UPS Driver Breaks Down the Realities of How the New $170k Contract Will Work

By: Georgia | Last updated: Nov 10, 2023

A recent post on TikTok has brought to light a crucial discussion about UPS drivers’ compensation. The video by user Skyler Lee Stutzman (@skylerleestutzman), a UPS driver, has initiated a widespread conversation on the intricate details of the Teamsters Union contract.

Let’s examine the reality behind the buzzworthy $170,000 salary figure.

Unpacking the $170,000 Salary

Following an agreement between the Teamsters Union and UPS, reports began circulating about drivers potentially earning up to $170,000 yearly.


Source: Getty Images

But is this figure entirely accurate? Skyler felt the urgent need to demystify the facts, citing discrepancies between the reported numbers and actual take-home pay.

The Actual Numbers: Skyler's Insightful Breakdown

Skyler’s enlightening TikTok video, which quickly amassed an impressive 13.1 million views, offers crucial clarity. “Under [our] current contract, our wage is $41.51 an hour,” he stated. “Once [the new] contract ratifies, we’ll be making $44.26 an hour.”


Source: Skyler Lee Stutzman/TikTok

According to Skyler, this means an approximate annual sum of $92,000 – far from the widely talked-about $170,000.

Beyond the Base Wage

While Skyler clarified the basic wage component, he also emphasized the significance of other integral elements of the compensation.


Source: Getty Images

“One of the other things that a lot of people don’t take into consideration is our medical insurance and our pension,” Skyler says. The pension, contributing around $10-$12 hourly, goes directly towards securing the driver’s retirement. Additionally, substantial parts are set aside for medical insurance, reconciling the gap between the highlighted annual figure and the actual salary.

UPS Pay in the Larger Framework

The video’s revelations spurred varied reactions. Some brought up comparative professions, noting, “Pharmacists don’t get paid that much after six years of school,” However, others staunchly stood by UPS drivers, given the demands of their role.


Source: Getty Images

Echoing Skyler’s sentiments, the discussion should pivot towards advocating for fair remuneration across all professions, highlighting the nuances of individual compensation structures.