No remote possibilities: How manufacturers navigate hiring shortages

The manufacturing industry was hit hard by the COVID-19 pandemic, with roughly 1.4 million US manufacturing jobs lost when lockdowns first came into effect. A tight job market and fierce hiring competition with other industries have caused a labor shortage that could prove problematic for businesses.

Studies show that 77% of employers in the manufacturing sector still struggle to attract and retain talent, despite perceptions of manufacturing careers improving among the existing workforce and parents. So, what exactly can manufacturing companies do to continue growing?

Hire people faster

Your hiring process could be one of the reasons you struggle to find the right manufacturing talent. Is your recruitment pipeline too long? How long does each step in your hiring process take? What are common hurdles that could be discouraging applicants? These are all important questions to ask when evaluating the efficiency of your recruitment process.

Take things a step further by detecting which candidate filters are no longer needed. For example, you may benefit from removing background checks and professional references where they’re not strictly necessary. Small tweaks like this can make your hiring process much more agile and in turn more pleasant for candidates.

Leverage upskilling

Planning for future labor shortages is best done with effective upskilling initiatives. By investing in talented employees, you can prepare them for a long career path in your organization and nurture entry-level workers for skilled or managerial positions in the future.

Upskilling programs can include on-the-job mentoring and training, constant equipment training, and skills qualifications. By doing this, you also increase employee retention and loyalty, with reports indicating that 94% of employees would stay longer at a company that invests in their career.

Be flexible when you can't be remote

Not all manufacturing roles are suitable for remote or hybrid work, but offering flexible schedules can go a long way in attracting candidates and retaining talented employees. This is supported by a recent study showing that 68% of manufacturing employees decided to stay with their current employer due to the job fitting well with their other life demands.

Employee expectations have changed drastically over the last two years, so including flexible work arrangements like shift trading and voluntary overtime as part of your compensation package is likely to attract more candidates and help you avoid a worker shortage.

Recruit retirees

There is a potential source of new employees that some manufacturing companies may not have considered: retirees. Over 40% of manufacturers say they’ve been able to capitalize on the talent and experience of their older employees to a great extent, proving them to be a highly valuable part of the manufacturing workforce. It can start with recruitment, but retention needs to be a part of your HR strategy. Offer technical training programs internally and provide flexible work schedules. Also, employers can make a point of keeping older workers engaged by encouraging them to join internal committees and take an active role in your organization.

Offer productivity bonuses

Bonuses are an excellent way to reward employees for meeting or exceeding production goals, improving safety standards, or reducing waste. An added advantage is that they are highly attractive to job-seekers. By offering incentives to employees, companies may be able to effectively compete for candidates with other employers.

In addition, performance-based bonuses can help your retention rates by ensuring that employees feel valued. If your organization is unable to offer cash bonuses, paid time off, profit sharing, or increased access to flexible work schedules are also powerful motivators!

Diversify talent

Women in manufacturing are 1.8 times more likely to leave the industry compared to their male counterparts, highlighting an urgent need for more diversity and inclusion measures in the sector. By adopting more inclusive hiring practices and actively hiring women, people of color, veterans, and those from underrepresented groups, employers can tap into a much wider talent pool. Plus, D&I initiatives in the workplace are proven to improve the retention of current employees. By embracing policies that welcome everyone to your ranks, you’ll improve your employer brand, increase loyalty, and reduce turnover.

When you're looking for top talent, even during a hiring shortage, Adecco can help. Contact us today to find out how our experts can grow your manufacturing team.