What We’re Seeing Now – Unemployment

The Wall Street Journal recently reported 5,400 jobs added last month for warehouse and storage companies. This data matches what we’re seeing in the distribution companies we work with across the U.S. The substantial growth in e-commerce is pushing companies to open more fulfillment centers to meet consumers’ increasing expectations for speedy delivery.

It’s becoming even more important for companies to find ways to improve employee retention, speed up training, and increase productivity in the warehouse and distribution industry. Brian Devine, senior vice president of logistics-staffing firm ProLogistix, said he is seeing “huge growth” for logistics and e-commerce workers. “There are not enough workers in those markets,” Mr. Devine said. “The unemployment rate is so low that it’s difficult for us to fill those positions.” Retaining talent is critical to keep costs down. Use of technology, such as voice, is one way to increase employee retention.

MarketWatch reported unemployment rates slipped to 3.6%, a 49-year low, across the U.S. As we’re seeing in the sites we’re visiting, the need to get new hires up to speed quickly is a driving force behind the adoption of new technologies. Also, the increased productivity realized with workflow optimization and technology investments is helping combat the continued increase in labor costs. Brian Devine went on to share that the average wage for ProLogistix workers jumped 6.8% in April from the same month a year ago.

Identifying ways to improve retention, speed up training, and increase productivity is on the minds of the leaders we’re meeting with across all industries. Our workflow expertise and technology offerings are helping in hundreds of DCs around the country.

What We’re Seeing Now – Unemployment