Automation Reshapes Warehouses and the Future of Work

DHL, UPS, and FedEx embrace robotics to boost efficiency and address labor shortages

Published on Feb. 13, 2026

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Major logistics companies like DHL, UPS, and FedEx are rapidly scaling up automation in their warehouses, deploying autonomous mobile robots, forklifts, and other technologies to streamline operations. While this shift is driving efficiency gains, companies emphasize that automation is intended to complement human workers rather than replace them, focusing on reskilling employees for more technical roles.

Why it matters

The rise of warehouse automation reflects a broader industry trend to address labor challenges and improve supply chain efficiency. As the global warehouse automation market is projected to exceed $51 billion by 2030, this transition will have significant implications for the future of work in the logistics sector.

The details

DHL has scaled its automation projects from 240 in 2020 to over 10,000 globally today, with autonomous innovations now present in 95% of its warehouses. Item-picking robots have increased units picked per hour by 30%, while autonomous forklifts have boosted efficiency by 20%. UPS has deployed automation in 127 facilities, with plans for 24 more in 2026, expecting 68% of U.S. volume to be processed through automated facilities by the end of 2026. FedEx is also investing heavily in robotic arms and fully autonomous unloading robots.

  • DHL's automation journey began in 2020 with 240 projects.
  • DHL has scaled to over 10,000 automation projects globally today.
  • UPS deployed automation in 57 buildings in the fourth quarter of 2025, bringing its total to 127 automated facilities.
  • UPS plans to add 24 more automated facilities in 2026.
  • FedEx is launching a fully autonomous robot to unload containers.

The players

DHL

An international logistics company that has rapidly scaled up automation in its warehouses, deploying autonomous mobile robots, forklifts, and other technologies to boost efficiency.

United Parcel Service (UPS)

A major logistics company that has deployed automation in 127 buildings, with plans to process 68% of its U.S. volume through automated facilities by the end of 2026.

FedEx

A logistics company that is investing heavily in warehouse automation, including robotic arms and fully autonomous unloading robots.

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What’s next

As the global warehouse automation market continues to grow, companies will likely continue to invest in advanced technologies to streamline their operations and address labor shortages. This transition will require a focus on reskilling the workforce to manage and maintain these automated systems.

The takeaway

The rise of warehouse automation in the logistics industry highlights a broader shift toward embracing technology to improve efficiency and address labor challenges. While automation is transforming the sector, companies are emphasizing the importance of augmenting, rather than replacing, human workers through reskilling and upskilling initiatives.