UPS announced this week that it will be adding a new charge during peak holiday shopping weeks for US residential packages, large packages and packages over maximum limits. A 27 cents fee will be levied on package deliveries by the residential ground network of the company, on certain weeks in November and December, UPS said.
And packages sent via ground to residences will cost an extra 27 cents if shipped November 19-Dec.
For UPS "Next day Air Early", "Next Day Air" and "Next Day Air Saver" the peak surcharge dates are December 17 through 23 with an increase of $.81. That period includes the major Black Friday and Cyber Monday shopping occasions.
It is important to note that big packages will also be faced with "peak" surcharges on top of standard surcharges on those shipments.
The company has already been charging extra to retailers who exceed their forecasts for volume during the holiday period, which will continue, and has had peak season surcharges in areas such as global air freight. A regular day sees about 19 million packages.
The new charge mainly kicks in during the last week of the December holiday season (December 17 to 23) when demand can be at its highest. It is the latest attempt by the large delivery company to recoup the massive increase in hiring and reserving extra trucks and plans during the busiest times. A UPS spokesperson told USA Today that they hire around 95,000 seasonal employees in each of the last two years. Ground orders typically arrive within five days and are a heavily used shipping option during that time since shoppers don't necessarily need the items quickly. In contrast, the company ships more than 19 million packages on an average non-peak day.