Worries continue to rise among businesses and manufacturers that rely on the railroads to transport their products across the country. That's because of the potential for a nationwide rail strike, which would have a significant ripple effect on the entire economy.
A strike among the nation's leading railroads was averted in October of this year after the Biden Administration intervened to work out a deal between the railroads and their unions. However, that doesn't mean there isn't still the potential for a strike in the future.
The tentative agreement is dependent on 12 rail unions to ratify the deal, which would end a years-long negotiation over pay and benefits. Recently, The Brotherhood of Railroad Signalmen voted down the agreement, and the unions have until November 19 to make a final decision.
If a strike does happen, it would have a major impact on businesses and consumers across the country - and place particular strain on those who rely on the railroads to transport their products.
The Risks of a Rail Strike
A rail strike would have a number of consequences for businesses, manufacturers, and consumers. First and foremost, it would lead to significant disruptions in the supply chain.
For example, agricultural products that are typically transported by rail would be left stranded if a strike occurred. This could lead to shortages of fresh fruits and vegetables at grocery stores and increases in prices.
Other products that would be affected by a rail strike include auto parts, chemicals, coal, and crude oil. This would lead to disruptions in production for many businesses - and could even cause some factories to shut down entirely.
A rail strike would also have a major impact on the price of goods. That's because businesses would have to find alternative methods of transportation - which would likely be much more expensive.
It's not just businesses that would be affected by a rail strike. Consumers would also feel the impact, as the price of goods would increase. This could lead to inflation and, eventually, a recession. The railroad unions have estimated that a strike could hit the economy with a loss of nearly $2 billion per day.
The risks of a rail strike are clear. But there are ways to mitigate the impact on your business - and keep your product moving.
How to Avoid Potential Issues with Proactive Packaging Strategies
With the potential for a rail strike - and other supply chain disruptions - it's more important than ever to have a proactive packaging strategy in place. Alta Max LLC can help you keep your product moving, even in the face of these challenges.
A key to ensuring that your product gets where it needs to go - even in the event of a rail strike - is to plan ahead with a robust packaging strategy.
Tip 1: Stay Ahead of the News
Monitoring the news for potential threats to your supply chain is a crucial first step in avoiding disruptions. By keeping track of the latest developments, you can adjust your plans accordingly - and avoid potential problems down the road.
If your business relies on the railroads to transport your product, make sure to pay close attention to any news related to the negotiation between the railroads and their unions.
Tip 2: Use Multiple Transportation Methods
While it's critical to have a primary transportation method in place, it's also wise to have a backup plan - just in case. If your primary method is disrupted, you can quickly switch to your backup and avoid any major disruptions to your business.
For businesses that rely on the railroads, this could mean shipping your product by truck instead. While this may be more expensive in the short term, it's a small price to pay to avoid a major disruption in your business.
Tip 3: Utilize Flexible Packaging
Another way to avoid disruptions is to utilize flexible packaging. This type of packaging can be adapted to different transportation methods, which means that you can keep your product moving - even if your primary method is disrupted.
At Alta Max, we offer a variety of flexible packaging solutions - including tamper-evident security seals, military packaging for ammunition and ordnance, specialty packaging products, commercial packaging, and custom parts and assemblies. We can help you find the right solution for your product - and ensure that it stays safe and secure during transport.
Tip 4: Order Ahead
If you know that potential disruption is on the horizon, it's important to order your packaging ahead of time.
This way, you can avoid any last-minute scrambling - and ensure that your product is adequately protected. Whether you need tamper-evident security seals or another type of shipping packaging, make sure to plan today for tomorrow's challenges.
Tip 5: Work with a Partner You Can Trust
When it comes to your supply chain, it's vital to work with a partner you can trust.
Our team has over 20 years of experience in the packaging industry - and we're here to help you find the right solution for your business. We offer a variety of products - including contract packaging, consultation, and engineering/design - to help you keep your product moving.
Contact Alta Max LLC Today to Learn More
At Alta Max LLC, we understand the challenges that businesses face when it comes to transportation and packaging. With supply chain disruption due to COVID-19-related shutdowns - and the potential for a rail strike - we can help you keep your product moving.
Alta Max LLC utilizes trucking companies and modes of transportation that ensure the safe and timely delivery of products. We monitor situations and inform our customers of delays. Please let us know how we can help you with your Specialty Packaging, MRO, 3M Tapes, and Tamper Evident Security Seal needs. Our team is ready to serve you.