As grocers emerge from the pandemic, they are experiencing a major labor shortage. The pandemic spawned “The Great Resignation,” as workers forced into remote working situations have taken the opportunity to reassess what they truly want out of their job. They’ve redefined compensation to transcend money, to include a favorable work-life balance as well as the desire to be a part of a greater social mission.

Retailers must assess what it means to be an employer of choice in the current environment. The Student Case Study presentation will focus on developing a comprehensive strategy that combines the best internal benefits with competitive corporate positioning.

As independent grocers emerge from the pandemic, they are experiencing a major labor shortage. The pandemic spawned “The Great Resignation,” as workers forced into remote working situations have taken the opportunity to reassess what they truly want out of their job. They’ve redefined compensation to transcend money, to include a favorable work-life balance as well as the desire to be a part of a greater social mission.

According to many industry and academic research studies, at least 58% of US retailers said that over the past two years, they have experienced hiring challenges that have negatively impacted their business (McKinsey & Company report, March 2022). During this time, most of these retailers increased wages and benefits for full-time employees, yet they still saw a significant increase in their employee turnover rate.

Grocery retailers have identified the following external challenges to recruiting and retaining employees: limited childcare options, increased competition for employees from other local businesses, and an expansion of “gig-economy” remote working opportunities resulting in an increase in work/life flexibility for the employees.

Independent grocery retailers must assess how they should structure their financial plans and team activities to increase recruiting and retention. The Student Case Study presentation should focus on developing a comprehensive strategy that delivers the best combination of internal benefits with competitive corporate positioning.

Questions to be addressed in the Case Study presentation:

1. What can the grocery retail industry do, as a whole, to improve the connection points with employees of all ages and reduce turnover rates?
2. How can Dierbergs Market position themselves as a top potential employer for younger generations seeking fulfillment beyond financial in their career?
3. How should Dierbgergs Market restructure their team to support employees needs during the hiring and training process?
4. What are unique offerings Dierbergs Markets can offer both full-time and parttime employees that will encourage retention?

Missouri-based Dierbergs Markets is the participating retailer in the 2023 Student Case Study Competition. Dierbergs Markets is a fourth-generation family grocery store, with roots traced back to a country store founded in West St. Louis County in 1854. Dierbergs prioritizes serving its customers and communities, and today employs more than 4,000 Associates in 25 St. Louis metropolitan-area stores and one location at Missouri’s Lake of the Ozarks.

Dierbergs Markets will provide proprietary materials on their business and employment statistics to the universities and teams via webinar on Dec. 8th. They will also provide follow-up documents in response to student questions. For webinar details/recording, contact nga-foundation@nationalgrocers.org. Students are asked NOT to contact Dierbergs directly but send questions to NGAF for coordination.

For more information, please visit the NGA Foundation.