New year, same shipping challenges. Since early 2020, we have been struggling with supply chain delays brought on by the effects of the COVID-19 pandemic. Manufacturers suspended operations until safety precautions were established, and this, along with panic buying, increased usage of materials to fight the pandemic and labor shortages, lead to delays which have yet to resolve. Recent COVID-19 variants and spikes have further impacted staffing and worsened delays.

We are experiencing peak international shipping delays and pricing, as well as labor shortages and high freight costs in the US. Even once goods make it out of the harbor, it can be challenging to find drivers to haul them.

“The driver shortage has been going on in our nation for quite a while. The American Trucking Association is forecasting that the deficit will double over the next 8 years so it’s a real challenge for the entire trucking industry and the moving and storage industry,” said President of JK Moving Services Chuck Kuhn.

Some companies are thinking creatively about ways to recruit talent to alleviate the driver shortages. Kuhn said, “When you ask what JK Moving Services is doing to combat the driver challenge, we’ve implemented a $100,000 annual salary guaranteed minimum for our long-distance Class A drivers. So, a long-distance driver working for us will make a minimum $100,000 in addition to our wellness programs, our healthcare benefits, our retirement benefits, 401K, profit sharing and training programs.” When asked why it’s so important to raise pay for CDL drivers, Kuhn said, “The drivers are working hard. They’re away from their families on the road. It’s a physically challenging job, a mentally challenging drive. They have to be a mover, they have to be a driver, they have to be a customer service representative, they need to embrace the technology we have. So, making sure the drivers are properly compensated is the only way we can retain them, attract new talent and make sure we’re providing best in class service to our customers.”

Even though JK and other moving companies are working hard to get more drivers on the road, it’s important to make plans with these labor shortages and supply chain challenges in mind. Kuhn said, “If you are planning to move in the near future with the pandemic and the increased demand on our industry, I strongly recommend that you plan in advance. Historically I would say customers were planning about a month prior to their move. During the pandemic, I would plan out as far as possible – two months at a minimum.” In short, these supply chain challenges are not expected to disappear any time soon, so we recommend initiating moves as early as possible and planning for delays.