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November-December 2019

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16 PalletCentral • November-December 2019 palletcentral.com LEADERSHIP buying abroad more attractive. I think the demand of pallets might decrease a little next year according to the economic trends and the automotive industry predictions, and this will make even more lumber available. Regarding recycled lumber, the supply available has always been the same. For labor, it is hard to get more people to work, mainly in the central part of Mexico called Bajio, and this is because some automotive plants have started operations in this area, so we are facing competition from this sector. Salaries have been going up and, I think, will continue going up for next year. Looking ahead to 2025, I see more pallet companies buying automatic nailing machines, so there will be more automation and less labor. And I expect a better economic growth for Mexico, especially if the T-MEC trade deal is signed. [Note: The trade deal is also known as the United States-Mexico-Canada Agreement, or USMCA or T-MEC (Tratado Mexico, Estados Unidos, Canada.)] Todd Mazur PRESIDENT Viper Industrial Products Greenbriar, Arkansas n The perfect storm is hovering over the U.S. labor market with no signs of clearing in sight. With low unemployment, higher wages and tightening of the immigration processes, quality labor has become a precious commodity for the U.S. pallet industry. Turnover is at all-time highs, while the stack of job applications has dwindled. The lack of experience is adding to the demand for labor. In some cases, it takes two people to do the same job that one person once did, that is, assuming they show up. As a result, the demand for automation has surged the past few years. Automation condenses the learning curve/training process from years to weeks. Placing material in a machine and hitting a button requires less experience and physicality than a manual I think the demand of pallets might decrease a little next year according to the economic trends and the automotive industry predictions. –Martin De la Rosa

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