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Area Development - Site Selection, Facility Planning and Workforce Development

UPS Supply Chain Solutions Plans Louisville-Bullitt County, Kentucky, Operations

10/28/2022
UPS Supply Chain Solutions Inc. will establish 1-million-square-foot facilities in Louisville and Bullitt County, Kentucky. Combined, the company will invest $334 million and create 435 jobs.

“With these two new facilities, we are excited to continue to grow in the Louisville area, and we appreciate the enthusiastic support from Governor Beshear, Louisville Mayor Greg Fischer and leaders in Jefferson and Bullitt counties,” said Nick D’Andrea, UPS vice president of public affairs. “The city and region are vital to serving our customers and this is just the latest investment in the metro area, which also includes a new aircraft hangar currently under construction on the north end of Louisville Muhammad Ali International Airport,” he added.

To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority preliminarily approved two 10-year incentive agreements with the company under the Kentucky Business Investment program. The performance-based agreements can provide up to $13 million in tax incentives across both projects based on the company’s combined investment of $334 million and annual targets of creation and maintenance of 435 Kentucky-resident, full-time jobs across both projects over 10 years; and respectively paying an average hourly wage of $45.59 and $43.28 including benefits across those jobs.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

“We often talk about companies trusting in and believing in the resources and opportunities provided here in the commonwealth,” Governor Andy Beshear added. “UPS is an example of one of the largest brands in the world doing exactly that. Just as important as the economic impact of these announcements is the quality of jobs being created for Kentuckians and their families. The foundation is being set for years of economic success to come, and we are only getting started. I want to thank UPS for once again investing in the commonwealth. I am thrilled to see their continued success.”

In addition, UPS can receive resources from Kentucky’s workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

“Louisville is on track to have one of its best years for economic development in the last decade,” noted Mayor Greg Fischer. “Since the creation of Louisville Forward eight years ago, our strategy has centered around pursuing high-wage jobs in high-growth sectors, including laboratory and medical logistics, and as a result, we have seen the average annual wages for economic development projects grow 26%. Our decades-long partnership with UPS Healthcare, UPS Airlines and UPS Supply Chain Solutions continues to bring great opportunity to our community, and we are excited to welcome 315 new jobs and $155 million in investment to Louisville with this latest announcement.”

UPS operates 21 Supply Chain Solutions warehouses in the region, totaling more than 8-million-square-feet of space dedicated to warehousing and distribution for customers. The company’s operations in Kentucky create a significant economic impact, including 62,000 direct and indirect jobs created and $2.5 billion in annual payroll, according to state officials.

“UPS is the driving force making Bullitt County and the Louisville-Jefferson County Region an international distribution hub,” said Bob Fouts, executive director of Bullitt County Economic Development Authority. “We are very excited about the large investment of $178.5 million dollars and the 120 high-paying jobs. It is a great addition to their growing presence in Bullitt County.”

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