How Growing Warehouses Can Responsibly Scale Fulfillment and Parcel Shipping During Uncertainty

Over the last two years, peak season parcel volumes overwhelmed carrier capacity by several million packages per day, forcing carriers to increase staffing, throttle shipper parcel volumes, raise rates, and increase surcharges. However, this year it looks like capacity could outstrip demand (Reuters). During the pandemic, shippers faced the “Great Resignation” and ongoing labor shortages with historically low vacancy rates making warehouse expansion difficult and expensive. Now a softening economy has caused the first increase in vacancy rates in two years (WSJ). An uncertain and challenging time for warehousing and shippers.