Data Shows Carriers Are Offering More Than Pay To Attract Workers
It has become increasingly difficult for carriers to attract and retain workers. While upping the salary may seem like the easy solution, it’s only a small piece of the puzzle. Shipping companies around the globe work tirelessly to put all the pieces together. Today’s article will go over some of the methods carrier companies are using to attract new workers and, more importantly, keep them around.
Why Is The Market So Difficult Right Now?
It’s no secret, it’s currently a difficult market for employers, and the coronavirus pandemic has only made it more difficult. Freight and shipping demand has been astronomically high, but there aren’t enough workers to meet the demand. Experts believe pay has a lot to do with the labor shortage, but worker benefits and workplace environment all play a significant role as well.
Increasing the pay may be enough to get new workers in the door, but it’s not enough to keep them around. Carrier companies with a toxic work environment or with minimal benefits will experience high turnover rates. It’s easy to blame pay for the labor shortage, but data shows more complex issues.
What Does the Data Show?
According to a Professional Driver Agency (PDA) second-quarter driver data report, pay isn’t even the biggest concern for truck drivers. 34% of drivers mention equipment as the most important issue, 24% mention compensation, 13% mention operations, and 9% mention home time. Understanding the root cause of these shortages can help shipping companies address the issues.
Drivers who deal with equipment issues may have to watch from the sideline as their vehicle sits in the shop waiting for repairs. These equipment issues cost the driver money in the long run, as they cannot log the miles. While compensation is important, a salary increase is meaningless if the worker can’t do the work that gets them paid.
The first thing that grabs a potential employee’s attention is the salary, but the benefits can seal the deal. Most employees list benefits, insurance, and fair treatment as reasons they stick around. A low turnover rate is critical if you’re focused on meeting your client’s time-critical shipping needs. Workers treating your place of business like a revolving door makes it difficult to handle logistics because you’re constantly worried about hiring new employees.
Focusing on benefits can help retain employees. Good insurance, retirement plans, PTO, flexible hours, and financial planning resources are all benefits that can keep an employee around long term. Anyone can offer a penny more than the rival company down the road, but benefits can help an employer stand out.
Workers want to be treated with respect. You can offer the highest salary in the world, but a toxic workplace environment is enough to drag anyone down. This is why workers list employee treatment as a big reason why they leave companies. Fleetmaster Chief Operating Officer Travis Smith told TT News, “We probably put more resources toward creature comforts, quality of life and driver satisfaction than what we do on pay.”
Part of treating workers with respect is ensuring they have the tools necessary to do their job. It’s the employer’s responsibility to ensure workers are well-equipped and prepared to handle their job.
Trifecta Can Help With Your Logistics Needs
The pandemic and resulting labor shortage have made life difficult for everyone. As a result, handling your logistics has never been more challenging. That’s why our team at Trifecta Transport is here to help. Our dedicated team works to manage the entire life cycle of your shipment, eliminating the need for you to contact multiple carriers yourself. Contact us today to find out how we can help make your life easier.