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Churn is an operating cost. Treat it like one.

Hywel Phillips, Personal Group COO

Posted on: Monday September 14, 2026

If you run a production line, a warehouse, or a food site, you already know that staffing is not an abstract HR issue. The cost of people leaving shows up in missed shifts, slower line speeds, higher agency spend, more supervision time, and more pressure on the teams who stay. 

For operators, the question is no longer simply “Do we have enough people today?” It is also “How much operational drag are we accepting because our people do not stay, do not settle, or do not feel valued?” That dragis expensive and cumulative. One weak site can trigger a chain reaction of overtime, service failures, lower morale, and a heavier burden on already stretched supervisors. 

These challenges exist in a difficult 2026 commercial context. Food production companies are dealing with rising input costs, tighter margins, and pressure to pass costs through or freeze pay and recruitment. In that environment, a retention issue becomes more than a people problem. It becomes a cost-control issue, a service issue, and in some cases a customer-retention issue. 

 

What drives people out 

There is no single reason why frontline production and site workers leave. Pay matters, and so does recognition, predictable shifts, line-manager quality, and whether people feel valued. 

CIPD’s 2025 health and wellbeing data shows that UK sickness absence has reached 9.4 days per employee per year, indicating wider strain in the workforce rather than isolated illness. When attendance, motivation, and retention all soften at the same time, the operation pays three times: in absence, churn, and productivity loss. 

That is why engagement should not be treated as a soft measure or a communications campaign. For frontline teams, engagement is often just the practical difference between a workforce that knows what support is available to them and one that never hears about it. In many businesses, benefits exist on paper but fail because they are not understood or used. If the message is delivered only via email, portal logins, or HR cascades, it will miss a large part of a deskless operational workforce. 

The most effective interventions are the ones that fit the reality of the shift pattern. Colleagues need information delivered in the flow of work, not in conflict with it. That means short, face-to-face conversations, shift-change touchpoints, practical examples, and a clear explanation of how support actually helps them and their families. The goal is to encourage these workers to use available support so you can feel the benefits of reduced churn and build a productive, reliable, and experienced workforce. 

 

What operators can do 

Start by treating turnover like any other operating metric. Measure it by site, role, shift, tenure band, and supervisor. Then layer in agency spend, absence, overtime, training time, and time-to-productivity to see what churn is really costing. A site with “acceptable” attrition may still be losing money if every vacancy is backfilled at premium rates and the same teams are repeatedly covering gaps. 

Next, focus on the early moments that shape retention. New-joiner onboarding should prioritise clarity in the first week, support in the first month, and recognition in the first quarter, because that is when people decide whether a job feels stable or temporary. In frontline settings, the basics still carry the most weight: good communication, predictable rotas where possible, visible supervision, and a sense that management notices effort. 

Finally, make benefits and support visible. If you offer financial support, wellbeing support, or cash plans, explain them in person, in plain language, and in short sessions that fit shifts. The point is not to add another programme; it is to make existing support actually land with the people most likely to leave. That is where the operational return sits. 

 

Why this matters now 

Now is the time to get serious about retention. The latest figures show that labour pressure remains a challenge in UK food production in 2026, with persistent shortages and high turnover rates across the sector. 

At the same time, companies are trying to control escalating costs without damaging service, while facing tight margins as labour, energy, and insurance costs rise. This means leaders need levers that improve stability without adding complexity. 

That is why retention deserves a seat on the operational risk register. It affects service levels, cost to serve, customer satisfaction, and management bandwidth. It is one of the few levers available that can reduce pressure without stopping the line. 

For operational leaders, the question is not whether engagement belongs in the conversation. It is whether you want to address churn before it becomes a service failure, or after. In food production, the latter is always more expensive. 

 

About the Author 

Hywel Philips is Chief Operating Officer at Personal Group, where he leads all customer service operations and customer engagement teams, who meet 160,000+ frontline colleagues in person annually. He has 20+ years' experience in field operations and previously held senior roles at BT Group and Openreach. 

 

About Personal Group 

Personal Group is a leading provider of employee benefits and wellbeing services in the UK, focused on delivering measurable outcomes for frontline workers. Through its award-winning platform, Hapi, along with in-person activation, employee-paid cash plans, and Innecto HR consultancy, Personal Group empowers organisations to support and protect their workforce. 

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