CEO DATELINE - Several trade groups warn vaccine mandate could cripple supply chain
CEO DATELINE - Several trade groups warn vaccine mandate could cripple supply chain
- October 25, 2021 |
-
Kathryn Walson
President Joe Biden's executive order requiring employees of federal contractors to be fully vaccinated against COVID-19 could exacerbate the country's shipping crisis, at least three associations said in recent statements.
Consider joining CEO Update. Membership gives full access to the latest intelligence on association management, career advancement, compensation trends and networking events, as well as hundreds of listings for senior-level association jobs.
Biden issued the order in September and the White House has since given contractors until Dec. 8 to implement vaccine mandates. But the Cargo Airline Association, whose members include FedEx and UPS, recently asked officials in the Office of Management and Budget to postpone the rule's implementation until the first half of 2022, The Hill newspaper reported. OMB is part of the Executive Office of the President.
The American Trucking Associations asked that truck drivers be exempted from the requirement, as they have been in Canada, according to ATA's Oct. 21 letter to the Office of Information and Regulatory Affairs, which is part of OMB, the industry news site Transport Topics News reported.
"Our data shows that a vaccine mandate may very well further cripple the supply chain throughout the country by forcing up to 13% of drivers to leave the industry entirely," ATA wrote.
In an Oct. 20 letter to Biden, the National Association of Wholesaler-Distributors warned of "imminent supply chain disruptions and thousands of employees being laid off." NAW asked the administration to allow for alternatives, such as testing.
NAW said its member companies are "pro-vaccine" and "have taken both monetary and creative steps" to get staff vaccinated. But some truck drivers, warehouse workers and service technicians still refuse to get COVID-19 shots, according to NAW's letter.
If Biden's order is enforced as written, "thousands of valued employees will be forced out of their jobs shortly before the holidays, the already compromised supply chain will be under added pressure during the busiest time of the year, and the already tight labor market will make it immeasurably more difficult to replace laid off employees, compounding supply chain disruptions," NAW wrote.
MORE CEO DATELINE