Poor hiring decisions in the industrial sector are driving up safety incidents and reducing productivity, with 21 per cent of organizations reporting more workplace accidents due to bad hires, according to new research.
The study by talent management firm Talogy found that 73 per cent of industrial hiring professionals in the United States feel pressured to hire quickly, leading to rushed recruitment decisions that hurt their bottom line.
More than half of the 855 survey respondents reported increased costs from having to rehire or retrain workers, while 63 per cent saw decreased productivity and 56 per cent reported poor work quality, the company said.
Skills gaps hurting performance
The research covered sectors including manufacturing, construction, logistics, transportation, energy, warehousing, utilities, automotive and engineering across North America.
Companies are struggling to find workers with both technical abilities and transferable skills needed for entry-level industrial roles, according to the study.
The top four missing skills in new hires were attention to detail, problem-solving, communication and advanced technical skills, Talogy reported.
“Industrial jobs are often shift-based, physically demanding, and require consistency, teamwork, and safety-mindedness,” said Trevor McGlochlin, managing research and development consultant at Talogy.
Technology driving demand for versatile workers
The findings show that 85 per cent of survey respondents believe hiring for quality and skill readiness is becoming more critical as technology advances across industrial sectors, the company said.
“With technology changing so rapidly, recruiting people who have both technical and transferable skills is clearly a priority,” McGlochlin said.
He noted that while candidates may meet basic technical requirements, those lacking qualities like reliability, resilience and attention to detail are less likely to succeed in their roles.
Safety concerns prompt hiring changes
The link between poor hires and safety incidents is pushing companies to reconsider their recruitment strategies, according to the research.
“The fact that many of our respondents could directly link safety incidents to a poor hire is very worrying,” McGlochlin said.
Companies are now demanding workers who can adapt to changing technology while maintaining safety standards and productivity levels, the study found.
The pressure to fill positions quickly often conflicts with the need to thoroughly assess candidates’ skills and fit for industrial environments, Talogy reported.