Even the best labor management software won’t work without labor. Unfortunately, a labor shortage is one of the biggest supply chain risks today. Young people seem to prefer to make money on TikTok and Instagram as opposed to working in a warehouse. We recently asked a few industry experts to comment on how we can engage a new generation.
Here’s what they had to say:
- Labor management tip #1: Motivate through recognition, rewards, and automation
- Labor management tip #2: Make the work safer and easier
- Labor management tip #3: Provide opportunities for growth
- Labor Management Tip #4: Turn your warehouse into a game younger workers actually want to play
Labor Management Tip #1: Motivate Through Recognition, Rewards, and Automation
John Seidl, Director, Partnerships and Alliances at TZA / Easy Metrics, shares, “It is absolutely a challenge. The 20-somethings are motivated differently than I was when I was in that age bracket and seeking employment. It’s all about employee engagement, making sure they recognize the value they’re bringing. The recognition and reward program [needs to be] appropriate to what it is they desire to have.”
He continues, “In my generation, it was more about a little extra monetary compensation. Today, that’s still certainly important, but that additional recognition of your contribution and the coaching employee engagement elements are what makes the difference. Also, the younger generation likes to work in automated facilities more than the traditional manual operation, so we find that our customers that are leveraging a lot of robotics or advanced automation, and then pairing that with a strong labor management program, have the highest retention rates.”
Labor Management Tip #2: Make the Work Safer and Easier
Steve Simmerman, Head of Global Alliances at Locus Robotics, shares, “One of the challenges in supply chain really revolves around labor and the availability of labor. The cost of labor is also an important factor. Labor costs in a warehouse have risen to unbelievable heights in most major distribution areas. You’re seeing starting wages at $24-25 an hour—which was unheard of a few years ago.”
He continues, “And, you’re right. A lot of the younger workers today don’t want to go and work in a traditional warehouse environment. So, one of the most important things about robotics is making the work life easier and safer for the associates on the floor. So, I don’t have to pull a pallet jack. I can walk alongside a robot and simply interact with that bot, for example. So, it’s all about responding to the shortage of labor, the wages supporting that, and making the work life of an associate on the floor safer and easier.”
Labor Management Tip #3: Provide Opportunities For Growth
John Moretti, Head of Product at Robust.AI, shares, “I think it’s hard when people’s daily lives, especially the younger generation, have so much that’s digital. There’s technology involved in everything we’re all doing right now. So if you’re told to apply for this job where we’re gonna carry a clipboard and keep track of inventory and anything that’s out of the ordinary, write down on a clipboard and take note of it and try to track everything; or walk in a warehouse and it’s five football fields long—those kind of dull repetitive tasks, or things that could be digital, are definitely things that are hurting getting the employees in.”
He continues, “If you flip that around, though, and it’s now you’re working with high technology and integrated software, so it’s all digital. Or if you’re eliminating those walking steps, you’re making their jobs easier. If you bring robotics in, for example, now you’re a robot operator. You’re trained and certified to operate a certain robot. You’re working with that collaboratively, daily, and you can even troubleshoot and learn how to fix it. Those are ways to level up those jobs. Whether they level up in your warehouse or in their future careers, it’s something that’s interesting to them and makes it a lot more enticing.”
Labor Management Tip #4: Turn Your Warehouse into a Game Younger Workers Actually Want to Play
Traditional labor management operated on a simple principle: avoid mistakes or face consequences. Workers kept their heads down and hoped to stay off management’s radar. Gamification flips this script, rewarding achievements and fostering friendly competition. The result? Higher productivity, improved accuracy, and a motivated workforce that actually wants to show up.
“Instead of striving not to fail, workers now compete to excel,” explains Jeff Jones, Senior Account Executive at Made4net. “Points for productivity milestones, leaderboards for accuracy achievements, badges for mastering new skills—suddenly, hitting operational goals isn’t a grind. It’s engaging and even fun. We’re seeing operations transform their culture simply by making performance visible and celebrating wins instead of only highlighting failures.”
Gen Z and younger Millennials expect this approach. They’ve grown up where fitness apps gamify daily steps, ride-share platforms reward driver performance, and social media quantifies engagement. When they enter a warehouse with gamified labor management, it feels intuitive. The same triggers that kept them engaged with apps now drive warehouse performance—real-time progress tracking, healthy peer competition, and tangible recognition for their efforts.
Getting Ahead of a Shifting Workforce
Attracting younger generations to warehouse and supply chain roles isn’t just about raising wages—it’s about reimagining the work experience. As our industry experts pointed out, younger workers are drawn to environments that value recognition, embrace technology, prioritize safety and efficiency and gamify the work experience. By investing in automation, modernizing repetitive tasks, and offering opportunities for growth and engagement, companies can create a workplace that not only appeals to today’s workforce but also builds long-term retention. The labor market may be shifting, but with the right labor management strategies in place, the supply chain can keep moving forward—smarter, safer, and more sustainably.
Want more labor management tips? Check out our Ask the Experts Whitepaper: Top Tips for Combatting Labor Shortages in your DC.