UPS announces plan for $41 million operations expansion in El Paso

UPS announced today plans to expand its current package operations center and a proposal to build a second operations center in El Paso, in a project expected to cost $41 million.

The plans also include the addition of 10 new full-time paying jobs that will pay $18.75/hour, according to UPS. The company also said it would retain the 234 current full-time jobs in El Paso. The average wage for those existing full-time jobs is $35 per hour.

At Tuesday’s City Council meeting, representatives approved about $1.8 million in financial incentives over ten years.

City officials say the El Paso County and Borderplex Alliance played a role in a team effort to secure the UPS investment.

“The new building positions UPS to increasingly support U.S. companies growing their cross-border commerce, as well as better serve the rapidly changing business and residential needs of our customers in West Texas,” president of UPS’s Red River District Craig Wiltz said.

The new facility, which will be 42,000 square feet, is expected to be built on a site located at 28 Leigh Fisher Boulevard and begin operations in late 2018.

“This expansion is emblematic of the fact is a leader in transportation, warehousing and logistics operations, as well as the bilateral trade being an incredible integral part of our economy, not only in the region, but here in El Paso,” Borderplex Alliance CEO Jon Barela said.

It’s also expected to support the UPS Trade Direct Cross Border service, that helps simplify the process of shipping directly to retail stores or consumers across the borders of Mexico and Canada.

“UPS’ expansion and state of the art facility near the airport speaks to the strategic growth our community is experiencing. El Paso will continue to attract new investment opportunities, to a region comprised of 3 States and 2 Countries,” El Paso Mayor Dee Margo said.

The new facility is expected to be technologically advanced and will help improve packaging operations, according to UPS.

“Their automation facility, it is going to be one of very few across the country,” El Paso Economic Development Director Jessica Herrera said. “This will completely impact our industry cluster as it relates manufacturing and logistics. And the wagers that those jobs will have are also very significant.”