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GXO Deploys Innovative Approach to Providing Workforce Flexibility

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GXO Logistics has completed a successful pilot of a workforce flexibility platform across eight U.S. warehouses, engaging over 1,100 gig workers. The platform, developed in partnership with Employbridge, offers on-demand employment opportunities, especially benefiting students, caregivers, and retirees. Nearly 75% of participants are women, with a significant number being primary caregivers. The program allows GXO to adjust workforce size in real-time based on customer demand, reducing costs and enhancing operational agility. Plans are underway to expand this platform to more locations.

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Positive

  • Successful pilot program across eight U.S. warehouses involving over 1,100 gig workers.
  • Partnership with Employbridge, the largest industrial staffing company in the U.S.
  • Enhanced workforce flexibility and ability to adjust headcount in real-time.
  • Cost reduction for GXO's customers through efficient workforce management.
  • High engagement among participants, with nearly 75% being women.
  • Increased opportunities for full-time employees to upskill.
  • Positive feedback from participants, emphasizing flexibility and additional income opportunities.

Negative

  • Potential challenges in maintaining consistent quality and performance with gig workers.
  • Dependence on the EmployGig app for workforce management, which may face technical issues.
  • Initial costs and resources required for the broader rollout of the platform.

News Market Reaction

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-1.10% News Effect

On the day this news was published, GXO declined 1.10%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Program provides on-demand employment opportunities for students, caregivers, retirees and others who value ability to make their own schedules

GXO leads industry with successful pilot across the U.S., increasing workforce flexibility,
raising engagement and paving way for wider rollout

GREENWICH, Conn., May 21, 2024 (GLOBE NEWSWIRE) --  GXO Logistics, Inc. (NYSE: GXO), the world’s largest pure-play contract logistics provider, announced today that it has completed a successful pilot of a workforce flexibility platform that provides flexible arrangements for more than 1,100 “gig workers” to supplement its workforce at eight GXO warehouses across the U.S., with plans to expand to additional locations.

“Tapping into the gig workforce expands our talent pool and reduces costs for our customers,” said Dawn Nixon, Senior Vice President, Human Resources, GXO. “For those who place a premium on flexible hours, our program enables us to offer greater flexibility to meet worker needs and helps us easily adjust our headcount as customer volumes change. It also creates unparalleled agility for our operations and new opportunities for our full-time team members to upskill. We look forward to expanding this program to our operations across the U.S.”

GXO has partnered with Employbridge, the largest industrial staffing company in the U.S., on the pilot program, which offers enhanced flexibility, enabling the company to attract a greater breadth of potential employees through an app called EmployGig. At the sites where GXO piloted the program, nearly three-quarters of the participants are women and almost a quarter are stay-at-home parents or primary caregivers for children. Participants include people ages 18 to over 65, with the most, approximately a third, coming from the 25–34 age group.

Billy Milam, CEO of Employbridge, said, “We are proud to partner with GXO, an innovative and tech-forward contract logistics leader, as we harness the power of the gig workforce and reshape the employment landscape of the industrial supply chain. Technology is rapidly transforming every facet of life, including today’s workforce. Employbridge is passionate about leveraging technology in meaningful ways, and we’re able to do just that with our platform-based gig solutions. We look forward to continuing to partner with GXO to bring our gig solution to additional communities as we deliver expanded opportunities, and options, for the modern job-seeker.”

As part of the pilot program, GXO will post a job, including details on dates, hours, type of work and pay. That job is instantaneously dispatched by EmployGig to candidates who best match the requirements, and they can then signal their interest. Because GXO is an industry leader in technology, a key attraction for many candidates is the opportunity to work alongside robotics and automation, which can also reduce training time. The program has enabled GXO to provide enhanced flexibility for its customers, which is critically important to respond in real-time to changes in demand while reducing costs by more efficiently managing and forecasting headcount.

Nixon added, “We’re taking a better approach to workforce management. We’re creating a more diverse and engaged team — making sure our employees have the best experience and balanced capacity, even when we have seasonal changes in volumes throughout the year in industries such as fashion, technology and consumer electronics.”

People looking for extra income were overwhelmingly positive about the program. “I am saving to buy a house and I needed an extra income,” said an EmployGig worker from Allentown, Penn., and a retired veteran in Phoenix said, “This program gives me flexibility to work when I want to work.”

The program also appeals to people who might not otherwise consider working in logistics. Another employee from Allentown said, “I am trying to spend more time with my son, and EmployGig allows me to do just that,” while an employee from Memphis said, “I like being able to make my own schedule, especially since I have younger children.”

About GXO Logistics

GXO Logistics, Inc. (NYSE: GXO) is the world’s largest pure-play contract logistics provider and is benefiting from the rapid growth of ecommerce and automation. GXO is committed to providing a diverse, world-class workplace for more than 130,000 team members across more than 970 facilities totaling approximately 200 million square feet. The company partners with the world’s leading blue-chip companies to solve complex logistics challenges with technologically advanced supply chain and ecommerce solutions. GXO corporate headquarters is in Greenwich, Connecticut, USA. Visit GXO.com for more information and connect with GXO on LinkedIn, X, Facebook, Instagram and YouTube.

About Employbridge

Employbridge is the largest industrial staffing firm in the United States. Combining the advantages of national scale and local expertise with the speed and efficiency of its Bluecrew digital platform, the company puts more than 440,000 associates to work annually across a network of approximately 400 offices in 48 states. In 2022, Employbridge served 17,000 customers across the supply chain ecosystem in manufacturing, logistics, transportation, and energy. In addition to authoring the largest survey of U.S. hourly workers for almost twenty years, The Voice of the American Workforce, Employbridge is helping close the supply chain skills gap by providing career training to 20,000 associates through its Better WorkLife Academy and Life Skills Studio. Employbridge’s family of brands include ResourceMFG, ProLogistix, ProDrivers, Select, RemX, Remedy, Westaff, Decca, Hire Dynamics, and Bluecrew. Employbridge is majority-owned by certain investment funds managed directly or indirectly by Apollo Global Management, Inc. and its subsidiaries and affiliates. For more information, please visit www.employbridge.com.

Media contacts

Matthew Schmidt 
+1 203-307-2809 
matt.schmidt@gxo.com 

Fallon McLoughlin
+1 203-399-6998
Fallon.McLoughlin@gxo.com


FAQ

What is the GXO workforce flexibility platform?

GXO's workforce flexibility platform provides on-demand employment opportunities, allowing workers to choose their own schedules and helping GXO manage workforce size in real-time.

How many gig workers participated in GXO's pilot program?

Over 1,100 gig workers participated in GXO's pilot program across eight U.S. warehouses.

What are the benefits of GXO's workforce flexibility program?

The program offers enhanced flexibility, reduces costs, increases workforce engagement, and allows GXO to adjust headcount based on demand.

Who is GXO's partner in the workforce flexibility program?

GXO partnered with Employbridge, the largest industrial staffing company in the U.S.

What percentage of GXO's gig workers are women?

Nearly 75% of the gig workers in GXO's pilot program are women.

What is the EmployGig app?

The EmployGig app is used to dispatch job opportunities to candidates who best match the requirements, facilitating GXO's workforce flexibility program.

What is GXO's plan for the workforce flexibility platform?

GXO plans to expand the workforce flexibility platform to additional locations across the U.S.
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Integrated Freight & Logistics
Transportation Services
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United States
GREENWICH