Hardie suggested that employers and their HR per- sonnel are going to have to develop new strategies and partnerships to fill the major skills gap in the industry. Developing strong partnerships with technical schools and sponsoring some form of internship program while the students are attending school is one of the best ways they can attract and retain the best talent. “Without a pipeline of qualified candidates this can force companies to hire ‘adequate’ instead of ideal fits,” Graziano says. “To keep up with productivity demands, training may be reduced, which can create safety concerns.”
According to Ben Passman, talent acquisition and workforce management consultant, over the past several years, the job search landscape has evolved, accelerated by the pandemic, resulting in an imbalance between demand for skilled workers, and the supply of quality candidates. However, the foundation of finding talent has not changed.
“The shifts that have taken place are mostly cultural in nature, as candidates are demanding more flexibility, greater commitments to diversity and inclusion, and looking for work that has meaning or purpose,” Passman said. “Organizations have had to adapt to these demands, creating opportunities to develop new programs aimed at increasing internal engagement.”
One of the biggest challenges companies face is the cost of not hiring a skilled worker. This is often seen as a hidden cost and is hard to quantify, but Passman said that research has shown that positions that go unfilled for 90 days or more, can cost up to 30% of that position’s salary.
“For example, if you are looking to hire a mechanic for your auto recycling shop, and you are prepared to pay $50,000 in salary,” Passman said. “If it takes you more than 90 days to hire this position, the cost to your busi- ness in lost productivity and other opportunity costs are roughly $15,000.”
Historically Speaking Thirty years ago, shop classes were mandatory but now in many school districts they aren’t even available. Additionally, because students aren’t exposed to the skilled trades in high school, they are less likely to pursue the training in post-secondary options, which has resulted in a huge decline in enrollment at the technical colleges, blowing a hole in supply and demand. In addition, the rapid advance in technology in all industries, including auto recycling, is causing a skilled employee shortage. This does not mean that the employees do not exist, nor are not capable. Rather, they have not gained the required educational and training component that some companies need. This results in positions remaining unfilled, or in some
cases, being filled with unqualified workers, and then being sent out or set aside for training or education after the fact. In addition, incumbent workers are finding that they need to upskill to keep up with the ever-changing technology demands. As automation continues to be an ever present part of every industry, this inherently requires skilled technicians and operators to be able to keep these pieces of equipment running efficiently, as well as keep their skills honed.
Automotive Recycling
May-June 2021 // 39
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