Pay rates at plastics manufacturing companies have increased an average of 3 percent in 2020, according to a new wage and salary survey from the Manufacturers Association for Plastics Processors.
This marks the second year in a row that wage hikes have averaged 3 percent. In 2018, the average increase was 5 percent.
MAPP's Wage and Salary Report analyzes data on nearly 60 different job classifications from plastics processing facilities across the United States. The data represents nearly 40,000 full-time and part-time employees across 30 states.
A little more than 67 percent of plastics job titles experienced some amount of growth in compensation in 2020, which is down from about 75 percent last year.
Only 5 percent of job titles' compensation rose 10 percent or more. Those titles included machine operators, machinists, temporary help, delivery drivers, marketing directors and continuous improvement managers.
The report also notes that more plastics manufacturing companies are now operating around the clock. From 2009 to 2013, roughly 10 percent of plastic executives said their company ran only one shift. That figure has dropped to 8 percent in the current survey.
According to this year's study, 81 percent of companies run at least three shifts, either five or seven days a week. That's up from 67 percent six years ago.
According to the report, 79 percent of companies are looking to hire additional workers over the next 12 months, down from 86 percent in 2019. The report attributed the drop to the COVID-19 pandemic. Companies responding to the survey said they expect to fill more than 4,400 positions over the next year. That number is up about 5 percent from last year.
Companies are also using more temporary workers. The average turnover rate for plastics companies is 19 percent, and firms use temporary staff to fill positions and meet immediate needs. Some 43 percent of participants said they use temporary help to fill gaps in staffing.
On average in 2003, companies that utilized temporary help employed about five temporary workers in their facilities. Today, that number has more than tripled to 16 workers. The report attributed the increase to the lack of skilled workers and the need for increased staff for 24-hour production.
In addition to breaking down salaries by job category, the report also includes breakdowns on annual sales revenue and geography, and trends on paid time off and other benefits.
"Companies in the plastics industry rely on this data to help drive their compensation and remain competitive," Ashley Turrell, MAPP's membership and analytics director, said in a news release.
The report is available for purchase at www.mappinc.com/resources.