Analysts and investors will watch closely to see how the Atlanta-based company performs this year after two disappointing peak-season performances in a row. That proved too much, but UPS has analyzed the situation more carefully this year and management believes it has found the right balance between expectations and personnel needs.
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UPS says it is better prepared this year to deal with the extra work as it is reaching out to more customers and small retailers to predict how many orders they expect to receive. The jobs available are a mix of both seasonal and permanent positions. UPS says seasonal jobs can turn out to be everlasting jobs in some instances. That was far more than it had hired the year before, when it was caught off-guard by an increase in last-minute online shopping as retailers enticed consumers with free shipping for their gifts. The late hires also drove up its costs and hurt company profits.
The temporary hiring force will number about 95,000 employees, according to a Bloomberg report, with a majority of the seasonal workers handling packages and manning delivery trucks.
Shares of UPS rose $2.83, or 2.9 percent, to $99.84 in midday trading.
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While the company hasn’t released a holiday-season shipping forecast, the hiring plan provides a glimpse into the company’s expectations. The shares had declined 13 percent this year through Monday.
