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Labor Shortage Cycle

  1. Labor Shortage Cycle 1 2 3 4 5 LABOR SHORTAGE Increases labor costs and turnover TURNOVER Decreases productivity UNFILLED ROLES Pressure on existing employees to maintain output PRESSURE More turnover and people transferring to lower pressure/high wage industries COSTS INCREASE Profitability per unit of output increases
  2. Costs Increase Output is Flat
  3. 2020 Employed Population 48.9% 2030 46.2% -2.7% Labor will remain scarce
  4. 0.1% 0.1% 3.5% 3.5% The trend will continue
  5. Technology & Automation Labor Productivity Hours per Employee