The Supply Chain Talent Crunch of 2025.

2 June 2025

How UK Employers Can Overcome the Shortage

You’re not alone if you struggle to recruit good people in supply chain, logistics, or warehousing roles. Nearly one-third of UK businesses are still experiencing labour shortages, and 76% of employers report difficulty filling roles due to a lack of skilled candidates. In our sector, this talent crunch is especially acute: almost half of HGV drivers in the UK are over 50 (nearing retirement), yet too few young professionals are joining the ranks. The result is a fiercely competitive market for supply chain talent at all levels, from warehouse supervisors to supply chain managers.

Why Are Supply Chain Employers Struggling to Hire?

An ageing workforce and fewer new entrants: Logistics has a demographic problem. Long-serving baby boomers are retiring, but not enough younger workers are stepping in to replace them. Only about 13% of the logistics workforce is under 25, and roles like trucking have trouble attracting youth. Nearly half of HGV drivers are over 50, which poses a future shortage risk as retirements outpace new hires. This generational gap means employers are fishing in a shrinking talent pool.

Skills gaps in a changing industry: Modern supply chain roles increasingly require digital and analytical skills – from mastering warehouse automation to leveraging AI in forecasting. However, companies find that candidates with these tech-related skills are in short supply. In one survey, 42% of logistics firms said a lack of job-specific skills was the top barrier to successful hiring. As the industry adopts more robotics and data-driven tools, the demand for tech-savvy professionals has surged – and hiring managers are feeling the pinch.

Lingering post-Brexit and post-pandemic effects: The wider labour market shocks of recent years hit logistics hard. Brexit meant fewer EU workers were available, and the pandemic saw many older employees exit the workforce. Combined with the UK’s low unemployment and higher economic inactivity, these factors have left many firms unable to fill roles as quickly as needed. In fact, nearly half of businesses across sectors have been unable to meet output goals due to staffing shortages—a scenario all too familiar in warehouses struggling to staff shifts.

Job appeal and retention challenges: Let’s face it – some supply chain roles have an image problem. Warehouse and driver positions are often physically demanding, with long or irregular hours. This perception can dissuade potential candidates. Moreover, employee turnover remains a concern. The UK transport and logistics sector sees turnover rates as high as 25% in some areas, meaning employers struggle to hire new talent and keep their existing staff. Low industry wages in the past haven’t helped (25% of firms cite low pay as a recruitment challenge), although recent pay increases and better benefits are starting to improve the picture. All these factors contribute to a pressing talent shortage that leaves many employers with unfilled vacancies and mounting pressure on remaining employees.

How to Attract Top Supply Chain Talent in 2025

While the talent shortage is real, there are practical steps you can take to stand out as an employer and bring more candidates through your doors. In our experience, a proactive approach to employer branding and recruitment strategy makes all the difference. Here are several methods to consider:

  • Refresh your compensation and benefits: A competitive salary and attractive benefits are crucial in a tight labour market. Logistics professionals have endured a lot in recent years, and many are seeking better work-life balance and stability. (In one survey, 50% of logistics workers said they want improved work-life balance, and two-thirds would stay for a counteroffer that promises growth or security.) Review your pay scales against the market and consider boosting non-monetary benefits – from health and wellbeing programs to flexible scheduling – that show you value employees’ quality of life.
  • Highlight career development opportunities: One key way to entice candidates is by offering a clear path for advancement and skill growth. Ambitious professionals want to know they can build a career with you, not just take a dead-end job. Promote training programs, mentorship, and internal promotions in your recruitment messaging. Showing you to invest in your people’s long-term growth can set you apart. (Remember, many candidates are hungry for advancement – clarity around future career opportunities and a culture of development are “key areas” top-tier candidates look for.)
  • Embrace technology and innovation: Logistics isn’t a “dirty hands” industry anymore – it’s increasingly high-tech, and that can be a selling point. Let candidates know if your warehouse uses automation or if your supply chain team leverages advanced software! This can excite tech-savvy prospects and counter the notion that these jobs are stagnant or old-fashioned. For example, some firms now showcase how robotics reduce the tedious manual work in warehouses, making roles more engaging and future-focused. Embracing innovation improves your operations and attracts forward-thinking talent who want to work with modern tools.
  • Expand your talent pool (diversity is key): Tapping into underrepresented demographics can help alleviate the talent crunch. Women, for instance, remain significantly underrepresented in many logistics roles (less than 6% of truck drivers globally are female). By actively reaching out to groups who historically haven’t seen logistics as a welcoming career – and fostering an inclusive workplace – you can find motivated talent that others overlook. Showcase success stories of diverse employees and ensure your culture and policies are inclusive. A broader talent pipeline will naturally follow.
  • Streamline and modernise your hiring process: Don’t let an outdated recruitment process turn candidates off. Younger candidates, especially, expect a quick and smooth application experience. Research shows that 60% of candidates are likelier to drop off if an application takes more than 10 minutes. Evaluate your hiring steps – are online applications mobile-friendly? Do you need that lengthy form, or could a short initial application suffice? Also, meet candidates where they are: leverage social media and professional networks (like LinkedIn) to advertise roles and connect with talent. A user-friendly, digital-savvy approach to recruiting yields more applicants and signals that your company keeps up with the times.

