Supply Chain Professionals in Demand, Salaries Rise: Australia

Smart Robotics Technology at Nestle Australia

Robotic layer picking system at Nestlé’s Arndell Park National Distribution Centre was recognized at the 2011 Australian Supply Chain and Logistics Awards in Perth.

As continued growth in the Australian third party logistics (3PL) industry is expected for the balance of 2012, demand for qualified supply chain candidates is expected to be high.

This, in turn, is putting upward pressure on salaries and pay scales for workers and professionals in a variety of supply chain – related disciplines, including warehousing, transportation, heavy equipment operations, international trade, customer service, and 3PL account management.

Salaries will enjoy a modest rise, typically from 3% to 6%, and demand in Western Australia is particularly strong. Difficulty in filling available positions is causing 3PL providers to look outward for international candidates.

Australia’s Supply Chain Review magazine today released the recent findings from the Hays Salary Guide. Hays is an internationally recognized recruitment firm.

Today’s rise in the minimum wage comes as recruitment firm Hays predicts that logistics professionals can expect a moderate salary increase this year.

The company’s Hays Salary Guide for this year says 38 percent of transport and distribution employers increased salaries last year between 3 percent and 6 percent.

It says only 2 percent of company gave an increase of 6 percent, compared with 53 percent which raised salaries by less than 3 percent. Hays says 7 percent of companies gave no increase at all.

Looking ahead, Hays says 37 per cent of employers intend to increase salaries between 3 percent and 6 percent. A further 3 percent will increase above 6 percent.

But 54 percent of employers intend to increase salaries less than three per cent and six per cent intend to offer no increases when they next review.

“Australia’s logistics industry started the 2011-12 financial year positively, with candidates across supply chain and the transport categories in high demand,” Senior Regional Director Tim James says.

“This slowly declined by Christmas and our wet summer of 2012, which was reflected in salaries for most roles and locations.

“This trend is forecast to continue throughout the remainder of 2012, with increases predominantly in organisations associated with the resources sector.

“Perhaps it’s no surprise that the most noteworthy trends have occurred in our resources states.”

Over the last 12 months, Western Australia saw an increase in demand for experienced candidates with heavy haulage and oversize experience.

This has been brought about by the increase in mid-size transport companies looking to support the resources sector.

“In the coming months, this demand is expected to increase because of the shortage of quality candidates, forcing companies to pay more competitive salaries,” James says.

“Freight forwarding and international trade is also increasing in the state, with international and east-coast organisations expanding their operations into Western Australia. (Read more…)

Australia’s logistics and supply chain industries are sharing in positive employment and compensation trends seen frequently around the world, in spite of uncertain macroeconomic conditions.

All the more reason for talented individuals to seriously consider this as a rewarding career alternative.

Your thoughts are welcome.



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