Fair Use Image
Holiday shoppers are getting their seasonal shopping out of the way before Halloween, let alone Thanksgiving.
“Delays and shortages along the supply chain have left mountains of products stuck in factories in Asia or in ports in the US, unable to make their way to stores,“ The Business Insider Wrote.
Shipping containers and barges are sitting for weeks to months at a time waiting for workers to unload them.
“Labor shortages have stalled trucking and pushed U.S. job openings to all-time highs,” Bloomberg wrote. “That was before UPS, Walmart and others embark on hiring hundreds of thousands of seasonal workers to take on the peak of peak.”
Strikes are also among reasons for there being a labor shortage. With many businesses increasing pay to their workers around the globe, workers who aren’t getting that are going on strike to encourage companies to pay more.
“Starting wages are also jumping across the board, while a series of strikes is unfolding after years of little labor unrest,” Bloomberg wrote. “Tractor maker Deere & Co. is experiencing its first major labor action since 1986.”
Holiday shoppers should expect to see a price surge due to increased shipping cost. According to the Business Insider, shoppers should expect to see anywhere between a 5% or 10% rise in prices during these shopping months.
“I’ve been doing this for 43 years and never seen it this bad,” said Isaac Larian, founder and CEO of MGA Entertainment told Bloomberg. “Everything that can go wrong is going wrong at the same time.”
These delays have caused a smaller selection on what you can purchase within the stores; products are not only stuck in the US, but all around the world. One of the biggest areas of issue is the ports in China.
“The congestion in southern China has led major shipping companies to warn clients of delays, changes to vessel routes and destinations and spikes in fees,” CNN Business wrote.
Experts recommend getting holiday shopping done sooner rather than later as late shoppers will not be able to get many things on shelves or even online.