Tight Labor Market & the Impact on Mid-Market Manufacturers

The labor market report released on August 5, 2022 stated that the non-farm payroll is back above pandemic levels. While employment numbers are looking strong there are still industries still struggling to find and keep talent.

Shannon Gabriel, TBM’s Managing Director of Leadership Solutions, speaks with Bloomberg Radio about what the labor market really means for middle market manufacturing and distribution industries and why they are still struggling to find talent at all levels.

In this Bloomberg Radio segment Shannon discusses:

How “pandemic PTSD” has influenced the job market
Compensation increases at the leadership ranks
How companies may handle a possible recession
Top industries that struggle to staff up
Women’s impact on the job market

Frequently Asked Questions

How is the tight labor market affecting mid-market manufacturers and distributors?

Despite overall non-farm payrolls exceeding pre-pandemic levels as of August 2022, mid-market manufacturers and distributors are facing persistent difficulties in both hiring and retaining talent. Even as the labor market appears strong, these sectors continue to struggle at multiple levels—with effects felt across operations and workforce stability.

What role does “pandemic PTSD” play in current labor challenges?

“Pandemic PTSD” refers to lingering anxieties and altered work attitudes that many employees developed during COVID-19. According to Shannon Gabriel from TBM, this psychological impact is influencing job seekers’ expectations and employment decisions, further complicating recruitment and retention efforts in manufacturing environments.

What strategies are manufacturers using to respond to labor pressures?

Mid-market manufacturers are addressing labor shortages by increasing compensation—especially at leadership levels—and preparing contingencies in case of a recession. They are also closely monitoring which industries are most affected and adapting their workforce strategies accordingly, including evaluating the growing influence of women in the labor force.