology, 9% were unemployed, 8% were freelancers, 8% worked in retail/sales, 7% in finance, 7% in administrative, 6% in education, 6% in health care, 5% in professional services, 5% in manufacturing/engineering, and the remainder worked in other industries.

Why should UPS drivers be the only ones making more money?

For delivery drivers: If you have 100+ stops, it can take ages to map out the best route – with the Circuit route planner app it’s a piece of cake. You can add, delete or re-optimize multiple stops while on your route with ease, including hands-free voice entry to make delivery even faster. 

Stop sitting in traffic, get home earlier and make more money. Download the Circuit app today and start your free trial.

For courier companies and small businesses: If you’re a business owner, operations manager or dispatcher managing a team of delivery drivers, Circuit for Teams can help 10x the efficiency of your operations.

You can plan, optimize, and assign routes faster, and instantly adapt to last-minute changes with live tracking and route management.

You can send your customers automatic notifications so they know when their package will arrive, capture in-app photos for proof of delivery, and integrate Circuit with your current software easily using our API.

On average, CFT saves 20+ hours a month per driver – now imagine you have 5, 10 or even 100 drivers in your fleet. That’s a lot of money and time saved.

Fair use statement

Do you have readers who would be interested in learning more about the effects of the UPS deal on Americans? Please share our findings with them for noncommercial purposes only, and remember to provide a link to this page.

About the author

Heather Reinblatt
Heather ReinblattContributor

Heather Reinblatt is a managing editor currently living in St. Louis, Missouri. She spends her free time reading, trying new recipes, and cuddling her cat Paisley. You can find Heather on LinkedIn.

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