According to a new study, Australia’s labor shortage has worsened in the last three months, making it much harder for many retailers to hire new staff.
In an online poll by the Australian Retail Association (ARA), none of the retailers surveyed said the labor shortage had eased, with 61% saying the problem had worsened in the last three months.
“We have been in the toughest labor market for over 50 years, and what is clear is that traditional hiring methods are not working,” ARA CEO Paul Zahra said in a statement on June 27. rice field.
“We need to consider some actionable solutions to give companies access to a larger pool of resources, which will help them reach their full potential.”
According to polls, 84% of retailers said it was very difficult to hire new staff, and 73% said they had more jobs than usual.
About 55% of retailers also say that absenteeism is worse or much worse than it was three months ago.
The poll, which took place June 16-21, was attended by more than 100 respondents representing thousands of retailers across Australia. Respondents come from a variety of companies, including corporate-level retailers and small businesses.
“Retail is the basis of Australia’s economy and our daily lives, and they simply can’t get enough staff,” Zahra said.
“This is a pandemic problem that has intensified this year, and the worry is that things haven’t improved anymore.
“The labor and skills crisis is raising rents along with fuel and energy costs and supply chain constraints, in addition to the intense cost pressures companies face, struggling to keep their heads on the water. It’s a dire situation for many small businesses. “
Deloitte Access Economics predicts that Australian retailers will slow sales in the second half of 2022 as consumers cut spending amid pressure from living expenses and rising interest rates.
Overseas workers and necessary students
The CEO urged the government to take steps to return foreign workers and students to Australia as soon as possible.
“Also, with regard to immigrants, we will be able to bring more skilled foreign workers into the country, along with more international students who are urgently needed to play a leading role in retail and hospitality as a whole. We need to reduce the amount of red tape, “he said.
“Unfortunately, the blockade has damaged our reputation, which means we were once not an attractive option for foreign workers.”
Without government intervention, Zara added that labor shortages would worsen, some companies would be pushed to the limit, and economic recovery would not be possible without a recovery in retail.