Skilled Worker Shortage Threatens Manufacturers’ Productivity

American manufacturers are turning away lucrative business
because they can’t attract or retain enough qualified
workers. Productivity diminishes when there are not enough
skilled employees, and the situation convinces “ or forces
“ many employers to lower their hiring standards while
simultaneously canceling profitable contracts.

The Jacksonville Business Journal, for example, recently
reported that Atlantic Marine Holding Company in Florida
has passed up millions of dollars worth of new business due
to a lack of productivity based on too few employees. As
alarming as that might sound, the incident is not an
isolated one. Businesses across the manufacturing sector
are experiencing significant shortages and rates of
attrition that directly affect the bottom line. In fact, a
recent survey by the Manufacturing Institute, the research
arm of the Washington D.C. based Manufacturers, revealed that 90% of manufacturers report a moderate to severe shortage of qualified skilled production employees.

5 Proven Ways to Attract and Keep Quality Employees

To overcome this challenge, manufacturers need to take a
vigorous and proactive approach.

Here are 5 ways to attract quality employees and retain
those you have already trained:

Use dynamic marketing techniques.

Posting a dry job description is no longer enough to
attract good candidates. Don’t view hiring opportunities as
mere job postings but instead approach them like an
advertising campaign. Use the expertise and creativity of
your marketing team and employ direct response writing
techniques to improve your response rates.

Offer job candidates a unique, exciting experience.

Differentiate yourself with recruiting orientation videos,
testimonials from satisfied employees, opportunities for
candidates to meet your CEO, or by making the interview
process fun and interactive. After an interview, people
should desperately want to get the job because of the
culture you present to them.

Tap into the growing pool of talent in the Hispanic
population.

Companies are struggling to find enough bilingual workers
to meet the demand of an increasing Hispanic customer base.
Growing your Hispanic employee demographic may take a
little work but will yield huge rewards. Begin by creating
a bilingual recruiting staff, advertise appropriately, and
develop alliances with local ESL (English as a Second
Language) programs at colleges and universities.

Remember the platinum rule: “Treat others the way they
would like to be treated.”

Employee benefits don’t have to end with insurance. Your
total benefits package should include a wide variety of
both traditional and non-traditional vehicles for offering
employees the kinds of benefits they will value and
appreciate.

For example, free dry cleaning pickup or fitness center
discounts can be negotiated by an employer and then passed
along to grateful employees. Higher-end benefits might
include on-site childcare or medical clinics. Whatever your
strategy or budget, the goal of an employee benefits
package should be improved morale, increased loyalty and
attraction, and high marks for worker satisfaction.

Institute a Wellness Program.

A NASA study revealed that employees who participate in an
exercise program average a 12.5% increase in productivity.
Healthy employees are happier, take fewer days off for
illness, and are more focused and productive. And national
statistics show that employers save three dollars for every
dollar they invest in a Wellness Program. In other words,
if you do not have a Wellness Program, you are not only
losing good employees and productivity, but you are
ignoring an investment with a proven 200 percent return.

Recent research conducted by the National Association of Manufacturers revealed that more than 30 percent of
manufacturing companies in the United States have good jobs
that remain unfilled due to a lack of qualified applicants.
This should come as no surprise, as the Bureau of Labor and
Statistics has reported similar trends affecting virtually
every industry in the nation.

When MetLife conducted its 2007 national survey, employers
were asked what they most hoped to achieve when offering
benefits to workers. A strong majority of respondents cited
“retaining employees” as their top priority, ranking it
higher than cost savings. After all, it may cost money to
provide attractive benefits, but the investment is only a
fraction of what it costs to attract and train new workers.

The choice is yours “ you can spend time and money to
strategically ensure your success, or you can follow the
status quo as your earnings, profitability, and future
business dwindles “ along with your qualified workforce and
manufacturing productivity. As the labor shortage
continues, buck the trend and attract top talent by
initiating programs that not only counteract attrition, but
also get your satisfied employees talking and recommending
your company to their friends and colleagues.

—————————————————-
Mike Nacke helps growing manufacturers to attract and
retain top talent, improve productivity and employee
morale, and reduce absenteeism.  He is also the host of
Employee Magnetism, the talk show that offers practical
advice on employee retention and attraction strategies from
some of the nation’s top experts.
For more information, visit http://www.mikenacke.com