Ikea UK grapples severe supply woes due to ongoing driver shortage

Ikea UK grapples severe supply woes due to ongoing driver shortage

by Pranali Mehta

Ikea UK, the British arm of the Swedish multinational furniture firm, is reportedly struggling to fulfill the supply of roughly 1,000 product lines as the scarcity of HGV drivers continues to wreak havoc on businesses across the UK. The firm blamed Covid and Brexit for the supply shortfall, which has even affected mattresses in certain locations.

According to reports, industries ranging from flu vaccine distributors to food and beverage companies have been affected by supply difficulties. Previously, the government of the United Kingdom stated that it is working with industry to solve the supply chain problems.

Ikea stated that 10% of its stock, or around 1,000 product categories, was unavailable in all 22 of its UK and Ireland outlets. The firm added that it is also facing continuous supply chain problems as a result of Covid-19 and labor shortages like other many retailers in the country. Sourcing, transport, and raw materials all have been impacted badly.

the statement added that since individuals are spending more time at home, Ikea is witnessing an increase in consumer demand. As a result, the firm is seeing limited availability in certain of its product lines, including mattresses.

Ikea apologized and expressed optimism while stating that things will improve in the upcoming weeks and months.

Ikea went on and added that it is witnessing a perfect storm of difficulties, including interruption of international trade flows and driver scarcity, which have been further worsened by the Brexit and Covid-19 pandemic.

For the record, the Covid-19 pandemic has wreaked havoc across the international maritime shipping sector. Meanwhile, Brexit has created labor shortages ranging from truck drivers to workers in the meat production industry.

Flu vaccinations in Wales and England have been delayed owing to a lack of HGV drivers, while major retailers such as Tesco and Iceland have warned that some items may be in limited supply in the run-up to Christmas.

Wetherspoons ran out of certain beer brands, but downplayed the Brexit connection, blaming the shortages on industrial action instead. Unions, on the other hand, claim that the said industrial action never happened.

Source credit: https://www.bbc.com/news/business-58443653

Pranali Mehta

A chemical engineer by qualification, Pranali Mehta dutifully walked down the slated path and worked in a chemical firm for a year. Her passion for writing however, pushed her into experimenting with the same as a career. With over three years of experience in content writ Read more...