ITAD Firms Report Drastic Decline in Flow of Electronics

SEATTLE (Scrap Monster): The IT Asset Disposition companies across North America are seen struggling to keep the operations running, as flow of materials from government programs and other organizations has almost dried up, due to market disruptions caused by COVID-19 pandemic.

For instance, Southern California-based Cal Micro Recycling had to recently lay off almost 50% of its workforce. The company is reportedly finding it difficult even to keep the remaining employees employed. The closure of offices and business, coupled with halt in collection programs has reduced the flow of IT equipment for processing by at least 75%, said Roy Dann, founder and CEO of Cal Micro Recycling. Incidentally, 99% of the material handled by the company comes from government agencies, school districts, non-profit groups and businesses.

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Ingram Micro Commerce and Lifecycle Services, having facilities spread across the North American region stated that the company has been hit badly by material shortages. Currently, supplies are limited to those received via the mail-in box program, said Todd Zegers, vice president.

Quantum Lifecycle Partners reported 40%-80% drop in collection volumes. Sadoff E-Recycling and Data Destruction too reported huge drop in volumes. The company has been able to avoid staff cuts until now, said Jason Lasky, executive vice president in charge of Sadoff’s electronics recycling division.