As the busy season looms, UK warehouses face a labour shortage crisis. Skilled labour is in short supply, and it’s hitting the industry hard with delays in the supply chain and added stress on businesses. In this article, we’ll dive into the reasons behind worker shortages and how they affect the warehouse sector.
What’s Causing the Warehouse Labour Shortage?
The main culprit behind the UK’s warehouse worker shortage is a severe lack of skilled workers. Many leave the industry for better-paying gigs, resulting in fewer experienced hands on deck. For example, one client of Clarus WMS lost over 20% of their workforce to higher-paying jobs in other industries within the past year.
Brexit hasn’t helped either, making it tougher for UK businesses to recruit workers from the EU. Data from the Office for National Statistics show a whopping 75% drop in EU net migration to the UK since the Brexit vote.
On top of all that, automation is on the rise in the industry. As technology advances, machines take over many manual tasks, meaning fewer human workers are needed in warehouses.
How It’s Hitting the Warehouse Industry
The skilled worker shortage is shaking up the warehouse industry in a big way. Businesses are dealing with supply chain delays as they scramble to find enough workers to meet demand. Clarus’s clients have shared stories of disruptions in the industry, with some even having to turn customers away due to a lack of available workers.
To make matters worse, the labour shortage forces businesses to cough up higher wages to lure in workers. The Recruitment and Employment Confederation (REC) reveals that average pay for temporary warehouse staff jumped 8.6% last year. With costs rising, it’s a challenge for businesses to stay competitive.
Tackling the Labour Shortage: A Two-Pronged Approach
To combat the worker shortage in the warehouse industry, businesses must take a two-fold approach. First, investing in automation technology can help replace manual tasks, reducing the reliance on human workers. This will also boost efficiency and productivity in the industry.
Second, businesses should focus on training and development programs to attract and keep workers. This might involve offering competitive wages, dishing out benefits, and creating opportunities for career growth. One Clarus client who rolled out a comprehensive training program saw a 30% drop in employee turnover within six months.
By investing in their workforce, businesses can attract the skilled workers they need to meet demand and stay competitive.
The Bottom Line
Labour shortages in UK warehouses are wreaking havoc on the industry, causing supply chain delays and straining businesses. Companies need to invest in automation technology and training and development programs to tackle this issue. These steps can boost efficiency and secure the skilled workers necessary to keep up with demand during peak season and beyond.
Don’t let the skilled worker shortage hinder your warehouse operations. Clarus WMS is your key to overcoming these challenges with cutting-edge workflow automation. Our innovative solutions streamline processes, reduce human error, and boost productivity, giving you the competitive edge you need. Say goodbye to disruptions and embrace efficiency by partnering with Clarus WMS. Ready to transform your warehouse operations? Request a demo today to discover how Clarus WMS can revolutionise your business and keep you ahead in the ever-changing warehouse industry. Act now and unlock the full potential of workflow automation!