Employers are likely to come under increasing pressure to increase wages as strong labour demand continues to fuel recruitment and retention pressures for more employers, the latest quarterly survey by the CIPD in partnership with Adecco, has revealed.
Particularly concerning for logistics, where many companies are reliant on workers from other countries, is the finding that the number of non-UK-born workers in employment in the UK fell by 58,000 in the 12 months to June 2018 compared with an increase of 263,000 in the 12 months to June 2017.
Perhaps surprisingly, it found that “this labour supply shock is largely driven by non-EU-born citizens. The number of non-EU-born workers in employment in the UK fell by 40,000 in the 12 months to June 2018 compared with an increase of 225,000 in the 12 months to June 2017.”
But it warned that the reduction in labour supply looks set to be constrained further by the introduction of migration restrictions on EU citizens.
The survey also found that just over a third of employers are now finding it has become more difficult to retain staff – just three months ago the equivalent figure was just over a quarter.
Many logistics organisations are already finding it difficult to recruit and retain workers, and this survey suggests that the trend is for it to worsen.
If companies are not going to be able get the people they need, then perhaps it is time to consider the alternatives – notably the automation and robotics technologies that are developing so rapidly.