Thursday, 20 July, 2017
  • Sci-tech
  • UPS Will Charge More for Holiday Season Deliveries

UPS Will Charge More for Holiday Season Deliveries

A United Parcel Service Inc. driver delivers packages on Cyber Monday in New York U.S. on Monday Nov. 30 2015 UPS adopts peak time charges for 2017 holiday season
Clarence Schmidt | 21 June, 2017, 01:59

It's going to cost a little more to ship that holiday package this year.

UPS has announced a new peak delivery charge which the company will apply during selected weeks in November and December this year for USA residential, large packages and packages over maximum limits.

UPS will add 27 cents for deliveries between November 19 and December 2, then again December 17 through the day before Christmas Eve. That means retailers may be forced to increase prices or shipping fees, though they might also promote a ship-to-store option since the new fees only apply to residential deliveries.

The charge is the result of the additional delivery planes, trucks, facilities and staff the company has during the holiday season.

Last year, UPS delivered 712 million packages between Black Friday and December 31.

"We're focused on helping our customers achieve success during some of their most important selling seasons", Alan Gershenhorn, UPS Chief Commercial Officer, said in a press release.

A $24 peak surcharge will also now be applied to large packages and those that exceed maximum size limits from November 19 to December 23.

There will be no additional charges for residential ground-shipped packages during the two-week period from December 3 to December 16. To handle that volume, UPS hired about 95,000 seasonal employees to handle the peak shipping period. UPS typically sees its volume double from normal levels around Christmas.

FedEx would not comment on its rival's new holiday surcharges. The 27 cent surcharge on each item represented an increase of about 3.4 per cent.

The published peak surcharges are "not about incentivizing the customer to purchase at a certain time", said spokesman Glenn Zaccara.

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