UPS Expansion Expected to Create Thousands of Pennsylvania Jobs

Pennsylvania Gov. Tom Wolf greets UPS employee Tom Wolfe on Thursday, Feb. 24, 2022, while he tours the construction site of the UPS Northeast Regional Hub in Middletown. Commonwealth Media Services

By Victor Skinner | The Center Square contributor

(The Center Square) – Gov. Tom Wolf trekked to the future location of the United Parcel Services’ Northeast Regional Hub in Middletown on Thursday to highlight the company’s expansion throughout the commonwealth.

The regional hub is one of four locations throughout Pennsylvania that will receive a combined investment of nearly $9 million in state incentives to expand and create jobs.

“This $8.9 million investment in UPS is just one of more than 400 projects I’ve supported over the past seven years to invest in good jobs for Pennsylvania workers and a stronger, more prosperous economy for all Pennsylvanians,” Wolf said. “Every single one of these projects is making a difference for local families and communities, and I’m not done investing in them. I’ll never stop fighting for Pennsylvania businesses, workers and communities.

“I look forward to seeing UPS grow and thrive in Pennsylvania,” he said.

Wolf said UPS, founded in 1907, is the world’s largest package delivery company and a leading provider of specialized transportation and logistics services. The multibillion-dollar corporation manages the flow of goods, funds and information in more than 200 countries and territories worldwide.

Pennsylvania’s Department of Community and Economic Development worked with UPS to provide $2.7 million in Job Creation Tax Credits, $5.6 million in funding from the Infrastructure and Facilities Improvement Program and $659,400 in grants for workforce training and development to encourage the company to expand in the Keystone State.

Wolf’s press event Thursday came about two years after UPS first announced plans to expand and establish an 800,000-square-foot “super hub” in Lower Swatara Township. UPS spokesperson Kim Krebs told PennLive at the time the location was chosen because of close proximity to major highways and easy accessibility to the northeastern U.S.

“With high automation and significantly higher package-processing power, it will be a key spot as the transition point of all deliveries and large loads that go through that part of the country,” she said.

In addition to the Lower Swatara location, UPS also will expand existing locations in Lehigh Valley, Carlisle and Philadelphia. UPS’ $1.4 billion investment is expected to create 1,721 new full-time jobs and retain another 6,458 full-time jobs with an average annual wage of $52,721, according to a Wolf statement.

“UPS appreciates the Commonwealth of Pennsylvania for their support of these projects as we contribute to the community’s economic vitality,” said Ray Barczak, president of UPS’ East Zone. “Our new and expanded facilities will provide additional opportunities to serve businesses and consumers throughout the state with good-paying jobs.”

The UPS investment was coordinated by the Governor’s Action Team of economic development professionals who work directly with Wolf to court big business. Over the past seven years, the state has invested more than $16 billion to complete 404 projects, created more than 45,000 new jobs and retained more than 140,000 existing jobs.

Ryan Unger, president of the Harrisburg Regional Chamber, heaped praise on Wolf and state officials for work on the UPS expansion.

“We are grateful to Gov. Wolf, the Governor’s Action Team, and DECD for providing the support necessary to assist in UPS increasing their footprint in our region,” he said. “For over 100 years, Harrisburg has been at the intersection of commerce and distribution for our country and the world. With this investment we are mobilizing for the next 100.”

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