Issue link: http://palletcentral.uberflip.com/i/921113
14 PalletCentral • November-December 2017 palletcentral.com Chuck Burke PRESIDENT/GM SMI Company Pallets & Sawmill Cresco, Iowa With the baby boomer generation now starting to retire, I do not foresee the labor issues getting better any time soon. Improvements will need to come from automation. There is a lack of work ethics from the 19 – 20 year olds entering the workforce. Most don't want to work more than 20 or 30 hours per week. There aren't enough employees to go around! In our area, the unemployment rate is 2.4%, which anytime this drops below 3%, the few applications we do receive are mostly unemployable. Our area also completes with agriculture (farming) plus other manufacturing facilities looking for labor. In the next 5- 10 years, we'll have to turn to legal migrant workers with the support of additional automation. Jami Bestgen VICE PRESIDENT OF SALES & MARKETING Rotochopper, Inc. St. Martin, Minnesota We anticipate an increased need for labor over the next ten years, as Rotochopper is poised for continued year over year growth. Our greatest difficulty is hiring trained welders due to local competition for that type of labor. There is a technical college in the area that offers appropriate programs, we just have other employers recruiting the same students. Our rural location is one challenge. There are a number of employers competing for skilled laborers in our area. While we pay a premium, it can still be a determining factor. We work with local high schools to present skilled labor as a viable and lucrative career option for those not pursuing a college degree. We also work with post-secondary schools to bring students in for tours. Jason Wheeler PRESIDENT Canadian Wood Pallet & Container Association Ottawa, Ontario, Canada In Quebec, finding labor has become very difficult. Government stats are saying the most difficult time to find labor is going to last for the next 4-5 years, and then becoming easier. I just don't see it improving. Our company [Herwood, Inc.] offers good benefits to our employees i.e. heath insurance, pension, and competitive pay. These benefits help retain good employees, and attract those with family obligations. There is a lack of applications due to the high employment rate in our region. I think industry should consider building a pallet shop school, where we could train and certify employees for the industry. It may generate interest in younger individuals, and provide laborers for companies looking to fill jobs. Luke Sternberg CLIENT SERVICES MANAGER Moore Packaging Barrie, Ontario, Canada Building a pallet is hard work, the lack of interest is also a big part of the labor issue. I see an advancement in automation as part of the solution to finding labor. As labor costs continue to increase, it may be the only way to stay competitive. The increase in minimum wage in Ontario has added challenges to recruiting. There are more positions in the market now with similar pay. General labor manufacturing roles with non-skilled help are our biggest competition for labor. Automation will help over the coming years. Howe Wallace PRESIDENT PalletOne Bartow, Florida The labor market will be more challenging in the immediate future. We don't think the 10 year time frame is a relevant planning horizon. Automation will get cheaper and more broadly implemented in that time frame. We try to remain competitive on pay and benefits. There is a growing trend of young candidates being inexperienced with physical labor and having a disdain for it. This trend has been amplified by the tighter immigrant restrictions. The key is finding candidates who thrive in our environment – open up the immigration lanes. LABOR iStockphoto.com/Lamarinx