Tag: retailers

Do today’s candidates have less “staying power” than those in years gone by?

Do today’s candidates have less “staying power” than those in years gone by?

Posted on | by Excel Recruitment

In today’s rollercoaster world of grocery retail candidates who start but don’t stay can cause huge disruption to any team or store. We are hearing more stories from retailers who have gone through full recruitment drives, inductions, and training delivery only to be told within the first few months that this new hire is already moving on.

Is this a generational thing? Do today’s candidates have less “staying power” than those in years gone by? Have we shifted to a culture where it’s now acceptable to let your feet do the talking to your employer by leaving a job where you are finding the going tough, or just slightly unpleasant?

So why is this happening? And what, if anything, can or should retailers do to reduce these flighty new starters?

Manage expectations

Candidates today certainly have higher expectations than those of previous years. Often what retail staff would have considered as a nice extra, is now a minimum expectation. Many candidates start new roles with skewed expectations of what their actual hours, responsibilities, or place in the businesses will be. Inevitably their expectations are much more favourable than the reality. When faced with this realisation many new starters are choosing to leave their new role and start over, rather than adjust or compromise. In most instances, ensuring full disclosure on all facets of a new job can dramatically reduce candidate “fallouts.” When we took a sample of candidates who had left their jobs in less than 6 months, the number one reason they stated was the role was not what they expected. Laying out your shift patterns, and contracted hours is imperative. However, retailers with better retention are going one step further and giving a detailed breakdown of the role they are offering – including challenges that may arise for a new hire.

First impressions count

Even in instances where retailers have done a thorough job of explaining the role, company and responsibilities, still a cohort of new starters will leave before they have even completed their training. Candidates now expect an enjoyable induction, to feel valued from arrival, and to be made feel like they are part of a team. They also look for a robust training plan which ranges from 6 weeks to 6 months, covering not only their role but company highlights, organisations plan, and wider social and cultural inclusions. This may feel like a big ask for some retailers, but setting aside some time to welcome on board each employee pays dividends. Poor induction or training was the second highest ranked on our list of reasons a new-hire leaves.

Market demands

Today’s recruitment market is still candidate-led – meaning that candidates have ample choice between employers. It is widely understood by today’s candidates, particularly at entry-level and slightly above, that they have the “upper hand.” It’s a phenomenon that arose from an overheated market, coupled with a mindset shift over the last 5 years. Any employer who is not aware of this new employee attitude is unlikely to have much success with their new team additions. When I asked several retailers how they are managing this shift, the most successful all seem to have one thing in common. They are investing more time and resources in their recruiting and onboarding practices.

Mentors

Long gone are the days of training solely by “shadowing”. Today’s new starters tend to spend days clicking through online training and signing sheets of compliance documents. This is often followed by off-site training or training in a different store to get a more “well-rounded” experience. The problem here is that while “shadowing” is no longer seen as best practice in most incidents – what it did do well was appoint a mentor by default. Someone who could help you understand the culture of the store and guide you to find your fit within it. A lot of the candidates who left prematurely made statements like – “I was left,” “forgotten about” or “ignored.” Appointing a mentor or following the old routine of shadowing one team member during the first few critical weeks really limits this and is certainly food for thought!

Feedback

My favourite one-size-fits-all solution. I believe open, honest, direct, and fair feedback can improve any professional relationship and it appears that it has an impact in these scenarios too. Another reason cited by these leavers was a lack of appreciation or feedback. Today’s candidates are unwilling to wait for the 6-month review to get a pat on the back – weekly and monthly check-ins are the way forward in order to hang on to those newbies!

You can check out this feature in the most recent edition of ShelfLife Magazine here. For more information call us on 01 814 8747 or email nikki@excelrecruitment.com

You can view all of our live jobs here

Benefits when attracting and retaining staff

Benefits when attracting and retaining staff

Posted on | by Excel Recruitment

Most retailers are facing a significant increase in their wage budget from this January. This increase, coupled with additional sick days, the upcoming new February bank holiday costs and imminent pension auto-enrolment is forcing employers to look at more creative ways of attracting and retaining staff that won’t break the bank. We have seen that whilst staff won’t stay in a job where they feel undervalued or underpaid, money is not the main driving factor most employees consider when making a move.

With this in mind, we have reached out to various retailers and retail managers across the grocery industry to provide a list of bonuses and benefits you can consider adding to your package which may help when it comes to attracting new staff as well as retaining your current team.

