Logistics Sector Sees Slowing Salary Growth Amid Industry Shifts

The 37th Annual Salary Survey reveals a slowdown in salary growth within the logistics industry, yet professionals remain optimistic about the future. The report highlights an aging workforce, diverse job functions, and a slight decline in e-commerce knowledge. It emphasizes the importance of intrinsic motivation, networking, and continuous learning for career advancement. While education isn't the sole determinant of success, future logistics talent needs to continuously upskill to adapt to industry changes. The survey provides valuable insights into current trends and future prospects for individuals working in the logistics sector.
Logistics Sector Sees Slowing Salary Growth Amid Industry Shifts

Imagine being a seasoned logistics veteran who has weathered the explosive growth of e-commerce and witnessed supply chains evolve from backstage operations to center-stage priorities. Today, as you work remotely processing complex orders, you might also be contemplating your career trajectory in an industry where pandemic-driven changes have made compensation and professional prospects increasingly uncertain.

The recently released 37th Annual Salary Survey provides revealing insights into current compensation and career development trends within the logistics sector. Conducted by Peerless Research Group (PRG) among nearly 400 logistics professionals, the report paints a comprehensive picture of how the pandemic has reshaped career paths in this critical industry.

Slower Salary Growth, Undiminished Optimism

While nearly half (49%) of respondents reported salary increases in the past year, this represents a decline from 62% the previous year. Only 9% experienced pay reductions—a surprisingly positive signal given the challenging economic climate. PRG Research Director Brian Beaudette notes that government stimulus programs helped cushion the impact of slower wage growth, but more significantly, professionals maintain strong confidence in industry recovery.

This resilience likely stems from logistics' elevated visibility during the pandemic, which highlighted both its essential nature and growth potential. Despite thinner paychecks, professionals see expanding opportunities ahead.

An Experienced Workforce Faces Demographic Shifts

The survey reveals an aging workforce: 71% of respondents are over 45, while women comprise just 25%. While this experienced cohort represents institutional knowledge, it also raises questions about attracting younger talent to refresh the industry's demographic profile.

The Rise of Multifunctional Roles

Logistics professionals are shouldering increasing responsibilities, with respondents reporting expanded functional duties over the past 2-3 years. Beaudette predicts this trend will continue as companies prioritize efficient distribution, traceability, and holistic supply chain management.

Technological advances enable consolidation of functions under fewer managers, while logistics professionals gain broader operational visibility. This evolution demands more versatile skill sets to navigate increasingly complex roles.

E-Commerce Knowledge: Theory vs. Reality

The percentage of respondents claiming "strong understanding" of e-commerce and fulfillment dipped slightly from 38% and 39% in 2019 to 35% in 2021. Michael Gravier, a Bryant University supply chain professor, attributes this to the sector's unprecedented growth revealing operational complexities that theoretical knowledge alone cannot address.

As e-commerce grows more competitive and sophisticated, Gravier anticipates further declines in self-assessed expertise, underscoring the need for continuous professional development.

High Satisfaction Driven by Intrinsic Factors

Despite challenges, 38% of respondents express job satisfaction, while 32% remain open to new opportunities. Notably, intrinsic motivators like "sense of accomplishment" (cited by 57%) outweigh extrinsic factors such as promotion opportunities (only 22%).

Dissatisfaction stems from office politics and inadequate technical support. Compensation remains crucial—Sara Gordon of Adecco USA emphasizes that competitive packages including bonuses and relocation assistance are essential for attracting top talent in this mission-critical field.

Career Advancement: Experience Trumps Education

The survey confirms logistics' traditional emphasis on practical experience over formal education. Only half of respondents hold bachelor's or graduate degrees, while just one-third completed logistics-specific education. Networking proves far more valuable for career growth (49%) than coursework (28%).

However, education correlates with higher earnings—MBA holders report the highest salaries—and 75% of professionals pursue work-related training, signaling commitment to continuous learning.

The Future: Certification and Changing Expectations

While current professionals value personal networks, younger generations prioritize verifiable credentials. Gravier notes that universities now help students earn certifications like Six Sigma before graduation, creating higher expectations that sometimes clash with entry-level realities.

Ultimately, 75% of respondents would recommend logistics careers—a powerful endorsement for this dynamic field. As the industry evolves, blending veteran experience with new talent and technologies will shape its next chapter.