Hiring Trends in the Paper Industry
Friday, May 30, 2008
In summary currently we are seeing the predicted shortage of qualified technical people in the industry. We are starting to see the baby boomer retirements, combined with having lost numbers of people to competing industries, as well as simply not enticing and graduating the numbers of students.
The salary levels have changed:
Competing specialty chemical companies are offering and hiring technical support people- minimum $90K and many for $95K range. Two other competitors are flexible on locations. We called a candidate yesterday to see if we might be able to bring him on board for a current position. He has 25 years of specialty chemical experience-combination of both mill and supplier side. An "A" candidate-he just accepted another position 3 weeks ago for $95K and did not need to relocate. We had another candidate we tried to entice but he was at $93K - 20 + years experience with paper manufacturers and he wanted to stay in his home area- he was downsized but picked up within 2 months -by another paper manufacturer for a competitive salary and did not have to relocate.
This year alone we have placed a 10-year specialty chemical salesman for $85K base. We placed a 15-year equipment/chemical salesman for $88K. The mill people have gone for anywhere from a 5 year process engineer for $73K and an 8 year for $75K. to 20 year veterans with manufacturing and supervisory experience for $100K +.
Up until this year, the mergers and downsizings and acquisitions had left many people without positions. These people needed to work and would move and accept lower rates of pay. This is no longer the case. Almost every candidate I am working with today has multiple offers. They accept an offer because it is an improvement for them. Although our clients have many fine things to offer and I sell them all the time, in today's market it isn't netting the best talent.
Relocation is a major issue. Not just to certain areas, but also help in selling a house. We always say that a relo should keep someone whole and that is not currently the case. Competitive packages offer payment of all closing costs. That is the big one. They also offer temporary living. I now have two companies that have started buying houses-this is extraordinary but it is coming back due to the difficulty in getting people.
The people who are most interested in coming to the supplier side these days are mill people. Perhaps they are tired of the rigidity and tough economic times. The people we have the best chance of bringing to your company is the 20-25+ year people. They are knowledgeable, credible and have excellent work ethics. Their families are grown and it is easier to consider either relocating or travel schedules. However they will come with industry years of vacation-i.e. 4-5 weeks. This is very important to people and flexibility in these areas will help net the "A" candidates.
Gilly Hitchcock, Pulp & Paper Recruiter FPC Bangor
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