Zinger Key Points
- Layoffs fuel fierce competition for seasonal cannabis harvest workers.
- Economic pressures force cultivators to balance full-time and temp staff needs.
- Unionization rises as cannabis workers seek enhanced conditions and rights.
- Get Pro-Level Earnings Insights Before the Market Moves
As this year’s cannabis harvest season gets underway, competition for seasonal workers intensifies, reflecting broader economic challenges and shifts in the marijuana industry.
Layoffs And Labor Needs
Kate Robertson of MJBizDaily reports that due to recent widespread layoffs, many cultivators are now hiring temporary workers for the harvest.
The industry has experienced an unprecedented 2% drop in marijuana job numbers since early 2022, a first since states commenced the legalization of cannabis. This decrease, as reported by Denver’s Vangst, explains why marijuana cultivation companies are scrambling for temp workers for the impending fall harvest.
Kara Bradford, CEO of Viridian Staffing, a Seattle-based cannabis recruitment firm, told MJBizDaily, "There have been a lot of layoffs over the past 18 months." She added, "So they're running slimmer crews and need that additional assistance because of harvest season."
Competition for Seasonal Workers
Jacob Carlson of Boston’s EzHire Cannabis, pointed to the industry’s challenges, indicating that many companies "weren't able to actually build out a real cultivation team with full-time salaries or benefits." The demand for these temporary positions, however, conflicts with mainstream industries similarly seeking temporary workers, urged by similar macroeconomic pressures.
Adding to the complexity, cannabis harvest work, described as “more grueling than temporary retail jobs” by Carlson, often sees higher turnover. State-required background and criminal-record checks also create additional hurdles for growers hoping to hire a temporary cannabis workforce.
Financial Strains In A Maturing Market
Yet, not all see the increased demand as a sign of distress. Vangst’s CEO, Karson Humiston interprets it as a signal of market maturity. "Companies have gotten better at projecting their labor needs given that the industry is continuing to mature," Humiston remarked to MJBizDaily.
Contrary to growers’ expectations of temp workers being more affordable than full-time employees, Bradford said costs such as workers’ compensation, unemployment insurance and training can accumulate. "It's an increase in demand, more need, but less funds to do so with," she said.
Large multistate operators with greater financial resources are often positioned more favorably, capable of offering competitive wages to attract seasonal workers. Conversely, smaller companies, constrained by budgetary limitations, grapple to keep pace.
To optimize hiring processes, experts advise cultivators to initiate recruitment efforts early.
The Rise of Unions
In this complex labor landscape, the emergence of cannabis workers unionizing is another pivotal development. This trend underscores workers’ quest for enhanced working conditions and rights amid the industry’s rapid growth.
Photo from Wikimedia Commons
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