A key element in the recycling industry is developing an efficient order of operations so that the process runs smoothly and clients are satisfied. For this to occur adequate labor is required for every step of the process to ensure deadlines are met. However, labor shortages in the trucking industry along with warehouse staffing are causing concern for ITAD and reverse logistics companies.
The trucker shortage in America has been ongoing for years now, but has increased during the last few years. As a result of the COVID-19 outbreak in early 2020, many businesses were forced to shut down, creating thousands of furloughs. To assist the economy during this time, the government issued aid to keep families afloat, but the rise in unemployment benefits coupled with the second strand of the virus has created a reluctance in the country to return to work. So what does this mean for the recycling industry?
The Manager of Global Accounts and Transportation at HOBI’s Botavia office, Dean Snitker, explained the effects of the trucker shortage stating that due to supply shortage of labor, costs of services have increased, project times have been delayed and transportation has slowed. He also suggested using emerging technology to create in-house solutions in order to increase efficiency within the industry.
HOBI’s Vice Presidentof Operations in the Dallas office, Don Simms, says the labor shortage is affecting the industry in two major ways. Companies are experiencing increased lead times to acquire new talent both as direct hires or contract labor, which has slowed the hiring process, and ITAD companies are having to reevaluate compensation levels for some positions. These issues are seen more often at the production floor level. He also explained that it is necessary to redouble efforts to cross-train employees in order to cover the increased lead times in finding replacements for workers that leave or to cover growth.
His solution is simple, “If people feel they are being compensated fairly, have a good work environment, opportunities to improve, and most importantly believe they are valued, they will stay and others will come.”
HOBI International Inc. has taken steps to maintain efficiency and smooth operations during this critical time. Our hope is that the world is able to return to normal as soon as possible, and people feel comfortable enough to return to the workforce.
For more information about our ITAD services, call 877-814-2620 or contact HOBI at email@example.com.