For the first time in over a decade there are more open jobs than there are available workers, increasing the competition for job seekers who now have their choice of employers. In response, wages are rising, as are the expectations and confidence of the blue-collar workforce.
To get quality manufacturing talent in this tight recruiting landscape, employers must offer a competitive wage. In our Voice of the Blue-Collar Worker survey employees indicated that pay is the number one reason why they accept a job.
It's important to stay competitive in the marketplace or risk losing good employees to a competitor.
Our survey also showed that 72% of workers left a job for a different position that paid more than $2.00 more per hour, with 15% leaving for $1.00-$2.00 more per hour.
At ResourceMFG, we're dedicated to leveraging data and insights to help our clients remain competitive.
Request a market wage report today to see what job-specific competitive wages are in your area.
The cost of turnover can be significant. Based on meta-analysis conducted by the Center for American Progress, the turnover cost for one blue-collar worker at an hourly pay rate of $14 conservatively amounts to $4,659.
For example, it costs a manufacturer with 100 blue-collar workers and 20% attrition $93,180 in turnover costs. Should turnover reach 26%, it would cost that same employer $121,134 and $260,904 at the highest risk of turnover.
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