Beekeeper CEO discusses how to address the persistent retention crisis after survey reveals alarming turnover in manufacturing industry.
By Cristian Grossmann, CEO, Beekeeper
Five years ago, the “retention crisis” was viewed as a temporary issue during the peak of the pandemic. It was thought that once the world returned to normal, the crisis would quickly resolve itself.
Despite expectations, the outcomes have not aligned as anticipated. Different industries show varying results, but by 2025, the overall retention landscape for frontline workers remains notably bleak. In our latest Frontline Workforce Pulse Report, we found that the manufacturing sector experienced one of the highest year-over-year increases in job-hopping, rising by 5% between 2023 and 2024. Simultaneously, this sector continues to struggle with worker engagement, with both workers and managers reporting some of the lowest sentiment scores across all industries we surveyed.
Reversing these trends will take time and dedication. However, the good news is that there is already a strong desire for change. Our data indicates that both frontline workers and their managers want to feel more engaged. The issue is that many of them lack the necessary tools to achieve this engagement.
We often hear from our customers that workers are eager to show up and perform well. However, when they are stuck using outdated systems or excluded from meaningful conversations, it becomes nearly impossible for them to feel connected or stay motivated. The outcome? Higher turnover rates, lower morale, and an increasing disconnect between leadership and frontline employees.
My daily interactions with organizations focused on frontline workers provide valuable insights into their needs and the challenges they face. The message is clear: frontline teams seek meaningful engagement and want to feel valued. However, most of them lack the necessary tools to establish essential connections with their managers, teammates, and the organization as a whole.
Managers and HR leaders are all too familiar with this challenge. They are dedicated to creating a positive employee experience, yet they often lack the necessary information to achieve this goal. Communication channels are fragmented, and important insights about employee sentiment often arrive late, if at all. When critical issues go unaddressed, people inevitably leave.
This is where the most significant shift must occur: not only in what leaders prioritize, but also in how they authentically engage with their teams on a daily basis.
Wages are important to frontline workers, just as they are in any industry. However, our conversations and data indicate that other factors significantly influence employee retention, especially in manufacturing. For instance, creating a sense of safety and camaraderie is vital. Workers on the manufacturing frontlines seek trust and reliability from their colleagues and need to feel confident that their managers prioritize their well-being.
Managers, along with HR personnel, are eager to foster a positive work environment. Yet, they often face challenges in accurately assessing the sentiments of their workforce. One reason for this difficulty is that HR personnel are usually removed from the daily experiences of frontline workers, making it hard to gather genuine insights. This lack of understanding complicates their ability to address real concerns before they escalate and lead to employee turnover.
When communication fails, it results in fragmentation and disorder, which can ultimately lead to resignations. Identifying these issues early allows HR and management to take appropriate action. Nevertheless, the underlying problems persist: outdated and disjointed communication methods significantly affect productivity and employee retention.
Improving communication begins with actionable strategies. Here are three practical steps manufacturing leaders can take today to promote more transparent and responsive communication with their teams.
Employees require simple and flexible options for managing shift changes without stress. Modern communication tools facilitate scheduling, allowing frontline teams to have greater control over their work-life balance.
This method allows leaders to quickly and accurately assess employee well-being by offering meaningful insights based on their responses. Additionally, it helps pinpoint communication gaps between workers and managers, allowing them to address important issues before they escalate into more significant problems.
Our Frontline Workforce Pulse Report clearly highlights the urgent need to address the communication gap. Continuing to rely on outdated communication practices only deepens disconnects, especially in industries like manufacturing.
The path forward is clear. Invest in tools and strategies that promote open, clear, and continuous communication. By taking these measures, leaders can genuinely engage their teams, enhancing morale, retention, and overall organizational success.
About the Author:
Cristian Grossmann is the CEO and co-founder of Beekeeper, which solves the disconnect between frontline workers and their managers in the retail, hospitality, manufacturing and construction industries. Cristian, a former frontline worker himself, understands first-hand the technology that is required to make the frontline workforce more effective. Prior to founding Beekeeper, he worked for Accenture on high profile international projects in the field of IT Strategy for the financial and public sectors. Cristian studied Chemical Engineering and got his Ph.D. in Electrical Engineering, both at ETH Zurich. Before moving to beautiful Zurich, he was born and raised in an entrepreneurial Swiss-Mexican family in Mexico City.
Magen Buterbaugh is the President & CEO at Greene Tweed. Listen to her insights on her ambition to be a lawyer and how her math teacher suggested she consider chemical engineering. Now with several accolades to her name including being honored as one of the 2020 Most Outstanding Engineering Alumnus of Penn State and a Board Member of National Association of Manufacturers (NAM) she has never looked back.