Retaining the Talent You Hire

Attracting applicants is only half the battle – keeping your best people is equally important. High turnover can quickly erase the gains of successful hiring, and with skill shortages, you can’t afford to lose the talent you already have. To improve retention in supply chain and logistics roles, focus on creating an environment where employees want to stay:

  • Onboard and integrate thoughtfully: Ensure new hires feel welcomed, trained, and set up for success from day one. A strong onboarding process can boost long-term retention by making employees feel valued and competent.
  • Invest in upskilling and career progression: Help your team continuously grow. Whether sponsoring a supply chain management course, providing on-the-job training for new technology, or defining clear promotion pathways, showing employees how they can advance keeps them engaged. It’s far more cost-effective to develop your existing staff into senior roles than to hire externally each time. Plus, it sends a message that talent is nurtured from within.
  • Foster a positive, supportive culture: Long hours and pressure will always be part of logistics, but a strong team culture can offset the stress. Encourage open communication, recognise achievements, and ensure managers lead by example. Simple initiatives – from safety and wellness programs to regular check-ins about workload – demonstrate that you care. Employees who feel heard and supported are much less likely to look for other opportunities. As one industry insight noted, people-focused culture and clarity in career growth are significant factors for logistics professionals considering whether to stay or go.

By doubling down on retention, you will reduce turnover costs and build a reputation as a trustworthy employer, making recruiting easier.

Leverage Specialist Support to Gain an Edge

Partnering with a specialist recruitment agency can give you a significant advantage in a candidate-driven market. This is where SCL Recruitment comes in. As a firm with over 25 years of hands-on experience in logistics and supply chain recruitment, we understand the pressure behind every hire and the nuances of this industry. We don’t just forward CVs – we proactively seek out the right leaders with the exact skill sets and mindset your business needs, even if they’re not actively job hunting.

Working with a specialist recruiter like SCL Recruitment allows you access to a deep network of pre-screened supply chain professionals, from mid-level managers to executive leaders. We stay on top of market salary rates and emerging skill trends to advise you on making competitive offers that get accepted. We also save you time by presenting only truly qualified, interested candidates, allowing you to keep your focus on running your operations. Most importantly, we act as your trusted talent partner – offering honest advice, market insights, and a personalised approach to solve your hiring challenges quickly and effectively.

Ready to Solve Your Supply Chain Hiring Challenges?

The talent shortage in logistics may be a national challenge, but with the right strategies and partners, you can overcome it at your organisation. By sharpening your employer brand, thinking creatively about attraction and retention, and leveraging specialist support, you’ll be in a strong position to secure the skills your business needs to thrive.

If your company feels the strain of unfilled supply chain roles, now is the time to act. Contact SCL Recruitment today to discuss how we can help you find (and keep) the talented professionals who will drive your business forward. Let us handle the hard work of recruitment so you can focus on keeping the supply chain moving. Contact us to build the team to keep you ahead in 2025 and beyond.

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