The National Association of Wholesaler-Distributors (NAW), which represents the wholesale distribution industry, says it opposes a potential strike by UPS delivery and warehouse logistics workers.
The strike still looms as previously stalled negotiations are planned to resume this week between UPS and the International Brotherhood of Teamsters, which represents over 340,000 UPS workers. The current contract is set to expire on Aug. 1, and if a deal is not reached the union says it plans to strike.
NAW President and CEO Eric Hoplin said in a statement:
“Distributors and our supply chain partners are closely watching the outcomes of this negotiation. Once again, America’s supply chain and economy are being held hostage by labor unions and their plans to strike. Union Bosses are threatening our supply chain, the economy, and American families and businesses based on lofty whims and political agendas.
A strike by UPS drivers affects every American household and stops the US supply chain in its tracks. Blocking millions of dollars of essential products from families, companies, and institutions that need them to live, work, build, heal, educate, transport, and protect this great nation. Without partners like our carriers, access to essential products and materials stall, putting life on hold for everyone who depends on them.
Family-owned distributors make up the bulk of our industry, and many rely heavily on UPS for inbound and outbound deliveries of products to their customers and will feel the pain acutely, with massive delays, price increases, and reduced inventory of vital goods and services.
While America relies on distributors and their unique ability to get products to their destination, should talks stall, the impact and magnitude of this strike will feel similar to the disruptions seen during the global pandemic.”
Impact of a Potential Strike
“A walkout by members of the International Brotherhood of Teamsters would snarl shipments of the 19 million packages that UPS moves daily in the U.S.,” according to a BNN Bloomberg report.
The report suggests a strike would lead to a raise in:
- competitors’ parcel-shipping prices;
- the inflation rate, and;
- wage costs as other employees see incentive to bargain for higher pay.