Work Life Balance

This comes in the form of advanced rotas, flexible shifts, remote or hybrid working patterns, scheduling weekend off rotations, reduced contract hours, or job sharing. The focus on Work-life balance has never been higher – with more and more candidates citing this as their main motivating factor when looking for a move. Whilst remote working is often not a viable option in our sector, many retailers have been working to improve contracted hours or offer a little more flexibility to their teams, and have been reaping the rewards of lower staff turnover as a result.

Travel

Company car and fuel allowance are not always viable benefits you can offer. But the bike to work and the Annual Tax Saver Travel schemes are benefits most businesses can offer at a relatively low cost which add real value to their workforce. I’ve seen roles that require travel advertised without the mention of a car, mileage or fuel allowance. Only to find out these roles offered fully expensed company vehicles, but they had not thought to include this as a perk in their job ad. I’m confident this would have deterred numerous suitable candidates from applying.

Discounts

Many retailers offer in-store staff discounts, ranging from free or subsidized lunches or coffees to 20% off their weekly shop. However, these discounts are often only disclosed when a new employee starts – rather than as part of the advertising campaign or even offer letter. Another great and highly valued perk comes in the form of group discounts. It is often worth reaching out to local businesses and asking if they will offer a small discount for your staff in return for the same for theirs. Many local gyms will also offer discounts when approached and being able to offer discounted or subsided gym membership is a substantial perk to many. I have seen discounts on everything from childcare and chemists to driving lessons and bakeries – it takes a little leg work but definitely worth the effort!

Annual Leave

Annual leave can be a deal breaker for many candidates when it comes to accepting a new role. Increasing annual leave with length of service is a wonderful way of rewarding and retaining those with the most experience in your business. “Birthday days off” is another benefit that has a significant impact on culture and retention. A number of retailers give their staff one additional day’s leave to be taken on their birthday. Obviously this incurs a cost to the store, but this novel incentive has such a positive impact on staff that I think it’s a worthwhile one to consider.

Employee Engagement Initiatives

These are less tangible and usually less costly, but that’s not to say they are any less impactful. Arranging initiatives or small incentives to keep employees feeling appreciated or part of a team goes a long way. Ideas here range from birthday cakes and celebrations to involving store staff in charity walks, fundraising drives, or community clean-ups. Employee recognition schemes – from €5 store vouchers for “staff member of the day” to employee awards events add to the sense of accomplishment and teamwork in most businesses and are a great way to build a positive culture in which people are reluctant to leave! Perhaps include Christmas parties or team bonding events to your list of benefits, if this is something you offer. Or maybe something to consider if you don’t.

Statutory

Don’t forget to include all those benefits employees can now avail of – regardless of whether they are something your business started or which is now mandated, such as sick pay, upcoming pensions, maternity leave, paternity leave, or parental leave.

Employee wellness

Many employers are offering Employee assistant programs or mental health days. Others offer discounts on doctor’s or dental visits. Healthcare insurance can be an overburdening cost to many retailers, but you may find – with a little research – a health insurer willing to offer a small discount to your staff.

Training

Nearly all the retailers I speak with offer excellent training and development as well as ample opportunities for growth and career development. This is certainly a perk worth shouting about as it is one of the highest-ranked benefits cited by employees looking for a move. If you offer mentoring and coaching to new employees, access to e-learning platforms, or indeed the opportunity to avail of further education it’s definitely worth shouting about.

Every Little Counts

In my experience, it’s worth listing every benefit you can offer – it really may be the difference between someone accepting or declining your job, or indeed the difference in one of your team accepting or declining a job offer from a competitor! Feel free to list everything from “free parking” and “free uniform” to “great location” and “competitive pay rates” – as they say – every little helps!

Shout it from the Rooftops (or Store Fronts)

It’s worth noting that the retailers who are most successful at attracting talent directly are the ones who shout loudest about their benefits. If you go onto the website of some of the most well-known value retailers, you will see their benefits highlighted on every page. Yet many other retailers offer similar if not better benefits and they are nearly a secret! My advice, for what it’s worth, is to list every single benefit – from statutory sick days, training programs, and EAP to Bike to Work and free coffees. It makes potential new hires take notice and potential leavers think twice!

You can check out this feature in the most recent edition of ShelfLife Magazine here. For more information call us on 01 814 8747 or email nikki@excelrecruitment.com

You can view all of our live jobs here

 

impact of national minimum wage increases

Examining the impacts of National Minimum Wage increases

Posted on | by Excel Recruitment

A lot of questions have been coming our way about the knock-on impact of the upcoming National Minimum Wage increase, in particular, how stores will be responding across the various levels of the business in order to remain competitive.

