“What are your action plans to improve employee loyalty in shops? Particularly older employees, who are twice as loyal as those under 30?” This question, posed by David Sinclair, partner at OC&C Strategy Consultants, at the World Retail Congress conference on 18 April, got many retailers thinking. According to the firm’s study, published in January 2024, the turnover rate in specialised retail reached 56% in 2023 in the USA. In food retail (supermarkets and hypermarkets), this figure climbed to 69%. “While the situation is generally bad in retail, the problem of retaining employees is even more acute in the food sector, and is getting worse as time goes by,” says David Sinclair. “In a low-margin sector like supermarkets and hypermarkets, staff turnover is a challenge that no-one can afford. It absorbs between 10% and 20% of the sector’s profits. This model is not viable.” In food retail, staff turnover rose twice as fast in 2023 as in other sectors. Among European retailers, the number of jobs available is now at a record low.
