Where Have All the Workers Gone? How Food Manufacturing Can Win the War for Talent

Thousands of vacancies across the UK food manufacturing sector remain unfilled; further disrupting production lines, driving up costs and adding additional strain on existing workers having to pick up the slack. With over 400,000 people making up the workforce, the food production industry contributes significantly to the UK economy, though struggles to attract, retain and nurture talent in the face of shifting employment dynamics. 

So what is the reason for the shortage, and how can food manufacturers turn the tide on talent?

What are the leading causes of labour shortage in food manufacturing? 

Brexit & reduced access to EU workers -  For years, the food manufacturing industry was made up of a substantial number of EU workers. Brexit, and the end of free movement have contributed to a 40% drop in EU nationals working within UK food production, manufacturing and processing; the sudden reduction leaving businesses scrambling to fill roles that they once had little trouble doing.

Perception of roles - The industry has long struggled with a “branding” problem, with workers perceiving jobs within this sector as low paying, labour intensive and lacking in career progression or development. This makes it increasingly difficult for employers to attract new talent; particularly younger talent, where only 10% of the UK workforce under 25 is employed within the sector, signalling a serious generational gap that needs to be addressed.

Wage inflation in a cost of living crisis - In spite of rising wages, salaries across food manufacturing have not kept up with inflation turning many workers into other industries offering higher wages, better working conditions and more flexibility. In fact, over 60% of food manufacturers have reported difficulties in hiring due to wage competition from other sectors.

In addition to the challenges above, food manufacturers are also struggling with demand for technically skilled workers in the wake of technological integrations and automations. One third of food manufacturers report that automation challenges are a huge barrier to overcoming worker shortages, given a gap in the number of candidates trained to manage and maintain emerging systems.

How can food manufacturers attract and retain workers?

The food manufacturing sector can ill afford to remain stagnant in the face of growing labour shortages. Here we will explore some of the strategies leading food manufacturers are employing to win the war for talent:

Employer branding & job appeal - Reframing talent perceptions of the food industry is critical. Food manufacturers should consider:

• Showcase employee success stories to highlight career opportunities.
• Leverage social media and behind-the-scenes content to make the industry more relatable.
• Emphasize what benefits are available to potential employees to highlight how the workforce is valued. 

Upskilling & career development - Making an investment in your people is one of the easiest ways to encourage retention. Businesses can:

• Develop training programs to ensure employees remain ahead of the industry's digital/technological transformation.
• Promote clear career progression pathways to highlight opportunities for advancement.
• Implement mentoring programs to guide and train the next generation of food manufacturing talent.

Flexible staffing models - To overcome peak demand and seasonal fluctuations, companies should:

• Leverage contract/temporary workers to maintain production and support the existing workforce without overextending permanent hiring.
• Explore adaptable shifts to attract a growing workforce who prioritises flexibility, with companies reporting a 15% increase in applicants for roles offering flexible shift patterns over rigid scheduling.

Automation & tech integration - While automation serves to reduce the reliance on manual human labour, manufacturers must ensure that their workforce is equipped to work WITH machines, not be replaced by them - with strategies like:

• Invest in collaborative robots (cobots), for assistance with repetitive and menial tasks.
• Retraining employees in AI-powered manufacturing processes and predictive maintenance.
• Merging automation with human oversight to ensure maximum efficiency with minimal job loss. Companies that have successfully integrated automation into their operations have reported retention rates of 75%, highlighting the effectiveness of long term workforce/tech development.

Government support & policy advocacy - Industry collaboration and advocacy is critical for pushing changes to policy, with key actions including:

• Lobbying for visa schemes that allows seasonal workers to enter the UK workforce.
• Securing grants from the government to invest in training and technology opportunities.
• Partnering with schools and colleges to develop apprenticeship schemes that builds and nurtures a pipeline of future talent.

Improving workplace conditions - It goes without saying that better working conditions have a direct impact on recruitment and retention; employers should look at:

• Enhancing their workspace facilities, providing better break areas, accommodation for disabilities and ergonomic improvements to ensure job satisfaction and longevity.
• Providing robust employee support, like mental health/wellness initiatives and fair scheduling to reduce burnout.
• Fostering initiatives that drive engagement like team building activities and job incentives. Companies prioritising workplace satisfaction see turnover reduced by up to 40%, demonstrating the value in a positive work environment. 

How can food manufacturers future proof talent acquisition?

Businesses should explore adopting technology-powered recruitment, upskilling initiatives and adaptive workforce planning. AI is evolving at unprecedented rates, with hiring tools that can streamline recruitment and build robust talent pipelines. Partnering with hiring experts and leveraging machine learning for sourcing talent can further enhance hiring efficiency and secure long term workforce stability. 

With more and more businesses prioritising sustainability, hiring specialists in carbon reduction, eco-friendly packaging and advanced food safety will be seen as a competitive advantage. Meeting workforce needs and expectations through flexible working practices and inclusive hiring for skilled workers will allow businesses to remain ahead of the curve, future-proofing their workforce and retaining a competitive edge in a constantly evolving industry.

Winning the war for talent in food manufacturing will require a forward thinking approach; reframing industry perceptions, upskilling employees and advancing career development. Automation and technology integration should be used to enable the workforce rather than replace it, while advocating for policy change and government support can help to ease the challenges of hiring in a difficult labour market. Companies that prioritise wellbeing, sustainability expertise and maintaining a strong employer brand will be the ones future proofing their workforce and securing long term business continuity.

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