Executive Briefings

As Holidays Near, Retailers Struggle to Hire Warehouse Labor

Retailers are already planning for the busy holiday shopping season, and there could be a complication this year. As the unemployment rate drops, stores are having a hard time finding workers for their warehouses. They've ordered all kinds of new stuff for the holidays, but it's stuck in a bottleneck.

As Holidays Near, Retailers Struggle to Hire Warehouse Labor

"If people are struggling right now to bring stuff into the warehouse, then they're definitely going to have a problem when it comes to getting it out," says Frank Layo, a partner and retail strategist at Kurt Salmon.

Layo says he’s heard from a couple dozen major retailers, who are scrambling to find warehouse workers. They’ll need to double or even quadruple their warehouse staff over the next few months. To send products to stores, but also to ship online orders. Layo says retailers tell him they’re competing for workers who have lots of other job options, like Uber.

“The younger workforce is more interested in working on their terms, doing something that they find to be more interesting than packing boxes in a warehouse,” Layo says.

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"If people are struggling right now to bring stuff into the warehouse, then they're definitely going to have a problem when it comes to getting it out," says Frank Layo, a partner and retail strategist at Kurt Salmon.

Layo says he’s heard from a couple dozen major retailers, who are scrambling to find warehouse workers. They’ll need to double or even quadruple their warehouse staff over the next few months. To send products to stores, but also to ship online orders. Layo says retailers tell him they’re competing for workers who have lots of other job options, like Uber.

“The younger workforce is more interested in working on their terms, doing something that they find to be more interesting than packing boxes in a warehouse,” Layo says.

Read Full Article

As Holidays Near, Retailers Struggle to Hire Warehouse Labor