Trade associations bemoan the haphazard nature of company closures
Prominent industry associations encompassing almost all facets of the US economy are advocating for more precise and logical protocols for crucial corporate labels.
Diverse categories of non-essential companies and services may continue to operate under the various stay-at-home or shelter-in-place directives that have been enforced by state and local authorities. As a result, companies are dealing with a disorganized collection of conflicting quarantine orders.
“Efforts to respond quickly are hampered by the lack of clarity surrounding what defines ‘critical’ and ‘essential’ business and workers, as well as the inconsistent guidance,” stated Christopher Roberti, senior vice president for supply chain security, cyber, and intelligence policy at the US Chamber of Commerce.
Governors and municipal officials were urged by the US Chamber to follow guidelines released in March by the Cybersecurity and Infrastructure Security Agency (CISA).
Agriculture and food were named as essential industries in the recommendations. Workers who support food manufacturers and their suppliers, grocers and other retailers who sell food and drink products, food distribution, farms and farm support services, food manufacturing and sanitation operations, food testing, and foodservice carryout and delivery operations are among the essential workers.
The CISA’s recommendations have been used by twenty-one states that have closed non-essential firms. More than two dozen have released their own standards, all of which include comparable exclusions for companies that produce food. No orders have yet been issued by some states to close non-essential companies.
Companies in the food and beverage industry may nevertheless experience disruptions due to the disorganized set of regulations, even with their crucial business status. Businesses and services that assist growers’ and processors’ operations could not be permitted to continue, but growers’ and processors’ operations might. Only essential workers at essential enterprises have been permitted to stay on the job in several states.
According to the US Chamber, certain states have declared customer support contact centers unnecessary, which has restricted businesses’ access to vital banking and financial services.
States that restrict or close their motor vehicle offices may face problems. The National Grain and Feed Association issued a warning that the trucking industry’s capacity to guarantee food suppliers’ uninterrupted operations may be hampered by its inability to grant commercial driver’s licenses.
Curfews imposed in an attempt to slow the outbreak’s spread could cause more disruptions in the food supply.
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Consumer Brands Association and a number of other trade associations wrote to political officials on March 25. “Curfews that do not consider transportation and workforce needs could quickly become significant barriers to not only supply chains, but actual supplies,” the groups stated.
The organizations asked the authorities to define critical enterprises with the complexity and interconnectivity of supply chains in mind.
“These definitions ought to encompass upstream suppliers, like manufacturers of packaging and raw materials, export product producers, and providers of transportation services,” the letter stated.
Worldwide cooperation
The US Chamber advised other countries to define vital business using the CISA guidelines as a model.
According to John Murphy, senior vice president of foreign policy at the US Chamber of Commerce, “there is an inevitable tension between the need for what public health officials are telling us, which is ‘we need social distancing,’ and the need to have essential economic functions continue.” “We’ve witnessed that occur in other nations throughout the world.”
Local leaders abroad were instructed by the US Chamber to choose a path that aligns with the actions of federal authorities.
According to Mr. Murphy, “we’ve seen this play out in Canada and Mexico to some extent.” For example, the province of Ontario has chosen a marginally different course. It was the state of Sonora in Mexico. It is very difficult for industry to deliver those vital services when different jurisdictions have different rules.
In order to guarantee that essential commodities can continue to be accessed and moved, the US Chamber urged the US government to collaborate with foreign partners.
“This threat to public health and global economic stability cannot be defeated by a single country acting alone,” Mr. Murphy stated.