![]() ![]() “There are definitely contingency plans,” Dankert adds, citing regional and crowd-sourced delivery options. RILA is a trade group for large retail chains such as Target, Home Depot, Starbucks and Walmart. Those companies are “logistical ninjas,” adept at making sure their product gets to shoppers, says Jess Dankert, supply chain vice president of the Retail Industry Leaders Association. Major retailers are, in fact, getting ready. “Asking consumers to change overnight is not going to work,” he says. “Logistical Ninja” Retailers Have Contingency PlansĬhaturvedi believes it’s up to businesses, not consumers, to come up with a backup plan. About 20% of purchases go back, and if consumers can’t easily make returns, merchants will be affected, says Thomas Goldsby, a professor of supply chain management at the University of Tennessee Knoxville. Product Returns Also Would Be HarderĬonsumers not only receive merchandise through UPS, they also use the service to return items they don’t want. Amazon, which has its own delivery service, was responsible for 22% of the total. UPS accounted for 24% of all parcel volume, second only to the Postal Service. household, on average, received 162 packages in 2022, according to the Pitney Bowes Parcel Shipping Index. The disruption wouldn’t be as widespread as it was in the Covid era, but a UPS strike would still complicate the lives of the many online shoppers who regularly have their purchases shipped. If UPS workers were to strike, he says, “just imagine Version 2 of that.” If workers strike, many of the potential effects will sound familiar.ĭuring Covid, transportation costs went up, inflation was affected, and products did not arrive on time, recalls Hitendra Chaturvedi, a supply chain management professor at Arizona State University’s business school. ![]() Points of contention between the Teamsters and UPS management include wages, the scheduling of work shifts, and employee surveillance cameras in trucks. The possibility of a strike is worrisome to people who shop online, ship merchandise for work or need to buy supplies in bulk. It could happen as soon as August 1 if the union hasn’t reached an agreement with UPS management by then. UPS employees who are represented by the International Brotherhood of Teamsters have voted to authorize a strike. ![]() You could face longer waits and higher prices for the things you buy if about 340,000 UPS delivery drivers and warehouse workers walk off the job this summer. ![]()
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