A month into the first quarter of 2022, the demand for goods due to the holidays has passed, but businesses still say they are caught in a vicious cycle hindering overall growth and hiring fueled by continual supply chain failures.

This is according to a new survey from The Harris Poll commissioned by Express Employment Professionals.

Around three in five 5 U.S. hiring decision-makers (61 percent) say their company has altered their hiring practices because of the national supply chain issues and report it will negatively impact their company’s growth. To counteract the new hurdle for hiring, more than half (56 percent) report they have relaxed their hiring requirements due to the supply-chain issue. And, around a third (32 percent) say they have hired specifically for logistics/supply chain positions this year.

Companies with 100-499 employees are more likely than those with less than 50 and those with 500 or more employees to say supply chain issues will negatively impact their company’s growth (71 percent vs. 63 percent of those with 500-plus employees, 52 percent of those with two to nine, and 56 percent of those with 10-49).

The same companies are also most likely to say they have relaxed their current hiring requirements (76 percent vs. 64 percent of those with 500-plus employees, 63 percent of those with 50-49, 44 percent of those with 10-49, and 36 percent of those with two to nine).

In the hard-hit manufacturing industry, 74 percent of hiring managers say their company has had to alter their hiring practices because of the national supply chain issue and a similar proportion of hiring decision-makers for the service industries report the same (71 percent).

“Finding a balance between training new hires, production schedules, and material supply-chain delays is requiring leaders to be more responsive, creative, and flexible in how they hire,” said Maria O’Connell, franchise owner of the Chester County (Main Line) Express Pros office. “Local leaders are seeing success through considering different skill sets, learning how to onboard new members more effectively and create an employee experience that helps retain their current team. Given current market conditions, we need to make efficient and effective hiring decisions and while ensuring the organization can remain profitable.”

Many businesses are ready and willing to grow in 2022, but can’t until something changes, Express Employment International CEO Bill Stoller said.

“The U.S. economy is caught in this perfect storm where the breakdown in supply chains is just the start,” he said. “When you combine that with the scarcity of workers, companies are doomed to stay in this holding pattern for the foreseeable future.”

Survey Methodology

The survey was conducted online within the United States by The Harris Poll on behalf of Express Employment Professionals between Nov. 10 and Dec. 2, 2021 and among 1,009 U.S. hiring decision-makers (defined as adults ages 18 and older who are employed full-time or self-employed, work at companies with more than one employee, and have full/significant involvement in hiring decisions at their company). Data were weighted where necessary by company size to bring them into line with their actual proportions in the population.

_____________________

If you would like to arrange for an interview with Maria O’Connell, call 484-329-7930.

Express Employment Professionals, the sponsor of VISTA Today’s Hiring Chesco, is in the business of people. From job seekers to client companies, Express helps people thrive and businesses grow. Its international network of franchises offers localized staffing solutions to the communities they serve across the U.S., Canada, South Africa, Australia, and New Zealand, employing 526,000 people globally in 2020. Learn more.

The Chester County – Main Line, PA Express office is located at 215 Lancaster Avenue and serves the Greater Philadelphia area. Local businesses and applicants are encouraged to stop by, visit the website, or call 484-329-7930.