Walmart, FedEx and Others Extending Hours to Combat Supply Chain Issues
Citing supply chain disruptions, the White House on Wednesday said major retailers like Walmart, Target and The Home Depot will expand working hours to move more cargo off docks. Walmart announced it would commit to extending nighttime hours by as much as 50 percent.
The goal, according to a White House press release, is for ships to come to shore faster as the holiday season picks up. COVID-19 has caused disruptions in the supply chain across the world, with some of the largest ports experiencing multiweek partial-terminal closures.
FedEx and UPS are also extending their hours, with UPS committing to an increased use of 24/7 operations and enhanced data sharing with ports, which could allow it to move up to 20 percent more containers from the ports.
Total Retail's Take: Private companies, including retailers such as Target, The Home Depot, and Costco, are taking matters into their own hands as cargo ships continue to be stuck in ports and the industry sees a decline in container supply. Companies have had to take drastic measures to move their product, including chartering their own freighters to transport goods. However, the delays and the steps taken to overcome them have been costly.
The White House said the companies' commitment to extending hours means 3,500 additional containers per week will move at night through the end of the year.