2019 was a notably tough year for people seeking employment in the logistics sector, with ongoing cost cutting at companies, lack of training, and the introduction of new technology limiting job prospects in a country with an ever-increasing unemployment rate – currently at 29%. According to Kim Botti, director at Lee Botti & Associates, the past year has been particularly challenging for everyone across South Africa, leading companies to pursue cheaper alternatives and focus less on training employees. “In the past, companies invested in ongoing training. However, with the economy and political situation in SA, we have seen less of this,” she said. And when businesses are trying to get through these times, the first things that get cut back on are training, recruitment and marketing, while organisations are trying to streamline and work leaner.” Companies are increasingly looking at technology to streamline operations, and while that saves costs it means job cuts. “We noticed an increase in this technological space in 2019 and foresee that next year will result in an even bigger leap towards this,” said Botti. On top of that, Dr Lynn Ribton-Turner of recruitment specialists Ribton-Turner Management Services said technology had hindered recruitment agents by making it easier for local and international companies to scour the web in search of employees. “Technology has drastically changed the use of recruitment agents over the past 30 years. Clients will now use their HR department staff to search for employees online, while freight forwarding agents outside of South Africa seeking senior talent within South Africa have often used online services such as LinkedIn,” said Dr Ribton-Turner. The exodus of good talent leaving South Africa, particularly the youth, had seen recruitment numbers decline even further, she added.
INSERT: Companies are increasingly looking at technology to streamline operations, and while that saves costs it means job cuts. – Kim Botti