Dive Brief:
- DHL Supply Chain plans to hire 12,000 warehouse workers to help handle peak season volume, the carrier announced on Monday.
- About 9,000 of the jobs will be in the company’s ecommerce and retail customer focused facilities.
- The logistics company is also planning to increase its use of robotics to enhance efficiency and offset labor constraints. DHL plans to deploy 2,000 collaborative robots across its network, up from 1,500 last peak season.
Dive Insight:
DHL Supply Chain is continuing its tradition of hiring additional labor during peak season, despite what North American unit CEO Scott Sureddin noted has been a drop in consumer demand from pandemic highs. With inflation continuing to strain many consumers’ wallets, 84% of shoppers said in a recent survey they plan to reduce their holiday shopping costs this year.
But while consumer demand may be tepid headed into holiday shopping, the logistics company said it’s preparing for a spike in volume.
“Generally, peak season volumes can be 2 to 5 times higher than your average day depending on the e-tailer or retailer so we want to ensure that we have the resources in place to support such an increase,” a DHL Supply Chain spokesperson said in an email to Supply Chain Dive.
UPS and FedEx also typically announce additional hiring plans ahead of peak season. UPS announced plans last month to hire more than 100,000 seasonal employees, while FedEx has yet to announce new recruitment.
In addition to the seasonal hires, DHL Supply Chain is leaning on robotics to help meet the expected demand bump. Last month, the carrier expanded its partnership with Locus Robotics by adding robots to two Ohio warehouses.The technology will help support fulfillment efforts for DHL’s retail customer Carhartt.
“Last peak season our collaborative robots played a key role in our success; they helped to improve throughput by up to 20%,” CIO Sally Miller said in a statement. “Additionally, the feedback from our associates has been overwhelmingly positive as they are able to maintain consistent productivity levels throughout the day thanks to the reduction of their walking time by 60%”