Anticipating a Fourth Quarter Surge and What it Means for Warehouses

DHL Supply Chain plans to hire more than 7,000 new associates throughout the remainder of 2020 in anticipation of the annual peak in demand surrounding the holiday season. Despite overwhelming changes related to the COVID-19 pandemic, DHL announced that many of these new jobs will be seasonal to accommodate e-commerce fulfillment roles. 1,000 of these new jobs will deal with broader DHL Supply Chain business.

The company made this decision after analyzing the accelerated shift toward e-commerce and non-retail industries during 2020. With spikes in online demand affecting various industries, a majority of purchasing this year is being managed directly by shipping and warehouse companies rather than brick and mortar locations.

As production capabilities increase and the country sees continual changes in purchasing behaviors, DHL Supply Chain is anticipating a very unpredictable fourth quarter. Other warehouses and supply operation businesses are taking note of this move and are wondering what it means for them in the fourth quarter.

What Does it Mean for Warehouses?

The declaration of uncertainty given by DHL Supply Chain does not bode well for the upcoming quarter. The holiday season typically requires thousands of workers to fulfil temporary, labor-intensive positions to handle seasonal shipping surpluses. The pandemic continues to disrupt previously established trends, and some do not expect this unpredictability to change in the fourth quarter.

As companies involved in e-commerce bring on additional labor to meet existing and anticipated demands, others are left wondering how they will gamble the risk of hiring more workers. On one hand, hiring early like DHL Supply Chain may beat the surge in demand for warehouse labor come fourth quarter. On the other, this move may leave a company with more employees to manage in an era of social distancing, strict health regulations, and volatile business.

The Rising Role of Gig Labor

Not every company can hire thousands of new employees in anticipation for a busy quarter like DHL Supply Chain can. Some warehouses and shipping businesses require more discretion in how they hire and how many employees they can bring on. Fortunately, gig labor could be the solution that helps you find a happy medium in meeting demands before and during the holiday surge.

The pandemic is still giving businesses hesitation when it comes to hiring, especially as trends in consumer purchasing shift in reflection of current events. HapiGig’s flex labor can give you a sense of stability in hiring workers for spikes in the historically busy fourth quarter.

While DHL Supply Chain and similar companies are shifting their structure and procedures to endure the current pandemic in hopeful anticipation of a busy fourth quarter, your warehouse can keep up easily using our platform. Carefully vetted gig labor offered by HapiGig could be the answer to keeping up with demand shifts while also protecting your business model and existing employees. Consider registering as a HapiEmployer today to start enjoying the benefits of flex labor.