We can across an article from Vox.com which states that internal studies from Amazon show that Amazon could potentially run out of workers by 2024.
Amazon is facing a looming crisis: It could run out of people to hire in its US warehouses by 2024, according to leaked Amazon internal research from mid-2021 that Recode reviewed. If that happens, the online retailer’s service quality and growth plans could be at risk, and its e-commerce dominance along with it.
“If we continue business as usual, Amazon will deplete the available labor supply in the US network by 2024,” the research, which hasn’t previously been reported, says.
Vox.com
While the article isn’t too surprising, the timing is because we’ve been warning about the huge demographic changes happening in America. There are 60 million boomers projected to all hit age 65+ by 2030 and presumably retire in some shape or form. As those boomers retire and leave the workforce, they will still be demanding goods and services but there aren’t enough people to back fill the gap.
The problem won’t be limited to Amazon warehouse workers, this issue will span all across all industries and job types and titles. Airlines have a shortage of 13,000 pilots and the problem will only get worse as boomer pilots retire. Hospitals have shortages of workers being outbid by McDonalds.
But wait there’s more, for a comprehensive list please read our post entitled, Boomer Consequences: Pilots, Truckers, Nurses and More Shortages where we make the case, based on BLS Data where the most severe shortages will occur.
While labor shortages will create a huge array of problems, there will be financial opportunities for profits. The best way to position our portfolio now is to invest in firms that will create substitutes for human labor such as Artificial Intelligence, automation and robotics. In a future post, we will outline some of the investment opportunities and equities we pick up as a result of this situation.
Stay tuned and stay solvent…