In 1997, when UPS delivery workers went on strike, their job was vastly different. At that time, Amazon was just a fledgling online bookstore, and most people still had to drive to the local mall for their shopping needs. Fast forward to today, and these workers play a fundamental role in American life.
The recently announced tentative agreement between the International Brotherhood of Teamsters and UPS comes at a critical time. UPS handles an enormous volume of packages, estimated to be around 6 percent of the country’s gross domestic product. In fact, the company delivers almost a quarter of all American packages. The rise of internet retail and the demand for delivery services have made last-mile package delivery an integral part of our society. However, our infrastructure and workforce are struggling to keep up.
The number of packages delivered in the U.S. is staggering. In 2000, the United States Postal Service delivered 2.4 billion packages. By 2022, that number had skyrocketed to 7.2 billion. UPS alone handles 5.2 billion domestic packages annually, compared to 3.2 billion in 2000. Meanwhile, Amazon has become the third-largest shipper in the country, delivering nearly 5 billion packages last year. All of this is driven by customer expectations for fast delivery, which have drastically changed over the years.
While you may only notice a few packages arriving at your doorstep each week, there are over 50 million people in the country refreshing their tracking info and eagerly awaiting their deliveries. Each package goes through a complex process of loading, driving, and carrying to reach its destination. This constant influx of packages has consequences that extend beyond the workers themselves.
More packages mean more trucks on the road, leading to increased traffic congestion and additional strain on roads and bridges. The infrastructure was not initially designed to handle this level of delivery activity. Narrow streets and tight turns pose challenges for cargo vehicles, and accidents and injuries are inevitable. Moreover, parking for delivery trucks is often lacking, resulting in blocked streets and further traffic issues.
The challenges continue once a package is off the truck. Many homes and apartment complexes were not built to accommodate the volume of deliveries we see today. Drivers often have to leave packages on porches or behind bushes, increasing the risk of theft. Older properties may lack adequate space for package storage. Access to apartment complexes can also be difficult, compounding the delivery process.
Despite the increasing demand for deliveries, the size of delivery workforces has not kept pace. Shipping companies have resorted to hiring part-time workers or utilizing gig workers to meet the growing needs. This puts additional pressure on drivers, who handle more parcels and perform physical labor in extreme weather conditions, often without proper ventilation.
While better pay and safety improvements are important, they only address a portion of the challenges faced by delivery workers. The larger issues, such as road and bridge safety and the overall impact of the delivery economy on daily life, require significant attention. Retrofitting our physical infrastructure to accommodate this new reality is a complex task. However, shippers are determined to find solutions and adapt to the changing demands.
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