This impending increase of €1.40 reflects a 12.4% increase in just 12 months. The NMW increased, in total, €1.85 across 8 years from 2014 to 2022, with yearly manageable increases. However, we are seeing an increase of €2.20 per hour, equating to 21%, in just the two most recent increases. This increase is more than double the rate of wage increases across the state and understandably is having a significant impact on retailers across the country.

The most common question we are being asked is how retailers are responding across the rest of their store’s teams.

Entry Level Management Roles

Trainee Managers, Duty Managers, Team Leaders, and Store Supervisors were typically earning €26,000 to €28,000 a couple of years ago. This was an entry-level role where they gained experience and was a first step on the retail career ladder. The medium here now equates to the 2023 NMW for a 45 hour week.

There are many instances where the rates of minimum wage store staff have increased but this junior level Manager has not moved and so this level are being paid only slightly more than the teams they are managing. So, the issue here is one that impacts the entire store team. And this is what is causing concern for retailers across the country.

In an effort at fairness, many stores are increasing these junior managers’ salaries by the same percentage as the minimum wage increase. This means by the end of 2022 many, if not most of these junior managers were starting at €28,000 – €30,000 PA. However, a 21% increase from 2022 to 2024 would now bring an entry-level, junior management candidate to €36,000! A salary many experienced managers are on. This in turn causes an increase across the next level of managers – from assistant managers to fresh food and store managers. The question is, where does this become too crippling a cost for store owners to bear?

Natural Market Increase 

That’s not to say that the minimum wage is a bad thing – indeed – it’s important that all are paid fairly, however, it’s this knock-on effect which needs to be taken into account, to ensure stores stay profitable and all those working are being paid fairly. The low unemployment rate has already caused a natural increase in the minimum wage for good staff over the last couple of years. Meaning that any retailers who worked hard could expect an increase from their employer in order to retain them. This market balance means stores are paying those who work hardest more and have the budget to reward those who deserve it.

Retailer’s Response 

Many of the retailers I spoke to are already paying their staff above minimum wage. However, 2024 will force an increase that brings all staff to the same level regardless of their performance.

Other retailers will offset this cost by trimming hours in their stores where possible.

More still will look at their ratio of under 18 staff and seek to balance their wage bill by ensuring they have a mix of under 18 staff and more experienced staff. However, with the current legislation around under 18s selling alcohol and tobacco, this is often not an option!

Wage Wars

This 2024 increase will see the “levelling out” of salaries. This means many competing employers will start increasing again in order to attract top talent in a still overheated employment market.

Some retailers suggested that rather than compete with more “wage wars” against other employers they will look at their contracted hours, shift patterns, benefit packages, and reward schemes. This seems to be the most palatable solution going forward as any additional increases past Januarys increase seem most unpalatable.

What’s next

Considering the substantial increase of 2024, the projected NMW increase of 2025, the additional February Bank Holiday,  the additional sick pay, and the auto enrolment for pensions, many retailers will be looking long and hard at their P&L sheets this year end.

2024 will likely see retailers making sure they get the most value for money in terms of new hires, paying a little more for a lot more talent by moving up the ladder to more experienced hires and adjusting their overall packages to remain an employer of choice and attracting the best talent available to drive their stores forward.

You can check out this feature in the most recent edition of ShelfLife Magazine here. For more information call us on 01 814 8747 or email nikki@excelrecruitment.com

You can view all of our live jobs here

retail industry

‘Where is the government’s support for the retail industry?’

Posted on | by Editorial Team

Following the government’s recent summoning of grocery retailers to discuss unverified “price gouging”, our Director of Grocery Retail Recruitment, Nikki Murran, shares her thoughts on how the government should stop admonishing and instead support independent retailers who are coping with price increases

There was widespread press coverage last month on May 8th announcing that the government was summoning grocery retailers to discuss “unverified reports of price gouging”. Excel Recruitment has been in partnership with the grocery retail industry for over 20 years and is placed in a somewhat unique position of speaking with competing grocers on a near-daily basis.

Absorbing cost increases

We reached out to various retailers to discuss their thoughts on this supposed price gouging and found a consistent response across the sector. Most retailers were quick to point out that they have been absorbing cost increases over the past three years, with little to no price hikes for a large proportion of this time.

From the outset of the pandemic, when most of the world was locked in their houses, retailers ranging from 16 to 65 years old were working on the frontline. As panic buying ensued and grocery trips became the highlight of households, stores saw an increase in sales. However, along with this surge, there were dips in margins as delis rapidly declined and consumers shifted to online ordering. Rather than passing these costs onto the customers, most food retailers absorbed them.

