Whether you’re aiming for ROI in terms of filled positions, reduced turnover or both, it’s hard to know if your pay rate increase is having the desired effect. But that’s where strategic partners can help. Take a look at these 10 pay rate success stories from Randstad’s clients to see where the biggest value can be gained.
co-pack facility — groveport, ohio
The company increased their hourly pay from $14.50 to $18.50 for unskilled positions without drug screens, background checks or attendance policies. Prior to the change, they had a 50 percent fill rate. The day after it, they had 120 percent of the talent they needed.
manufacturing company — rural east tennessee
After the manufacturer increased their second-shift pay rate by $4 per hour, they suddenly went from filling only 17 second-shift positions to filling 87 — an increase of 412 percent from one quarter to the next.
distribution center — byhalia, mississippi
The distribution center, primarily hiring for forklift roles, increased their starting wages by $3.50 an hour — after which Randstad was able to fill 100-plus orders in six weeks. At the same time, the company’s weekly turnover dropped to just 2.7 percent.
logistics company — tracy, california
Increasing pay rates resulted in a 12 percent improvement in the company’s fill rate — all in the course of a single quarter.
automotive parts distributor — richmond, virginia
This major automotive parts distributor located near Richmond, Virginia, wanted to ensure their pay rates were competitive. Based on Randstad’s recommendations, they increased pay by $1.50 an hour for general warehouse associates and $3.00 an hour for PIT operators. Both moves proved critical: Despite a spike in demand in which labor hours jumped 100 percent, the company saw a 6.5 percent reduction in overtime from the previous quarter.
semiconductor company — multiple locations
The semiconductor company with locations in multiple states increased their hourly pay rates and successfully filled 307 open positions, driving their total head count from 131 to 253.
energy company — california
After the energy company increased their pay rates by $2.00 per hour, they saw a 28 percent decrease in weekly turnover — and also managed to attract 296 new applicants.
distribution center — olive branch, mississippi
The distribution center, which had openings for picker/packer and forklift positions, increased their hourly rates by $2. The result? A 13 percent increase in fill rate. A 34 percent decrease in turnover. And overall attendance improvements north of 90 percent.
retail distribution center — virginia
This major retail distribution center increased pay by $1.75 per hour to coincide with their projected peak production season. Based on Randstad’s analysis and recommendations, they decided to maintain this peak-time pay rate, resulting in a six percent increase in schedule adherence and a five percent reduction in weekly turnover in Q4 versus the previous three quarters.
manufacturing company — jacksonville, florida
After the manufacturer increased their hourly pay rates by $2.50, they saw a 19 percent improvement in their fill rate from one month to the next. What’s more, weekly turnover improved 25 percent.
find the right pay rate
Looking to locate the sweet spot when it comes to compensation? As examples like these vividly illustrate, Randstad can help. For starters, check out our salary guide to get insights about pay rates for virtually any role in your market. Plus, if you want to see how we can deliver results like the above for your company, contact us today.