Podcast: Investing in warehouse worker satisfaction pays off for manufacturers

Oct. 1, 2024

In this episode of Great Question: A Manufacturing Podcast, learn why attracting and retaining warehouse workers has become increasingly challenging.

John O'Kelly is the founder and CEO of Newcastle Systems, which provides workplace mobility solutions to enhance worker productivity, operational efficiency, and organizational profitability. The company recently released its 2024 Worker Satisfaction Survey, titled “What Makes a Warehouse Worker Happy?” John analyzed the findings from that report in a recent article for Material Handling and Logistics (MH&L) called “Key Insights into Retaining Warehouse Workers.” In this episode of Great Question: A Manufacturing Podcast, Adrienne Selko, senior editor for MH&L, shares John's thoughts on improving employee morale and creating a supportive culture to maintain a stable workforce in logistics.

Below is an excerpt from the podcast:

Attracting and retaining warehouse workers has been a growing challenge for manufacturers and business leaders for more than a decade. While technological innovations such as automation and artificial intelligence (AI) are rapidly transforming the logistics industry, the human element remains irreplaceable in warehouse operations.

And while automation holds promise, it is currently not the silver bullet many believe it to be. It's especially difficult to automate every process in warehousing, where the flow of goods and the shapes of packages vary, underscoring a critical realization: no matter how advanced technology becomes, warehouses will always require human labor for specific tasks.

In today’s landscape, where labor shortages are felt across multiple sectors, the importance of creating a positive work environment and retaining employees cannot be overstated.

Companies must move beyond surface-level solutions like increasing wages and focus on fostering deeper engagement, providing technological tools that enhance productivity and worker satisfaction, and cultivating a culture that makes employees feel valued. Without these elements, the already challenging labor market will become even more difficult to navigate.

One of the most pressing issues in today’s warehousing industry is the struggle to fill positions and hold onto employees. The difficulty, particularly when attracting younger workers, stems from various factors. Warehouse work is often physically taxing, sometimes monotonous, and can involve harsh working conditions, such as extreme temperatures and manual labor.

The key question for business leaders isn’t just how to attract workers but how to retain them in an industry often perceived as physically demanding and less appealing. Warehouse jobs can be dirty and hard work. For younger workers, there are simply other lines of work that they find more appealing, less physically demanding, and offer more immediate satisfaction. This means that the industry needs to focus on attracting and retaining workers by addressing the factors contributing to job dissatisfaction and high turnover.

About the Podcast
Great Question: A Manufacturing Podcast offers news and information for the people who make, store and move things and those who manage and maintain the facilities where that work gets done. Manufacturers from chemical producers to automakers to machine shops can listen for critical insights into the technologies, economic conditions and best practices that can influence how to best run facilities to reach operational excellence.