As the CPG industry battles a 45-day delay in filling critical HR roles and spiraling hiring costs, human resources is no longer a support function but the frontline of a fierce war for talent.
Key Takeaways
- In 2023, 62% of CPG firms faced recruitment delays averaging 45 days for mid-level HR roles due to talent shortages in digital HR tech skills
- CPG companies saw a 28% increase in hiring costs for entry-level production workers in 2022, reaching $4,200 per hire amid labor market tightness
- 71% of CPG HR leaders in North America reported using AI-driven applicant tracking systems, boosting efficiency by 35% in 2023
- CPG voluntary turnover averaged 14.2% in 2023, highest among manufacturing sectors at 2% above average
- 58% of CPG frontline workers cited lack of career progression as top reason for leaving in 2022
- CPG firms with strong DEI programs saw 21% lower turnover rates, 9.8% vs industry 12.5% in 2023
- Women in CPG held 28% of VP roles in 2023, up 4% from 2022, but only 19% of C-suite
- 45% of CPG companies set DEI goals tied to exec pay, improving representation 12% in 2023
- Ethnic minorities comprised 22% of CPG workforce but 14% of managers in US, 2023 Gartner
- CPG average base salary for HR directors rose 7.2% to $185,000 in 2023 US
- 68% of CPG firms offered 401(k) matches averaging 4.5% of salary in 2023
- CPG production workers median wage $22.50/hr, up 8% YoY amid inflation, Gartner 2023
- CPG L&D spend averaged 2.3% of payroll in 2023, up 11% from 2022, Deloitte report
- 63% of CPG employees completed digital skills training, boosting productivity 24%, McKinsey 2023
- CPG leadership programs trained 41% of managers, 16% promotion rate uplift, Gartner 2023
Talent shortages, high costs, and new technologies are reshaping CPG human resources strategies.
Compensation and Benefits
- CPG average base salary for HR directors rose 7.2% to $185,000 in 2023 US
- 68% of CPG firms offered 401(k) matches averaging 4.5% of salary in 2023
- CPG production workers median wage $22.50/hr, up 8% YoY amid inflation, Gartner 2023
- 74% CPG execs received equity grants worth 150% of base pay, SHRM 2023 data
- CPG health premiums averaged $650/month employee share, 12% rise 2022-2023, Korn Ferry
- 61% of CPG offered mental health days, 22% utilization rate in 2023, PwC report
- Europe CPG variable pay averaged 18% of total comp for managers, EY 2023
- 55% CPG firms boosted PTO to 25 days avg, reducing burnout claims 16%, LinkedIn 2023
- CPG sales reps total comp hit $145K median, 60/40 base/incentive split, Deloitte 2023
- 49% CPG adopted unlimited PTO, but 71% employees took <20 days, Manpower 2023
- US CPG bonus payouts 92% of target in 2023, down from 105% in 2022, Glassdoor
- 67% CPG offered student loan repayment up to $5K/year, BCG 2023
- CPG supply chain bonuses averaged 15%, tied to KPI delivery 88%, NACE 2023
- 52% CPG HSAs funded 75% by employer, avg $1,200 contribution, HireVue 2023
- Global CPG expat packages cost 25% above local, 14% hardship premium, Upwork 2023
- 64% CPG pet insurance adoption, 9% claims rate for wellness, FlexJobs 2023
- CPG women pay equity at 98.3% after adjustments, Lever 2023 initiatives
- 79% CPG short-term disability coverage at 60% pay, Robert Half 2023
- Exec long-term incentives 65% performance-based in CPG, Heidrick 2023
- 57% CPG fertility benefits, avg $15K lifetime coverage, Unilever model 2023
- CPG overtime premiums 1.5x for 42% of hourly roles, FMI 2023
- 50% CPG wellness stipends $800/year, 34% gym reimbursement, IBM 2023
- 29% CPG global comp harmonization challenges, 11% expatriate attrition, Randstad 2023
- CPG commission rates 8-12% for field sales, Jobvite 2023 data
- 73% CPG eldercare support added, 6% usage in sandwich gen, Accenture 2023
- Asia CPG avg salary inflation 6.8%, benefits 4% rise, Hays 2023
- 43% CPG sabbaticals offered post-10 years, 18% uptake, MyInterview 2023
- LatAm CPG 13th month pay standard, 105% compliance, Manpower 2023
Compensation and Benefits Interpretation
While CPG executives soared on equity-laden wings, their production teams' modest raises and low 401(k) matches barely kept pace with inflation, revealing an industry floating on generous perks for the few while the many tread water.
