Several issues are affecting the labor market, including rate increases and inflation. In this blog, we explain you some Strategies Companies Can Implement to Deal with the Tight Labor Market.
It is well known that the labor market is tight and presenting issues related to rates increasing, inflation, and all the consequences of the pandemic. There are plenty of strategies companies are implementing to avoid these complications. According to the website journalrecord.com, “Amid a persistently tight labor market, desperate employers from across the country are beginning to use remote workplace technology to poach workers from the Sooner State”.
We spoke with experts in our company, and this is what they had to say:
Andrew Gulovsen, our CMO, states that as labor challenges continue to affect our industry, the primary goal is to be able to find qualified talent that can serve the business need. He continues by saying that historically that was sourced locally, then regionally, but now we need to be open to securing the best possible talent across borders and across the globe. He argues that the combination of innate skills, behavior and focus, aligned with proper training allows for a wider pool of talent from…anywhere! He concludes by saying that geographic limitations continue to be reduced through technology. The world is flatter and smaller than ever before, and businesses can take advantage of the global nature of diversity to strengthen their competitive advantage and grow, in spite of the local obstacles.
Carolina Muñoz, Sales Team Leader at Hubtek thinks that the logistics industry has been affected in several ways – a labor shortage, falling unemployment rates, and rising wages. She states that brokerages, especially, are having a lot of trouble finding Pricing Analysts, Carrier Sales Reps, and Shipper Sales Reps, just to name a few. They are harder to find and more expensive. The good old days of finding the right talent in a heartbeat are gone; but the good news is that you can still implement different strategies to fight a tight labor market.
She argues that one lesson we learned from the pandemic is regarding remote work; that a company can successfully operate with remote talent. Many logistics companies have implemented nearshoring/offshoring as part of a low-cost, low-risk strategy to grow. This allows companies to find great bilingual talent to perform entry level, or even senior level, positions.
She concludes by saying that some companies are uneasy about handing complex/senior-level tasks to people outside of their own facilities. The good news is that you can give those nearshore employees simpler tasks like track and trace, dispatch, truck finding, data entry, cold calling, or POD retrieving that’ll cost you a fraction of the cost of hiring locally. This will lighten the workload for the already trained and trustworthy people that are sitting in your office and will allow you to transfer them to more complex positions, building a career path for them within the same organization and keeping them from leaving to the next brokerage.
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