Warehouse Jobs Drop, Tesla’s Electric Semi Rollout, and FedEx Consolidates Companies

by | Apr 14, 2023 | 3PL, Logistics


NLS Logistics Team

Warehouse jobs and ocean rates have recently seen major drops. Tesla has begun fulfilling electric semi truck orders. FedEx has announced the consolidation of 3 of its companies and Merlin is preparing to make autonomous delivery flights to Alaska.

Warehouse Jobs At An All-Time Low

Employment in the warehousing industry in the United States has fallen to its lowest level in over a year, with 11,800 jobs cut from February to March, according to a preliminary jobs report from the Labor Department. Warehousing companies have reduced employment by nearly 50,000 jobs since June, as overstocked retailers scaled back inventories due to fluctuating consumer demand.

Source: Wall Street Journal

Tesla Makes A Pepsi Delivery

Tesla has delivered a fleet of its long-delayed all-electric Semi trucks to PepsiCo in California, as the automaker slowly ramps up production orders. These trucks are part of an order for 100 Tesla Semis that PepsiCo made in 2017, with other companies like Walmart, FedEx, and J.B. Hunt also awaiting their orders. The Semi trucks have a range of about 400 miles before needing to be charged.

Source: Freight Waves

Ocean Rates Dropping To Pre-Pandemic Levels

Container rates from Asia to North America’s West Coast have dropped to around $1,000 per forty-foot unit, according to Freightos’s analysis. Transpacific volumes and rates are down due to a slowdown in pandemic-driven spending on goods and excess inventories from orders pulled forward in the first half of last year. Importers are cautious about consumer demand for the rest of the year, leading to declining air volumes and rates as some opt for ocean shipping to save costs.

Source: Inside Logistics

FedEx Consolidates Express, Ground and Services

FedEx is consolidating its operating companies into one organization, Federal Express Corporation, with a fully integrated air-ground network, expected to be complete in June 2024. FedEx Express, FedEx Ground, FedEx Services, and other operating companies will be consolidated, while FedEx Freight will remain a standalone company. The consolidation aims to make FedEx leaner, more agile, and better positioned to serve customers.

Source: Supply Chain Drive

Autonomous Delivery Flights To Alaska Are Underway

Merlin, a developer of autonomous flight control systems, will use a single-engine Cessna Caravan to deliver cargo to communities in Alaska as part of a demonstration of its technology’s capability on real routes. A human safety pilot will accompany each flight to monitor the experimental flight control system. Merlin has conducted missions with its automated flight control system on different aircraft types and has partnerships with Ameriflight and the U.S. Air Force for testing its autonomous flying technology.

Source: Freight Waves

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