Logistics Workforce Planning: Building a Workforce Model That Can Keep Up with Demand

Australia's logistics sector has always operated in a high-pressure environment. But today, the challenge isn't just moving goods from A to B. It's finding enough people to keep operations running efficiently while managing rising costs, service expectations and ongoing workforce shortages.

According to the Australian labour market, there were more than 339,000 job vacancies nationally last year, highlighting the ongoing challenge many employers face in securing talent when they need it most. Combined with rising wage pressures and increasing customer expectations, workforce planning has become a critical business priority.

For many logistics leaders, workforce planning is now one of the biggest factors influencing operational performance. When labour isn't available where and when it's needed, the impact is felt quickly. Overtime costs increase, productivity slows, customer service suffers, and managers find themselves spending more time solving workforce issues than focusing on growth.

At the same time, logistics businesses are navigating a changing workforce landscape. Research from our latest report found that 37% of the skills used in supply chain and transport roles today are expected to change by 2030 as automation, data and AI continue to reshape the industry.

For employers, the question is no longer simply, "How do we fill vacancies?" It's "How do we build a workforce model that can respond to changing demand, support productivity and remain sustainable over the long term?"

Why Traditional Workforce Planning No Longer Works

Many logistics businesses still rely on reactive workforce planning.

A major customer increases volumes, a busy season arrives, or employee turnover spikes and the response is often the same: recruit quickly, increase overtime and hope operations keep pace.

The reality is that workforce challenges rarely occur in isolation. Labour shortages, absenteeism, onboarding delays and productivity pressures often compound each other.

As supply chains become more complex, workforce planning is increasingly becoming a business issue rather than simply an HR issue.

In high-volume environments, even small workforce gaps can impact service levels, increase operating costs and place additional pressure on existing teams. Adecco's logistics workforce research highlights how poor capacity planning can create a cycle of overtime reliance, burnout and declining productivity.

The Workforce Challenges Keeping Logistics Leaders Up at Night

Demand Doesn't Wait

Whether it's peak retail periods, seasonal fluctuations or sudden increases in customer demand, logistics operations need the ability to scale quickly. The challenge is doing so without constantly relying on last-minute hiring or excessive overtime. Businesses that lack workforce flexibility often find themselves caught between workforce shortages and rising labour costs.

Turnover Comes at a Cost

Employee turnover remains a significant issue across warehousing and logistics.

Most businesses understand the recruitment cost. What is often overlooked is the broader operational impact. New starters need training. Team leaders spend time onboarding. Productivity drops while employees get up to speed. Over time, this creates hidden costs that can significantly affect profitability and service performance.

Competition for forklift operators, warehouse staff, drivers and other operational roles remains high across many parts of Australia, making workforce retention just as important as recruitment.

Labour Costs Continue to Rise

For logistics operators working within tight margins, workforce costs remain under constant scrutiny. The challenge isn't simply reducing labour spend. It's ensuring labour resources are aligned with operational demand. Having too few workers creates service risks. Having too many impacts productivity and profitability. Finding the right balance is what distinguishes high-performing operations from those constantly reacting to workforce pressure.

Technology Is Changing Workforce Requirements

Automation is becoming more common across warehouses and distribution centres, but people remain critical to operational success.

From forklift operators and pick-pack teams to supervisors and maintenance specialists, attracting and retaining skilled workers remains a key challenge for employers.

At the same time, workforce skills are evolving. Organisations need people who can adapt to new systems, technologies and ways of working while continuing to maintain safety, productivity and service standards. As AI and automation become more embedded in logistics operations, workforce planning is increasingly about future capability as much as current workforce availability.

What High-Performing Logistics Operations Are Doing Differently

Leading organisations are moving away from simply filling shifts. Instead, they're taking a more strategic approach to workforce planning by focusing on:

• Workforce scalability
• Talent pipelines
• Reduced turnover and absenteeism
• Faster onboarding
• Workforce visibility and reporting
• Consistent workforce management across locations

They're also looking at workforce performance through a broader lens, recognising that labour availability, productivity, safety and service delivery are closely connected. The goal isn't simply to fill shifts when demand increases. It's to build a workforce model that can support growth, maintain productivity and adapt when business needs change.

Is Your Workforce Model Ready?

Ask yourself:

• Can your workforce scale quickly when volumes increase?
• Do you have visibility of turnover, absenteeism and productivity trends?
• Does your labour spend aligned with operational demand?
• Can your operation absorb demand fluctuations without affecting service levels?
• Do managers spend more time firefighting workforce issues than planning ahead?

If several of these questions raise concerns, it may be time to rethink your workforce strategy.

Solving the Logistics Workforce Puzzle

Building a scalable workforce model isn't about hiring more people. It's about creating the right workforce structure to support productivity, manage costs and respond to changing demand. Our latest whitepaper, Solving the Logistics Workforce Puzzle, explores practical strategies for:

• Improving workforce scalability
• Reducing turnover and absenteeism
• Accelerating hiring and onboarding
• Strengthening multi-site workforce management
• Building a more resilient logistics operation

Download the whitepaper and learn how leading logistics organisations are turning workforce planning into a competitive advantage.