Managing the labor shortage 

Experiencing labor pains?

According to the U.S. Chamber of Commerce in December 2023, “…We have 9.5 million job openings in the U.S., but only 6.5 million unemployed workers.” Even if every member of the American workforce had a job, we would still be short 3 million workers. And while the labor pool has been steadily declining for years, there are additional factors contributing to our current labor shortage. First and foremost, the COVID-19 pandemic pushed 3 million adults into early retirement. On top of that, our population is aging. Baby Boomers (those born between 1946 and 1964) are aging out of the workforce and younger generations represent a smaller portion of available labor. Demands for better wages and benefits, flexible work environments, and childcare options as well as a lower net migration all impact our current labor shortage. So what can businesses do to reduce hiring challenges in 2024 and beyond?

Your people, or lack thereof, impact the customer experience

No matter what the causes of your current hiring challenges are, no business wins when roles go unfilled and calls are dropped or go to voicemail. Companies of all sizes routinely report lost opportunities and compromised supply chains when daily tasks are missed. In fact, research from McKinsey & Company revealed only 13% of customers surveyed said they were loyal to a single brand. But even those most loyal to you would consider shopping around or taking their business elsewhere if they felt ignored or unappreciated. Entrepreneur magazine reports that the unspoken bonds between businesses and their customers are most often broken due to: 

  • Poor customer service experience – Most dissatisfied customers won’t tell the business that something is wrong, they just won’t come back
  • Product or service didn’t show value – As Warren Buffet famously said, “Price is what you pay. Value is what you get.”
  • Inconsistent quality or service – Consistency builds trust but inconsistency breeds bad reviews, fewer referrals, and a poor reputation
  • Overly aggressive sales tactics – These are more likely to drive business away than attract it 

Keep the customers you have and win new ones 

So how can you avoid the pitfalls of missed calls during ongoing labor shortages? Most companies know they need to invest in automation and technology. We’ve talked about effective ways to find talented employees in a previous blog. But those solutions won’t take effect overnight. Which begs the question, where can you turn until your long-term strategy and build-out of technology become a reality? 

Live virtual receptionists and virtual answering services can free up resources when you and your team are overwhelmed and unprepared. Many companies seek out these solutions, which offer flexibility for changes in consumer trends, surges in demand, and unanticipated circumstances. As a result, you’re able to be more agile and adapt to changing demand without having to immediately staff for it. 

Most call centers have the technology and staff in place to start answering calls immediately, with no investment of equipment required from you. What’s more, after the initial surge, they can remain in place as your overflow and emergency call answering service. 

Economists and industry experts tend to believe the current labor shortages won’t resolve themselves anytime soon, so start planning now for what could be a long road ahead.

 

Interested in learning more about virtual receptionists and answering services? We recommend reading the article “5 Mistakes to Avoid When Using A Virtual Receptionist Service” before evaluating your options. And if you would like to learn more about our services, contact us today. We would be happy to answer any questions you might have as you begin to plan for the labor shortage and how your business can reduce hiring challenges in 2024.