• Advertise
  • Contact Us
  • Supplier Directory
  • SCB YouTube
  • About Us
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Parcel & Express
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Robotics
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Customer Relationship Management
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • Green Energy
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • Sourcing/Procurement/SRM
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Management & Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Warehouse Automation
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • WHITEPAPERS
  • VIDEOS
Home » Warehouse Worker Shortage? Get Flexible
SCB FEATURE

Warehouse Worker Shortage? Get Flexible

A SMILING WOMAN OF COLOR STANDS IN A BLURRY WAREHOUSE ENVIRONMENT

Photo: iStock/FG Trade

March 26, 2025
Helen Atkinson, Managing Editor

Even if you don’t have a business where volumes fluctuate significantly, it’s still worth considering adding at least a layer of flexible workers into your distribution center or warehouse operations, says Alex Vinden, general manager, light industrial, at Instawork, a flexible work app that connects businesses with hourly workers. That’s because you’ll simply tap into a larger potential pool of workers. 

Flexible work — whether in terms of hours or commitment — is here to stay. Today, one in three workers work in a flexible way, compared to one in six Americans in 2022, according to Instawork. Demographics mean that number will only increase, as currently nearly 54% of the flexible workforce in the U.S. is made up of people aged between 18 and 34, who prefer flexibility. It’s not just age that’s a factor, either. For the U.S. economy as a whole, 76.5% of workers identify their race as White, while 18.8% identify as Hispanic or Latino, 12.8% as Black or African American, and 6.9% as Asian. In comparison, in Instawork’s 2025 “State of the Flexible Workforce’” report, 41.8% of workers identified as Black or African American. Including single race and multi race, 31.5% identified as Hispanic or Latino. These are growing demographic groups.

It looks like flexible working is not something you can ignore if you want to stay ahead of the growing pressures brought on by rising costs, uncertain forecasting and the struggle to retain valued workers. In Instawork’s 2024 study “The State of Warehouse Labor,” they found that 43% of companies with warehouse and distribution facilities had lost revenue because of staffing shortages, and that was an improvement from 2023, when it was 66%.

“All the elements point to a much tougher labor situation,” said Vinden at a March 19 presentation at the ProMat 2025 conference in Chicago, entitled, “Data-Driven Workforce Strategies: Leveraging Flexible Labor in Warehousing.”

Traditionally, operators of warehousing or distribution facilities have tended to take a two-tiered approach to combining long-term staff with flexible or temporary workers. The latter are mostly brought in to supplement a solid base of long-term or permanent employees, in order to help with short-term needs such as seasonal events or social-media-driven spikes in demand. Those temporary workers are often one-time hires and don’t get much training. Usually, they’re getting paid more than salaried or permanent staff, and they’re less productive.

Vinden’s advice is to instead adopt a three-tier approach to staffing, where you have both short-term hires and permanent workers, but in the middle there’s a layer of recurring, flexible workers. Generally, flexible workers get the same hourly rate of pay as short-term hires, but since they’re recurring staff, you can train them, and they are therefore almost as productive as long-term workers, according to Instawork’s detailed data analysis of the workers and employers who use its platform.

Another advantage is that flexible workers tend to be better educated and more tech-savvy than casual hires. In the Instawork 2024 survey, 59.8% of flexible workers said they had taken some college classes or have earned a degree (it was 68% in 2022), and nearly 65% of flexible workers described themselves as “very comfortable” in using technology. 

Further, fostering a flexible workforce tends to improve retention. “A layered approach gives you access to more workers, and you improve retention because workers don’t have to leave to gain flexibility,” said Vinden. 

    RELATED CONTENT

    RELATED VIDEOS

    Business Strategy Alignment Education & Professional Development HR & Labor Management All Warehouse Services
    • Related Articles

      Logistics Labor Has a People Problem, Not a Worker Shortage

      Is There a Solution to the Supply Chain Worker Shortage?

      Watch: Performance Management: Key to Boosting Warehouse Worker Productivity and Morale

    • Related Directories

      Tecsys, Inc.

    Helen Atkinson, Managing Editor

    Duffy and Hochul Face Off Over NYC Congestion Charge

    More from this author

    Subscribe to our Daily Newsletter!

    Timely, incisive articles delivered directly to your inbox.

    Popular Stories

    • A man wearing a blue long-sleeve shirt and jeans, with a yellow hard hat, kneeling down in front of a factory machine, with a similarly dressed man standing behind him in the background.

      'A Fool's Errand': The Fatal Flaw Behind a U.S. Manufacturing Revival

      Education & Professional Development
    • A brown delivery truck with "UPS" emblazoned on the passenger side in yellow lettering

      UPS in Talks with Startup to Deploy Humanoid Robots

      Last Mile Delivery
    • A GLEAMING TUNNEL OF LIGHTS CURVES AWAY INTO A HORN

      Manufacturers: Supply Chain Management Popular Use for AI

      Technology
    • A SEA OF CARS LINED UP IN ORDER OF COLOR

      Trump Signs Order Providing Tariff Relief to Automakers

      Global Trade & Economics
    • AN AIRPLANE TAXIS ON A RUNWAY AGAINST A ROSE COLORED SKY

      Airbus Tells U.S. Airlines They’ll Need to Pay Their Own Tariffs

      Air Cargo

    Digital Edition

    Scb q1 2025 cover

    2025 Resource Guide -- The Uncertainty Principle

    VIEW THE LATEST ISSUE

    Case Studies

    • Recycled Tagging Fasteners: Small Changes Make a Big Impact

    • A GRAPHIC SHOWING MULTIPLE FORMS OF SHIPPING, WITH A HUMAN STANDING AT THE CENTER, TOUCHING A SYMBOLIC MAP OF THE WORLD

      Enhancing High-Value Electronics Shipment Security with Tive's Real-Time Tracking

    • A GRAPHIC OF INTERLACING HONEYCOMBED ELEMENTS REPRESENTING GLOBAL BUSINESS TRANSACTIONS

      Moving Robots Site-to-Site

    • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

    • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

    Visit Our Sponsors

    Anaplan Cleo Dassault
    Enveyo Eva Air GAINSystems
    General Logistics Systems Geodis Georgetown University
    GEP Holman Logistics Integrity Staffing
    Korber LoadSmart Lucas Systems
    Made4Net Manhattan Associates MSC Air Cargo
    Old Dominion Packsize Peak Technologies
    Rockwell Automation SAP S&P Global Mobility
    TADA Thomson Reuters Werner Enterprises
    Zebra Technologies
    • More From SCB
      • Featured Content
      • Video Library
      • Think Tank Blog
      • SupplyChainBrain Podcast
      • Whitepapers
      • On-Demand Webinars
      • Upcoming Webinars
    • Digital Offerings
      • Digital Issue
      • Subscribe
      • Manage Email Preferences
      • Newsletters
    • Resources
      • Events Calendar
      • SCB's Great Supply Chain Partners
      • Supplier Directory
      • Case Study Showcase
      • Supply Chain Innovation Awards
      • 100 Great Partners Form
    • SCB Corporate
      • Advertise on SCB.COM
      • About Us
      • Privacy Policy
      • Contact Us
      • Data Sharing Opt-Out

    All content copyright ©2025 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

    Design, CMS, Hosting & Web Development :: ePublishing