Why High Turnover Is Killing Your E-Commerce Workforce (And How to Fix It) | JobShine.sg
The e-commerce and logistics sectors in Singapore and Malaysia have experienced tremendous growth over the past decade. From warehouse crew to delivery drivers, the demand for blue-collar workers is at an all-time high. But this growth comes with a persistent challenge: high staff turnover.
Research shows that in high-turnover industries like logistics and e-commerce, up to 28-35% of new employees quit within their first 90 days (source). For many businesses, this revolving door of staff isn’t just frustrating—it’s costly and disruptive.
In this article, we highlight how high turnover impacts your business and actionable strategies to fix it—along with how JobShine.sg can simplify your hiring process.
When warehouse staff or delivery drivers leave frequently, the costs add up fast:
Continuously advertising, interviewing, onboarding, and retraining new staff consumes both time and budget. Replacing a single blue-collar worker typically costs 16-20% of their annual salary (source).
Staff shortages delay order processing, lead to late deliveries, and impact customer satisfaction—a major risk in the competitive e-commerce space.
Remaining employees are often required to cover vacant shifts, leading to higher overtime costs and increasing the risk of burnout, further fueling turnover.
Consistently high turnover signals instability. It can harm your employer brand, leading to negative reviews on job platforms and deterring potential candidates.
Turnover in the blue-collar workforce is driven by several market conditions that often extend beyond an employer's direct control. Key contributing factors in Singapore and Malaysia include:
Competitive Job Market: Workers frequently receive multiple offers and may switch jobs for marginally better pay or benefits.
Physically Demanding Roles: Warehouse and delivery roles involve long hours and repetitive tasks, contributing to fatigue.
Temporary Mindset: Many workers perceive these jobs as temporary stepping stones rather than long-term careers.
Strong Demand for Talent: High industry growth means job seekers have more opportunities, resulting in more frequent job changes.
Communication & Scheduling Gaps: Inflexible shifts or unclear career progression pathways can influence workers' decisions to leave.
For instance, surveys in Malaysia highlight salary competitiveness as a key driver for job changes (source). Similarly, in Singapore, employees often cite pay, benefits, and career advancement opportunities as significant factors influencing retention (source).
High turnover is not inevitable. Here are six actionable strategies employers can implement to improve blue-collar workforce retention:
Stay informed about market salary trends and offer competitive wages to retain your workforce.
Provide flexible scheduling options, shift swaps, or shorter shifts. Workers appreciate control over their time.
Pair new hires with experienced mentors and offer a clear onboarding process. This enhances job satisfaction and reduces early exits.
Simple rewards like attendance bonuses, performance recognition, or small incentives can significantly boost morale.
Offering training programs, certifications, or pathways to promotion encourages long-term retention.
Screen candidates for reliability, commitment, and long-term interest, not just immediate availability.
At JobShine.sg, we recognize how turnover affects your bottom line. Here’s how we assist employers in Singapore & Malaysia:
Quickly fill vacancies, reducing downtime and overtime costs.
Every candidate confirms work eligibility and availability upfront, ensuring you connect with serious applicants.
Tailor screening questions to identify candidates committed to long-term employment.
Leverage our automation tools and mobile-first approach to hire quickly and efficiently.
While turnover is common in logistics and e-commerce, it doesn’t have to hinder your growth. Small improvements in hiring processes and employee engagement can make a lasting difference.
Ready to hire reliable, long-term staff? Let JobShine.sg simplify your hiring today.
