The Last Word: Solving Workforce Challenges

Workforce challenges in the transportation industry reflect what other sectors are facing to keep business moving.

With drivers wanting to be at home more often, Hammer Lane needed to adjust. The previous shipment schedule caused turnover in drivers. That resulted in more time spent recruiting new drivers and training them, only to lose a couple of drivers a few months later. A change in shipping schedules solved the problem and increased profitability.

Hammer Lane Truck Lines met with their client, a major company in the agricultural industry, and proposed a change in routes.

That route change allowed for drivers to come home every night. Turnover went to near zero in 2022 and so far, revenue is up with more deliveries. Not to mention the positive financial effect of not having to invest dollars and time for recruitment and training.

Workforce Challenges
Hauling primarily agricultural products, Hammer Lane Truck Line adjusted its customer service to retain qualified truck drivers. (Photo: David Gaines)

The same type of adjustments to provide employees with a better work-life balance is working in our portions of the transportation industry.

STLF Diesel Repair provides maintenance services to a variety of trucking firms, farmers, and other companies with a small truck fleet. As their service business grew and more customers sent more trucks to be serviced, STLF Diesel Repair added mechanics. They extended the hours of operations on the shop floor by adding a second shift with alternating Saturdays.

Truck mechanics are like truck drivers, welders, machine operators, or office workers. They have experience and talent, and the competition to recruit them and keep them from leaving for greener pastures is high.

For STLF Diesel Repair with mechanics working in an unairconditioned facility, it was not all about pay. They were competitive with the big truck manufacturer’s dealerships. It had to do something else to retain the talent it needed to have the expansion be a success.

A shift in work hours was the answer. Management moved to two shifts consisting of three, 12-hour shifts per week, and paid the employees for a full 40-hour work week. They rotate the shifts every three months, so no one shift was always scheduled on the weekend. That got the employee’s attention. Absenteeism went down and the turnaround time for the work also decreased as there was no longer a lag between mechanics changing positions in the middle of a job for a customer.

Company management took it a few steps further to address how all employees across the entire organization are treated. A soft serve ice cream machine was installed in the break room. On top of that, twice a month, it is barbecue day, and the management team cooks for employees at lunchtime.

Perks like these have become a bit more important when ensuring employees enjoy working for the company.

Recent data released by the United States Bureau of Labor Statistics (BLS) show the unemployment rate continues to decrease. The labor market continues to show tightness in the availability of workers. For the foreseeable future, employers are going to have to compete for talent.

Employers across a variety of industry sectors are working to figure out how to deal with workforce changes. Remote work for what was traditionally office-based employees is becoming the norm. Technology allows the work to be completed from anywhere. Manufactures are using staggered starting times to meet schedule needs. Some employers are offering daycare support.

Finding Tech Talent

Where tech talent is concentrated is one of the most influential factors in the potential growth of the industry in a region. Read more…

It is not all about the pay. Oh sure, some workers just want to know what the pay is for the job. Those employees do not seem to stay long with a company. Employees that are looking to be a meaningful part of a team that operates with precision are the type that employers want. Making changes in how those employees work can make a difference to the bottom line. Reducing time in recruiting talent, reduced time in training newly hired employees, and the lost productivity when good employees leave for another opportunity can have a positive effect on management.

David Gaines is the Managing Director and Founder of Goldstone Consulting Group, LLC, an international site selection and economic development firm based in Moberly, MO. Services include location analysis, strategic plan development, incentive negotiation and implementation, corporate real estate services and project feasibility studies. 

Read more about workforce development and corporate expansion here.