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Tips to Combat Skilled Labor Shortage


One of the most distressing things to experience as a business owner is a skilled labour shortage. Not only does it slows down the overall operations, but also hinders growth and increases costs. A number of businesses suffer the aftereffects of skilled labour shortage even after years. The loss caused by such an episode is certainly difficult to manage and recover. However, you can totally face the situation by following a few simple tips we are going to share here.

  • Automation

It’s the era of technology so you don’t really have to rely on human resources to reach the desired level of productivity. If you feel that a certain area in your business lacks manpower, then use technology there instead of wasting time in finding the right people to do the job. The initial investment may be high, but it is going to save you a lot of time and money in the long run.

  • Outsource

Another way to deal with skilled labour shortage is to outsource the service. There are many more benefits to these ideas. Outsourcing means less wastage of material and more consistency. This is what most manufacturers strive for in the age of increasing costs for the businesses. Therefore, instead of waiting out to fill the gap, start looking for the right vendors for the service.

  • Improve Hiring Practices

Most hiring practices are focused on finding candidates who already have the required skill set. This is not really a feasible approach because sometimes the skill is not too common so finding the right candidate becomes a problem. In such a scenario, it is recommended to look for individuals who are eager to learn and bring immense value to the company. You get to know about the enthusiasm of the individual through their resume and body language during the interview.

  • Training

Don’t wait for the skilled labour shortage to show up. It is better to take a proactive approach instead of a reactive approach. Keep training your employees regularly and teach them new skills which can be used during the times of crisis. For e.g., if you work in the railway, you can show short training videos railway training to your employees. This will make the situation a lot less distressing than it actually is.

  • Incentives

Sometimes the labour shortage is mainly due to lack of enough incentives for the skilled workers. This makes them develop a lazy attitude towards their work and demotivation fully surrounds them. Every business should have incentives to make the workers willingly work with them. It does not necessarily have to be monetary. Fringe benefits are also great at attracting workers. For instance, you could offer health insurance, accommodation, education for their child, and so many more. The money you spend on them this way will be returned through maximized sales and profits.