Additionally, when hospitality reopened, a staffing crisis emerged. Many retailers experienced a large exodus of employees who opted for Pandemic Unemployment Payments (PUP) rather than progressing their retail careers. Others chose to pursue online degrees or returned to their home countries. In this highly competitive employment market, entry-level staff rates increased in many retailers, and once again, this cost was predominantly shouldered by the retailers themselves.

Fast forward a year later, and retailers are now juggling the impact of war causing an energy crisis, spiralling supply chain costs, and the increasing cost of goods. At this point, many retailers were striving to minimize the impact on their product lines while balancing these rising expenses.

Increased employment costs

In January 2023, the government implemented a 7.6% increase in the minimum wage. They also announced the Sick Leave Act, which is funded, in large part, by the employer. These two measures proved to be the proverbial straw that broke the camel’s back when it came to price increases.

So, the consistent response we have seen from retailers is contempt. They feel contempt towards the same government that imposed these costly measures, not to mention the impending mandatory pension enrolment, onto retailers, only to announce a few months later that they are summoning these same retailers to discuss food price increases.

Knock-on effect on hiring

This situation has a knock-on effect on hiring. Few people aspire to join a company or industry that is seen as greedy or unethical. Nearly all independent retailers we have spoken with are effusive in their assertions that they have, at best, maintained their margin over the past number of years. They emphasize that this accomplishment was hard-fought through strategic product placement and department participation, rather than resorting to price hikes.

It begs the question: rather than the government making sweeping statements and accusations, where is their support for this industry? This is an industry that supported the economy and the community in a time of crisis, an industry that rallied around the vulnerable to deliver their shopping, often, at their own expense.

Government deflection

The government’s response reads to many retailers as a deflection from their own failings and lack of support as the country faces rising inflation and energy crises. Not to mention the staffing crisis they fuelled with a mostly unregulated Pandemic Unemployment Payment system, minimum wage increases and sick pay schemes.

If the government truly wants to help retailers to lower costs which can be passed on to the consumer, why not start with a scheme whereby those on social welfare are incentivized to work in their local store to gain experience? Or invest in better transport infrastructure so those without a car can reach more retail jobs, which likely operate outside of current public transport hours?

It seems that announcing meetings to discuss unverified claims was a much more effective publicity move than actually implementing any real changes that would make a tangible impact.

You can check out this feature in ShelfLife magazine here

Fashion & Non-Food Retail

Fashion & Non-Food Salary Outlook 2022

Posted on | by Editorial Team

Industry Outlook & Not-For-Profit Organisation’s

After nearly two years of disruption, companies are still adapting to new consumer priorities, and digital is providing a nexus for growth. Nevertheless, the industry faces significant challenges amid the large influx of retail jobs required, but there is not enough candidates around to fill these roles.

Why is this? The speed of recovery across regions is expected to be uneven, and players must stay flexible in the market to attract more candidates to the industry.

There’s several economic factors affecting retail jobs such as

• Two years of minimal new entrants to the retail industry.
• We’re losing a variety of experienced managers who may have lost their jobs, or where stores were temporarily closed. This resulted in people seeking employment in new sectors.
• You can also expect to see the usual losses of managers moving out of retail for various personal reasons.
• We’ve seen a lot of retail fashion managers upskilling since the 2020-2021 closure. This segment of people are now carrying out a variety of online courses and returning to education to gain new knowledge/skills for completely different industries.

On a positive note, we’ve seen many non-profit organisation’s, address their fundraising challenges by pivoting towards digital strategies so they can provide essential resources and funds for their communities. This has helped the industry to see an increase in both sales, customers, and new store openings. The fashion and luxury goods industries have really stepped it up when paying attention to the impact they have on the environment. This is vital for the sector as many people now have a keen interest in sustainability initiatives through upcycling clothes or buying from vintage stores which has created a footfall of new customers. The growth in these sustainable efforts will continue to prosper and we’re all for ‘what’s preloved in your wardrobe, can be reloved in someone else’s wardrobe’.

How To Attract More Talent For Retail?

Employers now need to place more time into writing their job advertisements.

Some tips that will help with this are as follows:

• Clearly outline the role and the responsibilities, but more importantly you will need to highlight the benefits. Be creative with your benefits package.
• Look at the trading hours and ensure a work life balance can be achieved – every second weekend off is one of our favourites.
• Basic salary must be competitive.
• Bonus structure should be clear and achievable with stated KPI’s based on previous years and months.
• Discounts can be broken down into various costs & perks.
• A Pension Scheme is certainly worth looking at and very much appreciated by candidates.
• Healthcare is again very important to people.
• Team Building like creative fun days or events / celebrations are great talking points. Candidates buy into employers & company culture in the same way that employers buy into a candidates fit for a role.
• Maternity Leave is a benefit that we are starting to see more of. This does not have to cover the entire maternity leave, but partial cover is greatly appreciated by all.

