Joe Biden took over the supply chain of Walmart and vice-president Bill Simon on Friday, calling it a mess from start to finish. I've never seen it like this and I don't really believe anybody living in this country has, Simon told Fox Business Dagen McDowell. I mean, it's huge. Joe joined Mornings with Maria to react to the widespread criticism of Biden's response to shipping challenges and rising consumer prices by American voters. The hashtag EmptyShelvesJoe held its own on Twitter on Thursday evening, as a top trend.
There's a shortage of labor in our distribution system and there's a shortage of workers to put items on the shelf, Simon explained.
He suggested that Biden s first step to overcoming the supply chain disruption is to address the ongoing worker shortage.
I don't think this is solved until we alleviate the labor shortage that's out there and get people driving trucks and reloading at docks and stocking shelves, Simon said.
With shipping and inventory backlogs expected to carry into the holiday season, Simon believes small businesses will survive while giant retail stores could struggle with shelves full.
The small retail line can t get the product, he said. They're going to be left with nothing. House Republicans penned a letter to the Biden Administration on Thursday asking to evaluate solutions for the ongoing supply chain crisis, noting disruptions would continue into 2022.
Simon said he expects the current administration to pump more money into the economy.
The funding isn't stopping from the government, Simon said. What is the largest social security increase in 30 years? There's still this funnel of funds coming through, which builds more consumer demand.
Simon remains convinced that labor shortage will continue until that end, because of the supply chain issues.
They're making the well-thought calculus that it is better for them to stay out of the job market right now than it is to get in, he said.