Streamlining the onboarding process amidst high manufacturing turnover
Andy Nicholas, WorkJam The manufacturing industry continues to navigate a highly active and turbulent labour market. According to the Australian Bureau of Statistics, job vacancies across Australia have remained elevated in recent years, with hundreds of thousands of roles unfilled – including persistent shortages across manufacturing and logistics. However, keeping the factory floor fully staffed remains a constant challenge, as employers contend with ongoing labour mobility and competition for skilled workers. This reflects a broader national trend, with workforce churn remaining elevated across frontline and shift-based industries. While robust hiring is necessary to maintain output – with industry bodies such as the Australian Industry Group reporting that more than half of manufacturers are struggling to find suitably skilled workers – many employers are struggling to effectively onboard these new employees. At the same time, the National Skills Commission continues to highlight persistent shortages in key technical and operational roles critical to manufacturing. With vacancies remaining elevated and skills gaps ongoing, employers are feeling increasing pressure to make every hire count. Bringing on a new recruit typically involves dozens of training hours and takes months for the employee to reach full productivity. Furthermore, the average cost of adding a new employee is particularly high in manufacturing due to the extensive safety protocols and specialized training required. To attract and keep talent in this competitive environment, Australian employers are also navigating steady wage growth, with increases tracking at approximately 3.5 to 4 percent annually in recent periods. Today’s workers are highly mobile. While Australia does not track “quit rates” in the same way as the United States, labour mobility remains elevated, particularly across frontline and operational roles. Employees are increasingly willing to change roles for better pay, flexibility, or development opportunities. This makes it more critical than ever for employers to train new individuals quickly, engage them immediately, […]
