For HR professionals and business leaders in the manufacturing sector, keeping up with the array of compliance regulations and safety issues has always been challenging. But with unemployment at an all-time low, attracting skilled workers has overwhelmingly become the top concern for manufacturers. In fact, the Manufacturing Institute and Deloitte report that 22% of skilled manufacturing workers are slated to depart the workforce within the next decade. And with experts estimating that a total of 3.4 million workers will be needed to enter the industry over the next ten years, finding new ways to improve the recruiting process and attract top talent will become more important than ever.
In this article, we’ll take a closer look at these challenges and what human resources teams can do to overcome them.
Manufacturing Recruitment – Finding Needles in a Haystack
Let’s start with the elephant in the room: attracting and hiring skilled workers. A second Deloitte study found that manufacturers reported skill deficiencies within the following areas:
- Technology and computer skills
- Problem-solving
- Basic technical training
- Math skills
As the workforce shrinks and candidates with these specialized skills grow tougher to find, companies are forced to get serious about their recruitment strategy or risk losing the ideal candidate to the competition.
Applicant tracking systems can assist manufacturers with all aspects of the hiring process by improving efficiency, creating a better candidate experience and offering the necessary data to help drive better decisions. Instead of wasting hours sorting through paper resumes or an email inbox, recruiters and hiring managers can have instant access to the data and information they need to make quick and informed hiring decisions. Applicant tracking technology can also help source candidates for future positions and provide a pipeline of desirable candidates to help employers from struggling to fill roles with unqualified talent. And with younger, tech-savvy applicants applying for jobs, offering an easy, mobile user experience when searching for and applying is not just a nice to have, it’s mandatory.
Pro Tip: If you’re in the market for a technology partner, look for one that offers functionality to help identify candidates that qualify for Work Opportunity Tax Credits (WOTC). Hiring tax credits can help an organization save up to $9,600 per employee hired through WOTC.
Retaining Your Dream Employee
What’s the point of wowing top talent if they don’t stick around? Giving new hires a memorable onboarding experience is the first step to improving retention and increasing productivity. Since the manufacturing industry requires technical work, providing the necessary training and on-going development from day one is paramount. Employers should also consider pairing a new hire with an experienced onboarding mentor who can help guide them through the transition. Establishing strong connections between colleagues is a critical first step in alleviating the fears and concerns that come with starting a new role. To learn more best practices for onboarding new hires, review our onboarding checklist.
Based on recent turnover rates, it’s also clear that the new crop of employees entering today’s workforce are deciding during their first few weeks if the position is the right fit. Facilitating a fast and productive start from day one by setting clear expectations, providing consistent communication and offering effective training programs greatly enhances the chances of engaging and retaining them.
Compliance is Complex
Manufacturers are faced with strict compliance regulations when it comes to accurately tracking hours and properly classifying employees. Throw in the complexities of managing union payroll, and ensuring workplace safety, manufacturers have a lot of compliance-related nuances to manage. That’s why finding the right technology to help manage compliance across the employee lifecycle is a critical step to prevent the business from falling victim to potentially costly mistakes.
Not only can a unified HR & payroll system accurately manage union deductions and tax filings, but it can offer learning management tools to train and develop employees while ensuring that the proper HR documents like employee handbooks, OHSA forms and certifications are signed, up-to-date and stored in one convenient and accessible location.
Manufacturers Trust Paycor
For 30 years, we’ve earned the trust of manufacturers by providing the right HR technology and dedicated industry expertise to help manufacturers recruit, develop, manage and retain their people. Click here to learn more about how our unique combination of technology and expertise helps manufacturing clients streamline every aspect of people management so they can focus on what they know best – their business.
