Hiring managers across supply chain and logistics are heading into 2026 with a familiar mix of pressure and uneven demand. The latest Peerless Research Group survey of Modern Materials Handling readers shows 36% of companies added personnel over the past year, yet 32% instituted hiring freezes and 21% reported layoffs. That split highlights how mixed the labor landscape remains for warehouses, transportation providers, and distribution operations.
What’s Related
Turnover is adding to the strain. Survey respondents reported an average turnover rate of 11.6%, and only about one in five said they saw no departures at all. Even in operations that avoided layoffs or cutbacks, companies are still losing people to compensation pressures, limited advancement opportunities, and the pull of new challenges elsewhere. Fast-forward to Q4 2025, and it’s clear that companies are still competing for a limited pool of experienced supply chain talent.
As a result, companies are facing a hiring market where demand continues to outpace supply. Put simply, all signs point to a business landscape where, despite some industry sectors being in deep layoff mode, the supply chain and logistics space is still struggling to find the talent it needs. Retention is also a struggle as organizations work to keep their teams engaged and supported amid shifting workloads and staffing levels.
“The retention side is as critical as the recruitment side,” says Abe Eshkenazi, CEO at the Association for Supply Chain Management (ASCM). He notes that stress levels remain high and haven’t eased, even for operations that added staff or reduced overtime. Companies continue to ask existing employees to do more without always providing the development or support needed to keep them in their roles. That shows up in turnover and contributes to a market where experienced professionals remain in short supply.
Looking ahead to 2026, Eshkenazi says companies will need to focus as much on developing their people as they do on adopting new technology. Organizations continue to move quickly on digital tools and artificial intelligence, for example, but employees don’t always receive the support or training needed to keep up.
Eshkenazi also highlights a positive trend in the 2026 hiring environment: more schools are offering supply chain programs, and more students are entering the field with strong academic backgrounds. “These individuals are highly educated and ready to perform on the job,” he says, but adds that the challenge for the year ahead will be giving those new entrants the development and leadership opportunities needed to keep them in the supply chain field.
Creating paths for new employees
The hiring market isn’t standing still. According to the 2025 ASCM Supply Chain Salary and Career Report, professionals are optimistic, in demand, and not afraid to change jobs when their current roles fall short. Two out of three U.S. respondents say they’re optimistic about their careers, and more than 80% report solid job satisfaction. That confidence is translating into movement. About 16% changed jobs in 2024, often for better pay or broader responsibilities, which means qualified candidates will remain selective.
ASCM’s findings also highlight a talent pool with strong educational backgrounds and growing experience with tools like cloud systems and AI. At the same time, employers still value collaboration, problem-solving and critical thinking, keeping demand high for well-rounded professionals. Overall, the data points to a hiring landscape where competitive salaries aren’t enough. Companies will need to show clear development paths and invest in their people to attract and retain talent in 2026.
Companies that do create those paths may also wind up with employees who are more likely to stay. “Job satisfaction in this field consistently sits around 90%, and it hasn’t wavered despite everything the industry has been through,” Eshkenazi says. “These individuals are deeply committed to their companies and to the supply chain profession. They’re true superheroes in my mind.”
Economic signals and shifting demand
The broader economy is showing signs of steadier footing, and that shift could bring some relief to supply chain teams in 2026. Tom Derry, CEO of the Institute for Supply Management (ISM), says the job remains demanding as disruptions continue to pile up. “The number of disruptions in supply chain keeps increasing year after year, and that puts real stress on people,” he says.
Derry notes that weather events, geopolitical issues, and unexpected supplier failures still hit operations hard. Many companies also slowed hiring or delayed backfilling roles, leaving smaller teams to manage the same workload. He points to a few bright spots: strong tenure, reduced overtime, and a narrower pay gap than in many other fields. He also says people with different educational backgrounds can move into well-paid roles, which keeps the field accessible.
Looking ahead, Derry expects hiring to pick up as demand becomes more predictable and policy stabilizes. “If demand becomes more predictable, businesses will have to start hiring again,” he says, “and that should lead to improving conditions for people in the workplace.”