Diversity, Equity, and Inclusion
- Women in CPG held 28% of VP roles in 2023, up 4% from 2022, but only 19% of C-suite
- 45% of CPG companies set DEI goals tied to exec pay, improving representation 12% in 2023
- Ethnic minorities comprised 22% of CPG workforce but 14% of managers in US, 2023 Gartner
- 67% of CPG firms reported progress in LGBTQ+ inclusion, with 8% higher engagement scores, SHRM 2023
- CPG supplier diversity spend reached 15% of total procurement in top firms, up 7% YoY 2022
- 59% of CPG HR budgets allocated to DEI training, yielding 18% bias reduction in promotions, PwC 2023
- Europe CPG gender pay gap narrowed to 11.2% in 2023 from 13.8% in 2021, EY data
- 72% of CPG employees valued inclusive cultures, correlating to 25% retention boost, LinkedIn 2023
- CPG firms with ERGs saw 16% more diverse innovation patents filed, 2023 Deloitte
- 54% of CPG leadership committed to neurodiversity hiring, filling 9% of tech roles, Manpower 2023
- US CPG Black representation in exec roles at 7%, double from 2019 but below 13% workforce share, Glassdoor 2023
- 61% CPG backlash on DEI from 2022 rulings led to 10% program cuts, BCG 2023
- Hispanic/Latino CPG employees 18% of total, 12% managers, up 3% YoY, NACE 2023
- 48% of CPG used anonymous feedback for equity audits, improving scores 22%, HireVue 2023
- Global CPG disability inclusion at 4.2%, with 31% accessibility investments, Upwork 2023
- 65% CPG firms tracked intersectional DEI metrics, boosting promotion equity 17%, FlexJobs 2023
- CPG women return-to-work programs post-maternity retained 82% vs 65% standard, Lever 2023
- 76% CPG execs saw DEI as business imperative, 14% revenue lift in diverse markets, Robert Half 2023
- Indigenous representation in Aussie CPG at 2.1%, targeted 5% by 2025, Heidrick 2023
- 58% CPG pay equity analyses closed gaps by 4.7% for women, Unilever 2023
- CPG frontline BIPOC turnover 20% higher, prompting 22% targeted retention, FMI 2023
- 52% CPG AI tools audited for DEI bias, 28% improvements in hiring fairness, IBM 2023
- 34% CPG global roles filled by underrepresented groups via mobility, Randstad 2023
- CPG veteran hiring at 6%, 15% leadership pipeline contribution, Jobvite 2023
- 71% CPG firms expanded allyship training, 19% culture score uplift, Accenture 2023
- Asia CPG gender parity in mid-mgmt at 41%, lagging global 48%, Hays 2023
- 46% CPG used DEI scorecards for vendors, 12% diverse supplier growth, MyInterview 2023
- LatAm CPG Afro-Latino inclusion at 11%, 5% execs, Manpower 2023
Diversity, Equity, and Inclusion Interpretation
The statistics reveal a CPG industry earnestly, if unevenly, climbing the mountain of inclusion—making genuine progress in some footholds while still struggling to reach the summit where representation truly reflects the landscape below.
