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The 2021 Hiring Crisis and What to do About it
by Steve Engelhardt
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July 29, 2021
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Many employers are currently struggling to get the employees they need for their businesses. Because of COVID and other factors it would be logical to think there is a workforce that is eager for employment. But due to several issues, most businesses are having real difficulty. A slight bit of relief is on the way in the form of people who are graduating from high school or college in May and June and looking for work. But it is not near enough.

The 2021 Hiring Crisis and What to do About it

Many businesses are offering to pay a “interview fee” if people will just come in to interview. Horror stories abound of 200 people applying for a job but only one willing to interview. Some businesses are paying a bonus if someone will accept a job and come to work.   

Maybe there is a solution available: get more out of the employees you have.

Do a Workforce Audit

Now is the time to really dig deep and analyze what your current employees do and how they do it. What extra steps or actions can be eliminated, what can be more automated, and a real biggie is identifying what can be outsourced. Also, please don’t neglect to ask your employees for ideas and help. They are the ones doing the work and frequently they have really good input on how to be more productive. 

restaurant hiring

Let’s take a restaurant for example

They are having a hard time getting servers and because of social distancing, they have to operate at a lesser capacity. So, look at the servers you have and what each does and what you can eliminate, so they can take on more tables. For example, buy pitchers (much cheaper than an employee) and leave water and/or coffee on the tables saves server time. If the server can leave the check when the meal is delivered would that save them a trip? If a server has to visit a table 6 times during a meal, could they do another table on the way?

Manufacturers

Do you have a manufacturing plant that needs skilled machinists and can’t get them? Have you looked at third party machine shops where you can outsource machining needs? A really big advantage to outsourcing over employees is when things slow down you still have an employee to pay, but with an outsourcer, they can be used only when needed.

Cost and Efficiency

What jobs can be automated? Can you shift some of your product sales to online ordering platforms and reduce call centers? Can a receptionist be replaced by an automated call attendant?

Take each job and analyze it closely.

Can I eliminate steps? Can I automate it? Can I contract to outsource it? Would a new tool or machine increase individual productivity? There are a lot of things you can do to stretch your existing labor force if you will just look.

Remember to ask your employees for ideas and help. They are the ones doing the work and frequently they have really good input on how to be more productive.

A SCORE Mentor can help you with your employee audit and determining the best route for you. Click here to schedule a free mentoring meeting. 

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About the author
Steve Engelhardt
Steve Engelhardt
Steve Englehardt is a current SCORE Mentor helping small businesses develop and grow.
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