Why Warehouse: Part 2 – Demand Isn’t Going Away

In Part 1 of our Warehouse Series, we discussed the basics of the warehouse industry today, and why pay for warehouse workers is on the rise.

Today, we’re looking into the demand in the industry, and how it isn’t going anywhere, anytime soon. Thanks to low unemployment, and an increase in shipping needs nationwide, warehouse workers (sometimes referred to as “picker packers”) are in high demand.

Let’s take a look at some of things the industry is currently saying about the need for warehouse work.

  • Competition between employers is growing, with poaching workers becoming common. Increased automation is also frequent, allowing pickers to increase speed with the aid of directions. Supply Chain Dive, April 10, 2017.
  • Finding enough workers “is certainly a concern,” said Dan Tobergte, chief executive of Northern Kentucky Tri-ED, a regional economic development agency. “We’ve got pretty low unemployment in the area,” he said, and the population isn’t “growing as fast as the jobs are.” Wall Street Journal, April 9, 2017.
  • Until humans stop buying things online, the shipping industry will continue to grow at a steady pace. That means that there will be constant competition among those companies that are in the industry, and each will be looking to make their systems more efficient. Entrepreneur, April 11, 2017.
  • Indeed, e-commerce and warehouse jobs are a growing share of the workforce: they are now equivalent to 10.1% of retailing employment, up from 8% a decade ago. The Economist, May 11, 2017

It seems experts agree that the demand for more people to work in warehouses will only continue to rise. And even though automation is creeping into many high-profile warehouses, it doesn’t offset the need for human intervention and quality assurance.

Next time, in Part 3 of our Why Warehouse series we’ll discuss why you might already have the qualifications needed for a job at your local warehouse.

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