We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Overcoming warehouse labor challenges
CSCMP EDGE 2022

Overcoming warehouse labor challenges

CSCMP session examines the disruptive forces in the labor market and how they continue to reshape the warehouse.

store-g6b6766724_640.jpg
September 20, 2022
Supply Chain Quarterly Staff
No Comments
Overcoming labor challenges is one of the hottest topics of conversation in supply chain circles today, especially in the warehouse. A panel of experts delved into the issue in an education session titled “The truth about the labor shortage for 3PL warehouses” Tuesday morning at the CSCMP EDGE 2022 conference, being held this week in Nashville.

Panelists discussed the difficulties companies are facing trying to recruit and retain warehouse help, along with the competitive pressures many are feeling in today’s inflationary economy. Key challenges include an aging workforce and shrinking pool of young talent due to demographic issues, lingering pandemic-related problems, and wage inflation. Competitive pressures are making it difficult as well; the “quit rate” remains high as employees leave jobs for better pay elsewhere, and today’s “gig economy” is making it far more attractive for potential warehouse workers to find flexible schedules in other areas–particularly the rideshare industry.

Wages are among the biggest concerns, according to the CSCMP panel. It began during the Covid-19 pandemic, when many 3PLs initiated several rounds of “appreciation pay” for warehouse employees, thanking them for coming in to work when much of the rest of the country’s workforce was able to work from home. Those cost increases have continued, driven by inflationary conditions that began early in 2021 and have reached record levels since. Competition for a shrinking pool of talent is exacerbating the situation, forcing companies to compete by offering higher pay, sign-on bonuses, and other incentives to attract help.

But there are strategies companies can use to combat the problem, according to the panel. Among them: using gig economy strategies where it makes sense, and focusing on the human connection that evolves from a strong company culture.

The “gig economy”—in which employees work jobs on their terms, taking assignments when and where they want (think Uber and Lyft)—is placing pressure on companies to offer more flexible working conditions in the warehouse. In response, some 3PLs and others are turning to digital platforms that can manage flexible labor pools—a portion of their part-time workforce set aside for flexible shift work. The employees can log on to the platform or app to find available part-time shifts and sign up for those that work best for them. Employee scheduling app When I Work is one example of a tool some firms are using to manage the process.

Developing a strong company culture is another tool in the recruitment and retention arsenal. A strong company that values its employees, invests in their development, and provides a human connection beyond the tech tools necessary to the job are also likely to find hiring success.

“It all comes down to culture,” one panelist said. “That’s what makes people want to stay [with an organization].”

The session was moderated by Robin Siekerman, vice president of marketing and communications for The Shippers Group. Panelists included Chance Brimhall, general manager at New Era HR Solutions; Brien Downie, president of Holman Logistics; and Logan Potere, director of distribution for The Scotts Miracle-Gro Company.
Logistics Warehousing
KEYWORDS CSCMP - Council of Supply Chain Management Professionals CSCMP EDGE
    • Related Articles

      Overcoming challenges to "big data" analysis

      National Forklift Safety Day 2022 to examine impact of labor challenges on forklift safety

      Automation’s role in solving today’s labor challenges

    Recent Articles by Supply Chain Quarterly Staff

    Cargo theft and fraud rose 41% in the first 20 weeks of 2023 over last year, CargoNet warns

    Gartner: Top supply chains of ’23 balance risk control, new growth channels

    OSHA, industrial safety experts to headline National Forklift Safety Day 2023

    You must login or register in order to post a comment.

    Report Abusive Comment

    Most Popular Articles

    • Report: Sagging freight stats show that trucking sector is returning to its historic mean

    • Survey: parcel delivery drivers are frustrated by using their own smartphones for work

    • Heavy transport across two continents

    • Survey: most Americans unaware that truckers face shortage of parking spaces

    • Supply chain executives not yet seeing expected results from technology investments

    Featured Video

    20221107korber large vs

    Enhancing Customer Experience with Your Supply Chain Strategy

    Viewer Contributed
    With the rise of e-commerce, many businesses have had to transform their warehouses to handle online orders in addition to regularly scheduled inventory shipments. This means warehouses need more information than ever before to ensure they can meet customers' needs. As a result, companies need to select warehouse...

    FEATURED WHITE PAPERS

    • Three layers of forklift safety: Promoting operating best practices

    • The Complete Guide to Automated Packaging

    • Five tips for parcel success in 2023

    • Guide to Pallet Rack Safety

    View More

    Subscribe to Supply Chain Quarterly

    Get Your Subscription
    • SUBSCRIBE
    • E-NEWSLETTERS
    • ADVERTISING
    • CUSTOMER CARE
    • CONTACT
    • ABOUT
    • STAFF
    • PRIVACY POLICY

    Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing