Daily Management Review

FedEx limits number of parcels from retailers due to COVID-19


American FedEx Corp, one of the world's largest transport and logistics companies, has limited the number of packages that Kohl's Corp and about twenty other retailers can send from stores, in an attempt to reduce the load on its network during the coronavirus pandemic, reports The Wall Street Journal.

Many retailers have seen a sharp increase in e-commerce since they were forced to close thousands of their outlets, resulting in a FedEx delivery network flooded with packages. Companies are converting stores into temporary warehouses to cope with large volumes of orders, disrupting the familiar flow of online departures from distribution centers to homes.

“These customers have experienced a significant increase in sales since the start of COVID-19,” said a FedEx notice to ground-handling staff. “With the already large volume, there has been a reduction in the number of packages that need to be picked up from these outlets will limit any negative effects on the FedEx terrestrial network."

As a FedEx spokeswoman told WSJ, a company usually goes for such measures during periods of maximum load - for example, during the Christmas holidays. 

soure: wsj.com