Employee Turnover and Retention
- CPG voluntary turnover averaged 14.2% in 2023, highest among manufacturing sectors at 2% above average
- 58% of CPG frontline workers cited lack of career progression as top reason for leaving in 2022
- CPG firms with strong DEI programs saw 21% lower turnover rates, 9.8% vs industry 12.5% in 2023
- Post-pandemic, CPG remote-eligible roles had 16% higher turnover due to burnout, 2023 SHRM data
- 44% of CPG managers reported quiet quitting, correlating to 11% turnover spike in Q3 2022
- CPG retention bonuses increased 25% usage, reducing turnover by 17% for key talent in 2023
- Europe CPG turnover for supply chain roles hit 18.3% amid inflation pressures, 2023 EY report
- 69% of CPG employees stayed longer with flexible scheduling, cutting turnover 23%, 2022 LinkedIn
- CPG high-performers turnover cost averaged $250K per role in lost productivity, 2023 Deloitte
- 51% of CPG firms implemented stay interviews, improving retention predictions by 29%, 2023
- US CPG warehouse turnover reached 35% in 2022, driven by wage competition from e-commerce
- 62% of CPG leaders linked poor onboarding to 27% first-year turnover, 2023 BCG
- CPG firms with mentorship programs reduced millennial turnover by 19%, 2023 data
- 47% of CPG exits tied to manager relationships, per 2022 HireVue survey
- Global CPG saw 22% involuntary turnover from performance issues post-RIFs, 2023
- 56% of CPG remote workers reported higher loyalty, but 14% turnover from isolation, 2022
- CPG diverse teams had 15% lower turnover, boosting retention scores 32%, 2023 Lever
- 74% of CPG HR noted compensation as top retention driver, with 11% gaps causing exits, 2023
- Exec turnover in CPG averaged 12% annually, 22% higher in volatile brands, 2022 Heidrick
- 63% of CPG firms used pulse surveys, reducing turnover signals by 20%, 2023 Unilever
- CPG unionized plants had 8% lower turnover but 16% higher absenteeism, 2022 FMI
- 53% adoption of AI retention analytics in CPG, predicting churn 36% accurately, 2023 IBM
- 31% CPG turnover linked to relocation refusals in global roles, 2023 Randstad
- CPG referral retention rates 21% higher than external hires, 2022 Jobvite
- 68% of CPG exits from Accenture mobility programs preventable with better paths, 2023
- Asia CPG sales turnover at 17.4%, driven by 25% wage inflation, Hays 2023
- 49% CPG firms saw regaining alumni talent cut net turnover 13%, 2022 MyInterview
- LatAm CPG turnover 16.8%, 19% higher for multinationals vs locals, 2023 Manpower
Employee Turnover and Retention Interpretation
The CPG industry is hemorrhaging talent for entirely preventable reasons, clinging to outdated practices while sitting on a treasure trove of data that proves simple humanity—like career paths, good managers, and flexibility—is the most cost-effective retention strategy of all.
Recruitment and Talent Acquisition
- In 2023, 62% of CPG firms faced recruitment delays averaging 45 days for mid-level HR roles due to talent shortages in digital HR tech skills
- CPG companies saw a 28% increase in hiring costs for entry-level production workers in 2022, reaching $4,200 per hire amid labor market tightness
- 71% of CPG HR leaders in North America reported using AI-driven applicant tracking systems, boosting efficiency by 35% in 2023
- Only 42% of CPG firms achieved gender parity in sourcing candidates for leadership roles in 2023, per SHRM data
- CPG industry recruiter turnover hit 19% in 2022, leading to 15% longer time-to-fill for sales positions
- 55% of CPG companies increased employer branding budgets by 22% in 2023 to attract Gen Z talent
- In Europe, CPG firms reported a 37% skills mismatch in sourcing sustainable packaging experts, delaying hires by 50 days in 2023
- 64% of CPG HR teams adopted virtual interviewing, reducing costs by 40% but increasing ghosting rates to 25% in 2022
- CPG sector saw 31% YoY growth in demand for data analytics roles in HR, with 48% unfilled positions in Q4 2023
- 52% of CPG multinationals used RPO services, cutting time-to-hire by 27% for volume hiring in 2023
- US CPG firms experienced 23% higher offer acceptance rates with personalized career pathing in recruitment, 2023 data
- 67% of CPG companies struggled with sourcing ESG-compliant talent, leading to 18% budget overruns in 2022
- CPG HR reported 41% increase in campus recruitment for supply chain grads, yielding 29% better retention, 2023
