The economy is now taking a huge turn and consumer spending capacity is inching closer to the pre-pandemicera. This gives the manufacturing industry a green light to increase their production, however, the labor shortage is the major factor hindering the development.
In the US, the manufacturing workforce shortage has caused issues in the industry with over 2 million positions unfilled for talented personnel There are more than 8 million manufacturing jobs that could go unfilled before 2030.
From research, 84% of manufacturing executives agree that the manufacturing industry is experiencing a huge shortage of workforce, which will be exacerbated by 2.7 million professionals retiring from the industry in the next 10 years.
This shortage will make the industry unable to meet its production goal. However, to know the necessary solution it’s important to know the reasons why the shortage is increasing. The causes include:
Lack of stability
Lack of stability is brought about mainly by the disruption of the supply chain which negatively affected production at the manufacturing plants. The reduction in production makes most of the workers feel the urge to leave their employers since they are concerned about stability.
Though when asked about careers that seem interesting and rewarding, some parents choose the manufacturing industry to provide moderate income compared to other industries. However, only a few parents encourage their children to continue the career due to its instability.
Lack of good government policy
Many feel motivated when asked to pursue manufacturing-related careers but most do not select it as their top career pick because manufacturing jobs are easily moved to other countries. It occurs in manufacturing more than other industries in which policy makers are making little or no effort to create policies that will transcend the manufacturing industry.
Demand for an increase in wages
Another reason why the manufacturing industry is facing a workforce shortage is the demand for increases in wages. This present generation prefers to move to other industries especially tech-related skills to pull in so much wealth without being bossed around.
Negative perception
The negative perception regarding the manufacturing industry is also a huge problem. Many people believe the industry is technologically underdeveloped and requires hard work with physical labor with less pay. In Particular, they believe it doesn’t give them the freedom they want to work at their own pace.
In conclusion, if this problem can be tackled by the increment in wages, technological improvement, and government policy being reformed the manufacturing industry can still stand on its feet.
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