Strikes are commonplace all over the world and can cause chaos in any industry as workers and unions fight for better pay, improved conditions, and more rights.
While any strike has the potential to cause delays and disruptions, global supply chains have recently been affected in more ways than one. What’s more, two recent events that have hit mainstream news have reminded us just how fragile international supply chains really are.
Strikes and supply chain disruptions
US employees at United Parcel Service, UPS, recently threatened industrial action over pay and working conditions. While an agreement between UPS and the worker’s representative, International Brotherhood of Teamsters, appears to have been made before a strike took place, it was estimated that around 25% of the world’s largest economy parcel deliveries would have been affected by the action.
Elsewhere, in Canada, over 7,400 port workers have been striking at 30 ports on and off since 1st July over their pay. Not only has this had a direct impact on the transportation of goods but shipment lead times have increased, and service levels have been affected across the board.
While industrial action is often a much-needed tactic for worker rights, it is important for businesses to be aware of the impact that it could have on their supply chain. Even a short period of industrial action could have serious consequences on global freight transport, capacity, shipping costs and, ultimately, consumer prices.
Why it pays to invest in expertise
In the realm of logistics and supply chains, there are always going to be obstacles to overcome but the recent developments at UPS and within Canada are a timely reminder of just how fragile supply chains can be. Therefore, it’s never been more important to implement contingency plans to help your supply chain to combat any strike action and deal with the fall out. In fact, that’s exactly where Far Logistics comes in.
As a dedicated logistics partner with more than 20 years of experience, we help our clients to plan and manage all manner of issues as well as those associated with strikes. This includes exploring alternate delivery routes and other modes of transportation to bypass delays and ensure that deliveries can take place without issue.
What’s more, we stay one step ahead of the pulse using innovative technology and sector insights, while offering advice on industry news and trends, to create a supply chain strategy that meets your needs and is flexible enough to withstand any potential problems.
Strike action can’t always be avoided but, with a supply chain consultant by your side like Far Logistics, you can rest easy knowing that the total impact on your business will be softened. So, whether you have any questions about the above or want to discuss how Far Logistics could help you, don’t hesitate to get in touch.
