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RFID Rollout: Embedding Sensing In Supply Chains To phase out manual scanning, UPS is rolling out radio frequency identification (RFID) package sensing across its U.S. small package network, expanding shipment visibility from pickup through delivery. The technology is now in U.S. package delivery vehicles and delivery facilities, as well as on every package shipped through more than 5,500 The UPS Store locations. “By integrating RFID technology to automate its U.S. small package network, spanning billions of items, UPS is delivering an industry-first use case at scale,” says Julie Vargas, VP/GM, enterprise intelligent labels growth at Avery Dennison. UPS has invested more than $100 million to develop and implement the technology. The rollout marks a shift from scanning to sensing. Since the early 1990s, package tracking has relied on barcode scans at specific handoff points. With RFID embedded in package labels and installed in vehicles and loading bays, packages can be automatically sensed as they move through the network. In short, the rollout enables continuous, automated visibility. For shippers and enterprise
DRIVER SHORTAGE— OR MARKET RESET? The trucking industry’s age-old driver shortage conversation is shifting in 2026, as tighter enforcement and changing demographics reshape available capacity. The post-pandemic freight surge added an influx of both trucks and drivers to the system. Now, the question is less about absolute driver availability and more about how compliance and eligibility rules are affecting the usable driver pool. Regulatory scrutiny around CDL validity, non-domiciled licenses, and English-language proficiency requirements is removing drivers from active service. This can make the market feel tighter, even if total headcount looks more or less unchanged. At the same time, demographic pressures continue to build. The driver workforce is aging, and recruiting younger drivers into long-haul roles remains difficult. Restrictions on under-21 interstate driving and limits on non-domiciled CDL holders add further constraints in certain segments. Cross-border freight, in particular, is feeling the impact of shifting enforcement protocols. Some carriers report changes in driver participation on U.S.-Canada lanes as documentation and visa requirements face closer review. For carriers, this environment makes compliance management and documentation accuracy more important. Fleets are spending more time verifying credentials and ensuring drivers meet evolving standards. For shippers, the impact shows up as uneven capacity. While overall freight demand remains moderate, certain lanes, especially in the long-haul and cross-border spaces, are tighter than expected given broader market conditions. The broader shift suggests the industry is
supply chain leaders, this has the potential to improve data accuracy, reduce blind spots, and support more predictive, responsive logistics operations, particularly in high-volume environments, notes Vargas.
moving from a period defined by surplus capacity to one defined by qualified capacity. In 2026, the total number of drivers matters less than which drivers are able to participate in the system.
May 2026 • Inbound Logistics 17
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