The cannabis industry is expanding rapidly, with national employment growing by 690% between January 2017 and August 2018. With a projected growth rate of 220% in 2019, cannabis companies are at the forefront of an economic wave that demands attention. As employment opportunities rise, competition for skilled employees will intensify, making it crucial for cannabis businesses to attract and retain high-level talent.
Wages
As demand for cannabis employees grows, so do wages. Since January 2017, the industry has seen an average wage increase of 16.8%. Business owners must stay informed on current market rates to avoid losing top talent. High-demand roles include:
- Director of Cultivation – Average Salary: $88,000
- Compliance Manager – Average Salary: $62,500
- Dispensary Manager – Average Salary: $56,250
- Trimmer – Average Wage: $12.25 / Hour
Offering competitive wages is essential to attracting and retaining skilled employees in this fast-paced industry.
Benefits – Origins
During WWII, wage restrictions led companies to use benefits to attract talent. Similarly, cannabis businesses can differentiate themselves by offering competitive benefits alongside wages, especially as the Affordable Care Act mandates coverage for businesses with over 50 employees.
Benefits – Under 50 Employees
Small cannabis businesses might assume benefits aren’t essential, but offering them can be a valuable tool in talent acquisition and retention. There are cost-effective options for companies under 50 employees that can help set them apart from competitors.
Benefits – Over 50 Employees
Cannabis companies operating in multiple states often face challenges with benefits, especially when restricted to traditional insurance options. ACA-compliant plans are available that allow multi-state coverage, reduce costs, and offer a chance to recover unused claims dollars. This flexibility can support growth without sacrificing benefits.
Creative Approach
Top-performing companies invest in employee training and development, which reduces turnover by up to 65%. As competition in the cannabis industry grows, business owners should consider supporting employees’ career development to retain talent. Addressing financial and personal concerns, like student loans or family needs, can further enhance employee loyalty.
Continued Growth
With recent expansions in cannabis legalization, the market is set to keep growing. As more states legalize cannabis, business owners must focus on best practices and profitability to stay ahead, especially with potential competition from larger corporations on the horizon.
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