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Real fears of Christmas delivery delays due to shortage of hundreds of logistics workers

/ 20th December 2024 /
Galen English

Fears have been raised thousands of Christmas parcels may not be delivered on time because of a chronic shortage of logistics workers.

New research has suggested there could be a shortfall of as many as 400 delivery workers which it is feared will in turn lead to a serious delivery backlog across the country during the busy festive period.  

The ‘Delivery Delays’ Report, by mobile communications specialist Esendex, analysed data from Indeed to calculate the vacancy rate for the most common delivery job titles in Ireland, to pinpoint the regions and cities most at risk of delivery delays this Christmas

The Esendex report found that Dublin faces the most significant shortfall, with a vacancy rate of 2.9 per 10,000 residents - more than triple the national rate of 0.8 per 10,000.

As Ireland’s largest city and a key retail hub, these shortages could put pressure on delivery networks being inundated with parcels, leaving shoppers at a higher risk of delivery delays. 

Business Bulletin

Following closely behind Dublin, Dundalk reported a vacancy rate of 2.7 per 10,000 residents, while Drogheda had a slightly lower vacancy rate of 2.2 with just 10 vacancies in total. 

Data revealed that there has been a 350% increase in parcel handling since 2017, with ecommerce activity to reach €7.4bn in revenue by the end of 2024. 

With 94% of adults planning to shop online over the Christmas period, logistics shortages and ongoing port congestion will put retailers under further pressure, with over 60% of shipments already failing to arrive on time. 

This comes after 58% of customers agree that guaranteed delivery dates/times would encourage them to buy more online, highlighting the critical threat logistics shortages and subsequent delays can have to customer satisfaction. 

Waterford and Limerick rounded out the top five cities most at risk, with vacancy rates of just 1.8 and 1.5 per 10,000 residents respectively. 

While Cork had the highest number of vacancies after Dublin, at 53, its larger population size resulted in a lower vacancy rate of just 1.4 per 10,000 residents - which may help offset some delivery strain this Christmas.

Chris Gorman, Head of Commercial Transformation at Esendex, explained: “As we approach Christmas, the demand from online spending will no doubt surge, putting pressure on logistics networks.

"While this period represents a substantial opportunity for businesses, it is not without its challenges, especially given existing external pressures from port congestion and shipment delays.    

“While our data shows that Ireland’s overall delivery vacancy rates are relatively low, businesses in major cities like Dublin face a heightened risk of driver shortages and must remain proactive during the festive period.

"In high-demand urban areas, even minor gaps in staffing could translate into significant challenges in delivering gifts and goods on time during periods of heightened demand. 

New research has suggested there could be a shortfall of as many as 400 delivery workers

“To meet rising consumer expectations, companies should prioritise customer engagement and satisfaction strategies.

"Solutions such as SMS and WhatsApp for Business can help mitigate any potential delivery setbacks as fast and clear updates sent directly to customers can ensure a successful and seamless peak season experience.”

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