Are your wages competitive enough to attract the right talent, and are you willing to reflect on your role in making the staffing partnership successful?
Too often, companies expect agencies to solve every hiring challenge without examining their own practices. Pay rates, workplace culture, and realistic expectations are all client-driven factors that directly affect recruiting success. A staffing agency can bring candidates to the table, but keeping them engaged requires collaboration.
The Reality of Pay in Today’s Market
The labor market for manufacturing and distribution is crowded. Even a small difference in starting pay, as little as $0.50 an hour, can shift workers to your competitors.
What feels like a cost-saving decision to hold wages flat often backfires. Unfilled roles, higher turnover, and constant training cycles add up to a much bigger expense than paying competitively in the first place.
When Wages Don’t Keep Up
Some clients believe staffing agencies can “fix” wage issues by finding the right candidates anyway. But here is the reality: if your pay is below market, the labor pool is limited. Even when roles are filled, those workers are likely to leave once they discover better-paying opportunities elsewhere.
Short-term success does not equal long-term stability. If you find yourself frustrated by associates leaving after a few weeks, wages may be the underlying issue, not your agency.
Beyond the Blame Game
It is easy to point fingers at your staffing partner when turnover is high. But a strong partnership means both sides accept responsibility. Agencies bring recruiting expertise, candidate screening, and onboarding support. Clients provide the foundation that makes those hires stay, including competitive pay, a safe environment, and clear expectations.
When both sides own their part of the equation, results improve dramatically.
Not sure if wages are holding you back? Look for these red flags:
- Positions that stay open far longer than expected.
- Associates who leave within the first 30 to 60 days.
- Rising overtime costs to cover constant gaps in the schedule.
Each of these is a warning sign that your pay rates may not be competitive.
Shifting the Mindset
Think of wages as an investment, not just a cost. Paying competitively reduces turnover, strengthens morale, and improves productivity, all of which directly impact your bottom line.
Your staffing partner can help by sharing wage data, market insights, and turnover trends. With transparent conversations, you can balance budget goals with competitive pay rates that make sense for your facility.
Closing Reflection
Ask yourself: Would you take the job at your own pay rate?
If the honest answer is no, it may be time to revisit your compensation strategy. Successful staffing is not about expecting your agency to “fix” everything. It is about clients and agencies working together to create roles that attract, engage, and retain the right people.
And if you’re ready for an open and honest conversation, contact us today.