A United Parcel Service (UPS) driver pushes a trolley full of packages toward a delivery van on a New York street.

Victor J. Blue | Bloomberg | Getty Images

ups Unions representing more than 300,000 workers at the package delivery company said Tuesday they had reached a preliminary labor agreement, narrowly avoiding a strike that would begin in the coming days.

“Together, we have reached a win-win agreement on an issue that is important to Trucker leadership, our employees, and UPS and our customers,” said UPS CEO Carol Tome. “This agreement continues to reward UPS’s full-time and part-time employees with industry-leading compensation and benefits, while retaining the flexibility we need to remain competitive, serve our customers and keep our business strong.”

The tentative agreement still needs to be approved by a worker vote.

If the two sides fail to reach an agreement, the union plans to hold a large-scale strike after July 31.

The Truckers Association said the agreement includes wage increases for full-time and part-time workers.

“The union is invested in this fight and committed to winning for our members. We asked for the best contract in UPS history, and we got it,” Sean O’Brien, president of the Teamsters union, said in a statement. “UPS has committed $30 billion in new funding as a direct result of these negotiations.”


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