Looking Ahead to 2022

Similar to 2021, we’ve seen a lot of challenges particularly around logistics and people. However, the retail industry remains very strong with areas such as DIY, Home and Fashion all recording excellent results. Sports casual and fitness companies will see continued growth, while “green careers” which is tied in with sustainability will remain a huge focus in 2022. All in all, we anticipate a busy year ahead with a huge demand for candidates across this sector.

If you need any assistance, please contact aislinn@excelrecruitment.com. If you are looking for a job in the Fashion & Non-Food retail industry, please see our live jobs here. View the Fashion Non-Food Salary Guide 2022 here.

Grocery Retail Jobs

Grocery Retail Salary Outlook 2022

Posted on | by Editorial Team

Key Trends in the Grocery Retail Industry

Over the last 12 months, we have yet again seen how robust and adaptive the Irish grocery retail sector really is. Not only have we witnessed the growth in sales across the industry as a whole, but we’ve also watched as this incredible industry, and the people in it, spectacularly met the ever-changing challenges that 2021 brought!

In the second half of the year, Retailers faced peaks in demand for top talent in all areas of the grocery sector. The re-opening of the non-food and hospitality sectors carried further challenges as retailers encountered staff shortages in many of their entry level roles.

This, coupled with an exodus of many staff to their home countries saw pressure across many stores to keep their staffing levels at a rate that could match their store needs.

The areas most impacted are mainly in fresh foods with delicatessens, bakeries, and butchers. The salary increases across 2021 reflect this.

We have also seen an increase in the entry level management roles since the rise in the minimum wage in 2020 along with the Pandemic Unemployment Payment which forced retailers to up the entry-level hourly rates in many circumstances.

This has caused a knock-on effect for many of the Supervisor and Trainee Manager salaries in the last 12 months.

What Are Employers Doing?

Across the industry, employers are still seeking ways to grow, retain and attract top talent. Similar to previous years, employers are still working hard and trying to think ‘outside the box’ to keep talented staff.

Furthermore, there is a particular focus on work-life balance, culture, and progression. Another important aspect that employers should place a strong focus on is keeping his/her staff safe whilst in the workplace.

Much like last year, 2022 looks set to be a challenging but exciting time for the Irish grocery retail. Despite a testing 2021 and facing into a somewhat uncertain 2022, retailers remain as passionate and as energetic about the industry as ever.

What’s Next?

If you wish to discuss the findings of this guide or how we can assist with your recruitment needs, please feel free to contact us at www.excelrecruitment.com.

Alternatively, you can call us on 01 814 8747 or email Nikki, our Director of Grocery Retail at nikki@excelrecruitment.com.

We have compiled this guide which is supported by data from the best retail managers across the country. This guide is designed to give our clients a guide to the current market prices for the various roles within the Irish grocery market.

If you would like more information on the Grocery Retail Salary Outlook for 2022, please click here for the Grocery Retail Salary Guide 2022.

Public Health Alcohol Bill faces more criticism

Posted on | by Aisling Rafferty

 

 

The controversial Public Health Alcohol Bill is facing fresh criticism and could now be doubt.

The Bill, which would require retailers to separate alcohol products from other food and drink, was the subject of a meeting between the Independent Alliance and Minister of State Marcella Corcoran Kennedy. The group of TDs expressed strong opposition to the Bill and told the minister that the move is “a step too far”.

The Public Health (Alcohol) Bill will require alcohol to be separated from other products in shops by erecting a physical barrier, through which alcohol products and advertising would not be readily visible to members of the public. Independent Minister of State, Sean Canney and Kevin ‘Boxer’ Moran were at the forefront of the criticism. .Mr Canney said it would be “a retrograde step” and simply “inoperable”, while Mr Moran said the proposed laws were akin to a “nanny state”.

The Bill will be debated in the Seanad in the coming weeks and so far, fifty-two amendments to the Bill have been submitted. The passage of the Bill through to the Oireachtas is expected to be “extraordinarily slow”. Fine Gael sources said the pressure on the minister from her own backbenchers is “monumental”, although she was backed up by Tánaiste Frances Fitzgerald at the party meeting.

The Public Health Alcohol Bill has been extremely controversial since its inception, especially within the retail community. If passed, the Bill would see small retailers and corner shop owners have to invest thousands of euro into their premises to build barriers to segregate alcohol products from other products.