Direct PC vendors Dell and Gateway 2000 have admitted the strike by US workers at courier company United Parcel Service (UPS) may force it to raise prices, because finding other carriers for IT kit has proved costly.
The US? second largest union, the Teamsters, has been on strike over terms and conditions since 4 August against UPS, which commands 60 per cent of the US package delivery market. IT companies with low cost, high volume contracts with UPS have been switching to US Postal Service and Federal Express. Both have emergency procedures in place as they attempt to handle the extra business.
Distributors Merisel and Ingram Micro have had problems because UPS is their main carrier. Ingram representative Kirsten Frosch said UPS usually carries 65 per cent of its 45,000 daily US product shipments. ?It will be OK for the time being. If it?s a six-month strike, I don?t know,? she admitted.
Dell, Gateway, Micron Technology and Packard Bell/NEC all said they have incurred more costs as a result of the strike. They all claimed sales have not suffered and only admitted to a few, short delays in deliveries.
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