With temp turnover rates exceeding 400% annually, the $34B in direct cost of industrial temp staffing pales in comparison to the additional $64B in annual turnover expense in the industry. These high costs, in combination with skill shortages and low unemployment nationwide, are driving many of America's largest employers to look at technology-first solutions like WorkStep.
"Having worked in warehouse management myself, I am all too familiar with how detrimental constant workforce turnover can be for both employers and employees," said Dan Johnston, WorkStep CEO. "While no technology platform can completely solve industrial retention, our progress to date validates that our principles of transparency, support, and feedback loops can lead to a meaningful step forward for our customers and their employees."
To achieve this drop in attrition, WorkStep's platform combines the following tactics:
Matching: Every worker in the WorkStep community is matched to job opportunities based on not only their experience and skills, but also softer preferences like shift flexibility, method of commute, and working environment.
Post-hire Engagement: Every employee hired on the WorkStep platform has a mobile channel through which to provide anonymous feedback to their employer, which allows employees to feel heard, and helps companies identify and address those issues which are directly leading to workforce attrition.
Pay-for-retention Pricing: Because WorkStep customers only pay for hires who retain, there is tight incentive alignment between the company and its employer partners.
"We have gotten a higher caliber of candidate from WorkStep. Of our hires from WorkStep, many have already moved into higher-skilled jobs in different departments," said Katie Muldoon, Regional HR Manager at Graphic Packaging International, a Fortune 500 company and WorkStep partner.