The garment industry has identified three main factors contributing to the ongoing labor shortage. First, some companies offer poor working conditions, which makes it difficult to attract and retain workers. Second, the nature of the work in clothing companies is often repetitive, with strict rules and limited opportunities for advancement. Third, a growing number of younger workers lack a clear understanding of career paths and tend to be impatient, leading them to leave jobs quickly after joining.
Since last year, the apparel sector in Jinan has gone through a rollercoaster of challenges, and now faces its most significant problem: a severe labor shortage that hinders business growth. Recent surveys show that due to rising labor costs and difficulties in hiring, many clothing companies are operating at less than full capacity, and more are turning to outsourcing to meet demand. Industry officials report that employee turnover rates in some companies can reach as high as 20%, with some even exceeding 50%, which is causing serious strain on the entire sector.
“The labor shortage has created major challenges for our company,†said Liu Sheng, chairman of Jiu Ling Clothing. “We’ve experienced delays in export orders.†In 2010, he mentioned, export orders to the Netherlands were already tough to handle, but he hadn’t anticipated the impact of the labor shortage. A contract signed in September last year was delayed until November, resulting in no profits and financial losses from breach-of-contract penalties. The reporter found that this issue is widespread across several clothing companies in an industrial park on Huaxin Road.
According to the Provincial Clothing Industry Association, the national apparel industry faced a high level of labor shortages in 2010, with overall operating rates in coastal regions dropping to around 70%. Although Shandong performs better than other coastal provinces, the average worker turnover rate is still about 20%, with some companies reporting rates as high as 50%.
Why do garment companies keep facing labor shortages? Industry insiders point out that the working environment varies greatly within the sector, with some firms offering unsatisfactory conditions that deter potential employees. As a labor-intensive industry, the work is often monotonous, and strict discipline is common. Additionally, some young workers have unclear career goals and lack patience, leading them to quit within just a few weeks of starting. This high turnover puts pressure on production schedules. Moreover, many workers prefer service-sector jobs over manufacturing roles, making it harder for clothing companies to find suitable candidates.
Cotton Print,Arabesque Printed Fabric,Cotton Patterned Fabric,Lined Cotton Matte Cloth
SHAOXING JINGYU IMPORT AND EXPORT CO.,LTD , https://www.jinyutextileone.com