Competition to Attract and Retain Warehouse Employees is on the Rise

According to the Wall Street Journal, retailers and logistics companies have been opening warehouses at a record pace. This is a direct response to more people shopping online and expecting their goods delivered faster. What used to take weeks to arrive is now taking a day.  Fulfilling these order requires armies of warehouse employees to pick, pack and ship the goods so they can arrive at your door within 24 hours.

Unemployment is at a 10 year low and as a result the ability to fill these positions is becoming harder than it used to be. This is great for the warehouse worker. The average wage and competition to attract these entry-level positions has increased. The average warehouse workers hourly wage has jumped 6%. This is a full 3+ points more than the increase for all other hourly positions, which sits at 2.8% according to the Labor Departments Bureau of Statistics.

As a result of the increased demand and smaller pool to draw from employers have to come up with new strategies to attract and retain talent when a $0.25 wage increase at another job can lure your employees away. Several strategies to attract and retain include attendance bonuses, performance incentives and company events such as BBQ’s and staff appreciation days. Coming up with new strategies to coincide with a raise in pay is crucial to keep employees engaged and reduce costly turnover rates.

What are you doing to attract and retain your warehouse talent?

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