It’s no secret that today’s local labor market is a tight one and that the common blame lies on the Covid-19 pandemic. From the beginning of the pandemic to the present day, employee expectations have shifted and employers are finding themselves having to rewrite benefits and practices, especially among hourly workers. With so many individuals leaving their current employment, some have referred to our current times as “The Great Resignation.”
What is The Great Resignation?
When we take a closer look at the local labor markets and the number of people leaving their current place of work, there are a lot of factors contributing to this phenomenon. According to NACS webinar “The Hiring Landscape” as of April 2021, 2.7% or 4 million people quit their current job. Additionally, a Microsoft survey reported 41% of workers globally are considering leaving their current employer. Why you ask? Well, as we drill down into these numbers and the labor force that makes up these statistics, there are a few things to consider:
- Unemployment benefits vs wages. According to the New York Times, pre-Covid the unemployment wages were equal to $9.30/hour. Post-Covid, the wages coming from unemployment benefits, came out to $24.30/hour.
- The exit of the Boomer Generation. Individuals that fall into the “baby boomer” generation have reached retirement age and are moving into their next phase of life. This makes up for a large number of people who were in the workforce who are no longer working.
- Post-Covid realization. After a traumatizing and difficult year, people are reevaluating their idea of what work is and what career path they want to pursue. Expectations have changed and the idea of remote work with flexibility is at the forefront of job seekers’ minds.
A slight sliver of hope lies in the fact that we have seen this before. Back in 2008-2009, during The Great Recession, numbers like this populated headlines and news features everywhere we looked. It is possible to come back from this and we have done it once; we can and will do it again.
Among the many numbers and statistics, we see surrounding unemployment, the less educated are getting hit the hardest. Individuals with no high school diploma or high school/college-age students took a hard hit, but research shows that they are also the group to be recovering the quickest. This is good news for the C-Store industry, as we employ front-line workers and have many hourly employees, including (but not limited to) teenagers. It is noted, however, that among this age group, one of the biggest concerns is understaffing and having to work when they thought they wouldn’t have to. This can create hiring struggles and turnover problems that can result in a vicious cycle.
Gen Z’s Top 10
As we look at this younger generation, employers need to account for their concerns and focus on what they’re looking for when choosing a job. When asked what the most important aspects of a new position are, these were the results from most important to least important:
- Flexibility
- Peer Coaching
- Teamwork
- Diversity
- Work-Life Balance
- Development
- Growth
- Social Awareness
- Mentorships
- Job Rotation
Source: SHRM
Among hourly workers, LinkedIn reports that 87% of hourly workers feel they should receive the same benefits as salaried workers. Although in the C-Store industry this isn’t always feasible, compensating as close as possible across the board can help with hiring.
Where to Find this Talent and How to Keep Them
As the Gen Z population is recovering the quickest from the effects of Covid-19, marketing new job opportunities to them are strategic and smart to building up staff. However, employers need to re-think their approach to finding these employees. Offering competitive wages is the first way to hook talent. Then, offering flexibility as it is rated first on the list of importance. Reconfigure schedules to meet the needs of the employee to the best of your ability.
Culture
Most of this group finds jobs through word-of-mouth or by a family member or friend. One of the best ways to recruit is by building your reputation as an employer. The employee experience equates directly to the customer experience. If an employee is happy in their position and their needs are met, they are more likely to display loyalty and excellent customer service to the consumers. Not only that, but they will tell friends and family about their job experience and that is how word-of-mouth begins to travel. Creating the culture employees find satisfying is a critical component to not only finding new talent but keeping the talent you have.
Learning From Others
Start with some of your tenured workers and conduct a “stay” interview. Like an exit interview, but asking, instead, “why do you stay?” Capitalize on these insights and create more examples that make your staff continue with the company. Most employees are looking for a “work family,” meaning a group of people they can count on, enjoy, and feel comfortable with. Creating this environment helps to obtain new talent and keep existing talent. Don’t be afraid to ask yourself “what experience are you creating for your employees?”
How We Can Help
At Quantum Services, we provide C-Store specialty inventory auditing. We can help relieve your staff of additional tasks that may compromise flexibility and hours. Our team can take all the inventory responsibility off your hands AND provide accurate reporting to make management and staff’s focus be on customer satisfaction and store success. Contact us today to inquire about our services and how we can help fill the local labor market gap and change the course of The Great Resignation.