Technology platform replaces temp staffing model with long-term outcomes and improves workforce satisfaction
SAN FRANCISCO, Feb. 3, 2021 /PRNewswire-PRWeb/ -- WorkStep, the company helping large supply chain employers, source, screen, engage, and retain their frontline workforce, today announced $17 million in funding led by FirstMark Capital, with additional participation from previous investor and strategic partner, Prologis Ventures. The infusion of capital, a combination of Seed ($6.7 million) and Series A ($10.5 million) funding, will be used to grow the team and continue to improve and expand its technology.
Founded in 2017, WorkStep supports supply chain companies by helping them find and retain their frontline workforce. From the industrial revolution through the COVID-19 pandemic, the supply chain workforce has been the backbone of the U.S. economy and has become increasingly critical to Americans' daily lives - from food on a table to packages delivered on time. The pandemic made it clear supply chain labor demand will only continue to increase with the boom of ecommerce, and turnover will remain an ever-present challenge even during periods of higher unemployment.
"This past year, we saw increasing dependence on supply chain labor to fulfill our basic needs," said Dan Johnston, Co-founder and CEO of WorkStep. "But with record turnover leaving supply chains understaffed and the remaining workers stretched thin, WorkStep's technology that improves new hire fit and lifts post-hire satisfaction is crucial to retaining this critical worker segment."
Last Fall, WorkStep launched RETAIN to help supply chain employers increase frontline workforce retention by automating employee engagement, identifying top opportunities to reduce turnover and empowering leaders to drive and measure improvement. RETAIN has been proven to reduce turnover by up to 29 percent, save customers millions in replacement and retraining expenses, and helped propel the WorkStep business to more than double in the back half of 2020.
"The momentum WorkStep demonstrated this past year is impressive to say the least," said Adam Nelson from FirstMark Capital. "As supply chains buckled under the stress of overwhelming demand, WorkStep helped companies navigate these difficult times with products that directly address their pain points. The team is just scratching the surface in terms of functionality to benefit workers while driving meaningful savings and productivity gains for employers, and we're excited for the future growth in capitalizing on this opportunity."
WorkStep will use proceeds from this funding to more than double the size of its existing team with roles across functions including engineering, product, sales, customer success and more. Beyond hiring and retention, over the coming years, WorkStep plans to expand their platform to help customers address the growing industrial skills gap.
Today, the WorkStep platform uses innovative technology to drive outcomes across the full employee lifecycle, including effective sourcing and screening, ongoing engagement, and supportive career pathing, resulting in more qualified hires that stay at their jobs longer, minimizing the negative impact of constant workforce turnover.
Since its inception in 2017, WorkStep has deployed their technology to serve the needs of hundreds of large employers, including 16 of the Fortune 500, and reaching over 500,000 supply chain workers in the process.
WorkStep is the leading Employee Lifecycle Management (ELM) software platform purpose-built for the modern supply chain. With its cloud-based Hire™ and Retain™ solutions, WorkStep provides HR, recruiting and operations leaders full transparency across the employee lifecycle, helping them source, screen, onboard, train, and retain critical, non-exempt talent. WorkStep customers include hundreds of industrial, logistics, transportation and warehousing employers across North America –– including regional 3PLs and distribution centers, as well as 16 of the Fortune 500. With a distributed team across the US WorkStep plays a critical role in keeping the country moving forward by making the sector a better place to work for employers and employees alike. Visit http://www.workstep.com
Binta Cisse, WorkStep, (804)-314-6269, WorkStep@thekeypr.com