Recruitment challenges within the logistics sector
The Logistics sector is facing recruitment challenges, as evidenced by the latest Quarterly Recruitment Outlook (QRO) from the British Chambers of Commerce (BCC) Insights Unit. The second quarter (Q2) of this year has seen recruitment difficulties skyrocket, with 79% of firms in the transport and logistics sector struggling to find suitable staff. This is a notable increase from the 66% reported in the first quarter (Q1).
Understanding the Recruitment Crisis
Jane Gratton, BCC Deputy Director of Public Policy, expressed deep concern over these findings, stating, “It’s alarming that recruitment difficulties have increased in recent months across all sectors.” The logistics sector, vital for the seamless operation of supply chains, is feeling the pinch due to people shortages and rising labour costs.
Strategies to Overcome Recruitment Challenges
To address these challenges, Logistics firms and recruitment businesses recruiting for the Logistics sector need to adopt a multi-faceted approach:
- Boost Workforce Training: There was a slight increase in firms investing in staff training in Q2 (28%, up from 26% in Q1), there’s a need for greater focus on continuous professional development. Training offered as a company benefit improves employee retention and enhances overall operational efficiency.
- Strengthen Recruitment Efforts: Adopting data-driven recruitment strategies can help identify and attract the right talent. Investment in advanced recruitment technologies and platforms can streamline the hiring process and reduce time-to-hire.
- Promote Career Growth: Offering clear career progression paths can make logistics roles more attractive. Highlighting opportunities for advancement within the company can help retain top talent.
- Collaborate with Educational Institutions: Partnering with schools, colleges, and universities can create a steady and diverse pipeline of skilled workers. Internship programs and apprenticeships can introduce young talent to the industry early on.
- Attract and empower diverse candidates: Studies show that diverse candidates can bring diverse skills adding value to your teams – essentially contributing to business growth.
Labour costs and their impact
Labour costs remain a critical issue, with 67% of firms across all sectors indicating they might have to raise prices as a result. In the logistics sector, this pressure is significant, as firms balance the need to attract talent with the imperative to manage costs.
Daniella Goodwin, Director of Logistics and Supply Chain
Daniella has been working closely with our specialist team on designing a strategy to better support our clients through these challenging times and this is the advice Daniella has for employers:
“To combat recruitment challenges within logistics, it’s crucial that we adapt quickly and strategically. Along with enhancing workforce training, adopting advanced recruitment technologies and offering clear career progression opportunities - Equality, Inclusion and Diversity must be implemented within the hiring process, onboarding and to retain the best people.
Additionally, fostering partnerships with educational institutions can help build a robust and innovative talent pipeline, ensuring long-term success in this competitive market."
If you’d like to start the conversation today, please don’t hesitate to reach out to Daniella Goodwin, Director of Logistics and Supply Chain to find out more.
Need support with hiring the right skills?
Our Logistics Team is proud to work in partnership with many well renowned global businesses within the Logistics and Supply Chain sector. We have multiple Managed Service Provider (MSP) agreements and are a ‘Partner of Choice’ for their recruitment needs.
With over 30 years’ experience in recruitment we have curated a solution to hiring challenges within the market. We are successful in sourcing top-tier specialist talent through inclusive recruitment giving you a poll of diverse candidates.
What do our clients say about us?
“Outsource UK offer unrivalled Logistics sector expertise and it was for this reason that after many years of them consistently being our top performing supplier we made the straight forward decision in 2019 to appoint them as our outsourced talent partner.
They have provided a Programme Manager who is accountable for ensuring the smooth running of the service and supplement this with industry leading recruiters who are true subject matter experts in their field. Their proactive approach to sourcing and headhunting niche talent is from my experience without parallel.
The success of the partnership is such that in January 2022 we awarded them with a significant contract extension. Their professional yet personable approach and can-do attitude sets them apart from would be competitors and they can be relied upon to deliver on their promises.”
Resource Manager, DHL
“We are delighted with decision we made to appoint Outsource as our end-end talent solution provider.
They have proven themselves to be an agile and solutions orientated partner. Whilst providing a dedicated account team, we benefit from working with a single point of contact. I have no hesitation in recommending Outsource.”
HR Director, Wincanton Plc
We have a dedicated Logistics Specialist Team who create tailored candidate talent pools alongside forward-thinking solutions to allow our partners to plan for the now, tomorrow and the future. Our team not only curates specialist talent but ensures every aspect of our service is tailored to you.