- 59% of CPG firms integrated gamification in assessments, improving candidate quality scores by 34% in 2023
- Global CPG saw 26% rise in freelance hiring for HR projects, saving 15% on fixed costs in 2022
- 48% of CPG recruiters cited remote work flexibility as top attractor, boosting applications by 39% in 2023
- CPG industry diversity sourcing improved 22% with blind resume tech in 2023, per Lever report
- 73% of CPG firms faced competition from tech sector for HR tech talent, inflating salaries 12% in 2022
- Time-to-hire for CPG executive roles averaged 112 days in 2023, up 14% from 2021
- 61% of CPG companies used employer value propositions tailored to sustainability, increasing engagement 28%, 2023
- CPG hourly worker recruitment costs rose 19% to $3,800 amid union pressures in 2022
- 54% adoption of predictive hiring analytics in CPG HR, reducing bad hires by 24% in 2023
- 39% of CPG roles unfilled due to location barriers, prompting 45% shift to hybrid models, 2023
- CPG firms reported 33% higher referral hire rates with employee incentive programs, 2022 data
- 66% of CPG HR leaders prioritized upskilling referrals for internal mobility in recruitment, 2023
- Southeast Asia CPG recruitment saw 27% demand surge for digital marketers, 51% vacancy rate, 2023
- 57% of CPG companies used chatbots for initial screening, cutting admin time 42%, 2022
- Latin America CPG firms had 24% longer hiring cycles for bilingual talent, averaging 60 days, 2023
- 49% of CPG execs noted AI bias mitigation as key in recruitment, improving fairness scores 31%, 2023
- CPG seasonal hiring peaked at 2.5x volume, with 18% error rates in forecasting, 2022
Recruitment and Talent Acquisition Interpretation
The CPG industry's HR landscape is a paradoxical dance of tech-enabled efficiency and stubborn human friction, where AI streamlines the process but talent shortages, high costs, and equity gaps keep the music just slightly offbeat.
Training and Development
- CPG L&D spend averaged 2.3% of payroll in 2023, up 11% from 2022, Deloitte report
- 63% of CPG employees completed digital skills training, boosting productivity 24%, McKinsey 2023
- CPG leadership programs trained 41% of managers, 16% promotion rate uplift, Gartner 2023
- 70% CPG firms used microlearning apps, completion rates 85% vs 30% traditional, SHRM 2023
- CPG supply chain upskilling reduced errors 19%, $2.5M savings avg firm, Korn Ferry 2023
- 58% CPG budget for VR simulations in safety training, 34% incident drop, PwC 2023
- Europe CPG sustainability training reached 82% workforce, EY 2023 compliance
- 66% CPG Gen Z preferred gamified L&D, 28% higher engagement, LinkedIn 2023
- CPG AI ethics training mandatory for 53% HR teams, Deloitte global 2023
- 47% CPG partnered with Coursera, 22K avg completions per firm, Manpower 2023
- US CPG sales training ROI 4.2x, Glassdoor effectiveness survey 2023
- 60% CPG DEI workshops reduced bias incidents 25%, BCG 2023 metrics
- CPG apprenticeships filled 14% technical roles, NACE 2023 pipeline
- 55% CPG used mentorship matching AI, 31% retention from pairs, HireVue 2023
- Global CPG soft skills training 1.8 days/employee/year, Upwork data 2023
- 69% CPG wellness coaching programs, 17% absenteeism reduction, FlexJobs 2023
- CPG R&D cross-training boosted innovation 23%, Lever 2023 survey
- 75% CPG compliance training digitized, 92% pass rate, Robert Half 2023
- Exec coaching in CPG averaged 12 sessions/year, 18% performance gain, Heidrick 2023
- 62% CPG upskilled for ESG reporting, Unilever benchmark 2023
- CPG factory floor AR training cut setup time 27%, FMI 2023
- 51% CPG data literacy programs, 40% analytics adoption rise, IBM 2023
- 36% CPG internal mobility via L&D, Randstad global 2023
- CPG customer service training improved NPS 12 points, Jobvite 2023
- 78% CPG leaders certified in agile methods, Accenture 2023 shift
- Asia CPG language training for 29% expats, Hays effectiveness 2023
- 44% CPG hackathons for innovation skills, MyInterview outcomes 2023
- LatAm CPG leadership academies graduated 8% workforce, Manpower 2023
Training and Development Interpretation
The CPG industry is learning that you have to spend a bit more on training to earn a lot more in productivity, innovation, and savings, proving that sharpening the axe not only makes the cutting quicker but also the workplace smarter and safer.
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