🍔🚢🔫 California’s Fast Food Woes, Baltimore Port Reopens, & Uvalde Lawsuit
Good morning! ☀️
Here’s your daily dose of supply chain news:
👉 California’s Fast Food Woes: The industry is reeling after Governor Newsom’s minimum wage hike to $20/hour, sparking job cuts and higher menu prices.
👉 Baltimore Port Reopens: After the tragic collapse of the Francis Scott Key Bridge in March, the main passageway is back in action, restoring vital maritime traffic.
👉 Uvalde Lawsuit: Families of Uvalde school shooting survivors are suing FedEx and UPS for shipping the gun and device used in the 2022 attack, raising serious questions about shipping compliance.
Stay sharp and stay informed with The Workday Dash!
“All great changes are preceded by chaos.”
California's Fast Food Crisis And The Wage Hike Fallout
🔥 California's fast food scene is heating up! Thanks to Governor Gavin Newsom's bump in minimum wage to $20 an hour, fast food is starting to feel more like fine dining. This move has led to job cuts and pricier menus, making grabbing a quick burger a luxury for some.
Tom Manzo, President of CABIA, voiced his frustration on "Fox & Friends," stating businesses are "fed up" with these changes. CABIA reports nearly 10,000 fast food jobs have vanished since the wage hike, even running a USA Today ad with mock "obituaries" for big names like El Pollo Loco and Subway.
On the flip side, Newsom's office claims fast food jobs are actually on the rise, backed by the U.S. Bureau of Labor Statistics. Yet, menu prices are up, and a LendingTree survey shows 78% of folks now see fast food as a luxury, with 68% saying prices are too steep.
Jonathan Maze from Restaurant Business pointed out that the wage hike has made dining out less affordable, hitting the industry's reputation hard. Rising costs mean higher prices, making fast food less accessible for everyday families.
WHY IT MATTERS
Higher wages equal higher costs, trickling down to consumers and changing dining habits. This can lead to less demand, impacting supply chains and restaurant operations.
OUR TAKE?
California's wage hike has turned fast food into a luxury item. It's time for a new strategy to keep the industry—and our logistics—on track.
Baltimore Port Reopens After Bridge Collapse
🚢 The main passageway into the Port of Baltimore is back on track after the Francis Scott Key Bridge collapse on March 26, which tragically killed six people and blocked maritime traffic. The bridge came down when the cargo ship Dali crashed into it, disrupting a major shipping route into the busiest auto port in the U.S.
Last year, the Port of Baltimore processed a record 1.1 million containers and handled $80.8 billion in foreign cargo. The incident claimed the lives of six highway construction crew members working overnight on the bridge.
On Monday evening, the U.S. Army Corps of Engineers announced that the Fort McHenry Federal Channel is fully restored, now back to its operational dimensions of 700 feet wide and 50 feet deep. This allows for safe commercial transit through the port.
Col. Estee Pinchasin, Baltimore District commander, stated, “We’ve cleared the Fort McHenry Federal Channel for safe transit. USACE will maintain this critical waterway as we have for the last 107 years.”
The cleanup, which began on March 30, involved removing around 50,000 tons of bridge debris from the Patapsco River, enabling the gradual reopening of the channel over the past few weeks.
WHY IT MATTERS
This port is a major player, especially for auto shipments. With the channel back to full capacity, expect smoother operations and fewer delays. Plus, the swift cleanup shows resilience and efficiency, which are crucial for keeping supply chains running smoothly.
OUR TAKE?
Bridge collapses and cargo ship crashes? Just another day in logistics! Kudos to the Baltimore team for a speedy recovery, proving once again that the supply chain must go on.
Uvalde Families Sue FedEx and UPS Over Gun Shipment
💔 Families of Uvalde school shooting survivors are taking legal action against FedEx and UPS for shipping a gun and a device used in the tragic May 24, 2022, attack. They claim these companies ignored safety standards, causing trauma and distress.
The lawsuit alleges that FedEx and UPS bypassed federal and state laws by transporting an AR-15-style rifle and a Hellfire trigger, which lets a semi-automatic rifle fire nearly like an automatic. The shooter used these to kill 19 students and two teachers at Robb Elementary School.
The families argue that UPS delivered the Hellfire trigger within 1,000 feet of the school, violating school zone protections. They also claim FedEx shipped the AR-15 to a retailer, Oasis Outback, which then gave it to the underage shooter.
Both companies deny the allegations, stating they comply with all federal laws regarding firearm shipments. The families are seeking punitive damages, accusing FedEx and UPS of negligence and recklessness.
The lawsuit was filed on the second anniversary of the shooting, alongside suits against other companies involved.
WHY IT MATTERS
If you’re in transportation and logistics, this lawsuit is a serious wake-up call. It underscores the need for strict compliance with shipping regulations, especially for firearms. Not following these rules can lead to major legal and reputational fallout. It’s crucial to vet what you’re shipping and where it’s headed.
OUR TAKE?
Shipping companies need to be more than just movers—they need to be gatekeepers. This lawsuit is a stark reminder that in logistics, following the rules isn't just about compliance, it's about safety and responsibility.
Daily Riddle:
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I arise when there's conflict, a grievance or claim,
In courts, I am settled, seeking justice's name.
Legal battles I frame, disputes I ignite,
What am I called in the legal fight?
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Previous Riddle Answer: Logistics
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 22, 2024, from iLevel Logistics Inc.