Sustainability in logistics impacts job retention, study finds

The topic of sustainability in the transportation and logistics (T&L) industry is gaining increased attention as confirmed by a new study from SOTI.

The study titled "The Road Ahead: Driving Digital Transformation in T&L" shows that while 97% of T&L employees in Australia and globally acknowledge their employers are taking sustainability steps, 63% of Australian workers believe these actions are insufficient. Globally, the figure is 70%, indicating a widespread demand for greater commitment to environmental protection from employers.

Employee retention in the T&L sector is now increasingly linked to sustainability, with the report highlighting that 50% of global employees are willing to switch jobs if their employer fails to deliver on environmental goals. In Australia, this sentiment is stronger, with 55% of employees considering such a change.

"Sustainability is no longer a 'nice-to-have' in the T&L industry—it's a must-have," stated Michael Dyson, Vice President of Sales & Marketing, APAC at SOTI. "Our research shows a clear mandate from employees: businesses must go beyond surface-level initiatives and invest in meaningful, technology-driven solutions that not only reduce environmental impact but also support operational efficiency."

Companies in the T&L sector are reportedly making efforts to enhance sustainability through route optimisation and consolidation of deliveries to improve fuel efficiency. In Australia, all surveyed companies are engaged in measures such as efficient route planning (31%) and combining deliveries (30%) at single locations to cut back on fuel use and carbon emissions.

Efforts to transition away from paper usage have also been noted, with 36% of Australian companies and 63% of global companies employing automated systems to minimise paper dependency, further addressing their ecological impact. Intelligent transportation and warehouse technologies are another focus, with 48% of companies worldwide and 62% in Australia using systems such as electric vehicles and robotic technologies.

Technology emerges as a pivotal element in executing sustainable strategies within the sector. The study highlighted that 74% of global respondents (62% in Australia) identify tracking technologies as instrumental in enhancing a company's environmental footprint through efficient management of delivery vehicles and inventory.

There is also a strong call among employees for increased investment in green technologies. Over two-thirds of workers—67% in Australia and 65% globally—view acquiring or upgrading mobile technology as key to improving work efficiency and sustainability practices. The transition to digital alternatives over printed documents marks another significant step in reducing the paper trail and conserving environmental resources.

The alignment of sustainability in the supply chain is of prime concern, with 67% of respondents globally and 62% in Australia emphasising the importance of eco-friendly partners. Despite these ideals, 66% of Australians reported challenges in achieving sustainability within the industry, yet 62% maintain that technological innovations are crucial in mitigating environmental impact. Indeed, 51% of Australian employees remarked that adherence to sustainability policies can complicate their daily tasks, pinpointing the need for continued innovation and adjustment in sustainable integration.