Recruitment issues can arise from political decisions and have a significant impact.
As a freight and logistics company, we are at the heart of widely publicised Brexit issues. Appreciating the overall effects our clients see still matters, decisions on movement of goods should not be taken in isolation.
Manufacturers face critical delays, or costs, the retail sector is dependent on goods flow and subject to foreign exchange risks. The UK’s burgeoning service, technology and media sectors are not far behind them.
They also have key suppliers, they are reliant on being able to recruit staff across Europe, above all, on the way people feel. Whilst these may seem subtle, less important effects of Brexit, time may prove otherwise.
Brexit & People
Business and work decisions can be seen as simply about money, nothing personal. Detailed survey data and experience suggest this is not the reality of building business relationships, or recruiting and retaining staff.
As the video above outlines, talent will be lost, or decline to come, perhaps regardless of the final Brexit deal. Faced with a choice of trading partners in different countries, will EU companies truly make a neutral decision.
They are unlikely to but a positive outcome is possible. Relationships with staff, or partners can transcend barriers, if people believe there is a special opportunity. UK business will simply have to work harder to achieve this feel good factor.
An approach we support, as freight is by nature an international business and in the UK, reliant on overseas staff at ports, or airports. Our industry will need to go the extra mile, in efficiency and facilities.
Brexit & Money
Depreciation of the pound since Brexit may have favoured a few but in general is a negative. We can not know the future on this, or whether that future will be stable.
Reduced wages in home country terms have already played a part in employees leaving, or not coming to the UK. They have impinged on pricing, banking arrangements, contract negotiations, whether business goes ahead.
The growing number of UK companies seeking an EU domicile is partly driven by this. Natural for those who deal in money, although a spread of sectors believe this move is the best, or only way they can stay in business.
There is the possibility the UK will no longer be part of the EU’s financial passport system, or payments process. Those and currency issues will be key for some businesses and leaving makes sense, although not for all.
As with overall feelings people have, not even pure business is all about money. Deliverability, security and knowledge all have a value, which can set aside moderate price differences if they genuinely help.
Paperwork & Data
Real paperwork does still exist, post Brexit we may need to handle more forms. The majority of “paper” is now thankfully digital and this is an area where Brexit will bring notable expansion.
Every facet of trading could be affected, the plan to align laws and regulations is not an overall panacea. There will be new regulatory hurdles, facing tariffs on 90% of EU exports is not pleasant, neither will the associated admin be.
Compliance, or practical solutions on movement of goods will be data driven. Substantially for business, although whilst GDPR alignment should help, data on individuals could add to the load.
Changes in paper and data operations are an area not be underestimated. Planning will dictate business success and again, how people feel about working with you. No person, or company wants to work with others in a mess.
Balancing The Effect
There are aspects to Brexit we haven’t mentioned, our focus comes from talking with clients large, or small, sharing their concerns. Your business will by nature have a unique profile, although the requirement remains similar.
We are not going to pretend that Brexit is likely to make business for you easier, not least with a poor, or no deal. The fact still remains that UK companies carry out business across the globe and are not always the cheapest.
They achieve this by being organised, a great employer, or business partner. We accept that Brexit will cause casualties but performance can trump cost, or additional admin, with EU partners, or further afield.
Dynamic International are looking at multiple scenarios where our services can make yours work better, whatever the deal. By all means take a look at post Brexit freight options, or give our friendly staff a call at any time.