4 MIN. READ
There are substantial problems with manufacturing recruitment, and they are only getting worse. While COVID-19 can be blamed for some of this, much of the problem has roots decades old. By 2028, experts predict that there will be a global shortage of 2.4 million workers in the manufacturing field. Domestically, there are 475,000 job openings that need to be filled. What are the causes for this shortage, and how can companies plan to counteract this situation?
How Did We Get Here?
Jobs in manufacturing require specialized education and skills. Without these factors, manufacturers are reluctant to hire people. This is true even if they hold promise for learning on the job. As a result, manufacturers are in the unfortunate position of needing more people than they have access to. In fact, in a recent survey, 80% of manufacturers indicated that they had a serious shortage of skilled workers.
Nonetheless, manufacturing has always had an aspect of apprenticeship in its education process. Even when a company hires skilled workers, experienced workers must still teach the newer employees specific processes. This knowledge transfer is rarely written down or otherwise documented. It exists as industry wisdom that is passed from one generation to another.
When outsourcing to China started ramping up in the late 1990s, American companies were caught off guard. They found that they were unable to replace the experienced workers that they had amassed over the first half of the 20th century. This "brain drain" has had serious effects on recruitment, retention, quality and profitability. The problem will continue to accelerate as more Baby Boomers retire and take their knowledge and experience with them.
More recently, COVID-19 essentially paused hiring when some companies were classified as "non-essential" and were not able to operate. On the other hand, companies that were given the green light as "essential" often found it hard to find people willing to work during a pandemic.
How to Close the Manufacturing Recruitment Gap
Solving recruitment shortages requires outside-the-box thinking. Sticking with the tried and true will no longer have the desired results. Below are some strategies that can improve manufacturing recruitment and retention.
Enhance social media presence:Finding the right recruits means being visible where they are. Manufacturers need to have a presence on social media rather than just the traditional places like job fairs and trade journals. Showing behind-the-scenes videos and featuring the actual workers are the kinds of content that can draw in curious candidates.
Social media can also be an effective platform for connecting on a personal level. In many cases, manufacturers can make initial contact with candidates through social media prior to an official application. Sometimes a simple interaction on a post can be what opens the door.
Optimize application processes: Once those interested in joining a company move to the application stage, make sure that the process is not exceedingly long.
Studies have shown that an application that takes more than 15 minutes to finish will undergo a 365% reduction in completion. Reduce gatekeeping practices such as having candidates sign up or log in before filling out an application to improve completion rates.
Utilize staffing and workforce development agencies: Don't underestimate the capabilities of an agency. Those that cater to manufacturing specifically can better match applicants with open positions. Having first-hand knowledge of what companies produce and who they are looking for is a major advantage in boosting manufacturing recruitment.
Establish better training: Certain skills are difficult to come by for young applicants or those switching career fields. Manufacturers that offer training can benefit in two ways. First, it ensures that they learn the required skills for that specific industry and company. Secondly, it encourages loyalty in both parties.
A worker is 94% more likely to stay with a company that invests in their progress than one that does not.
Many companies offer this kind of training for new hires, one of them being Toyota. Their Advanced Manufacturing Technician program goes a step beyond simple in-house training and actually comprises a two-year course. It splits time between college classes and work experience.
The courses cover topics like robotics, fluid power and controls. The work aspect gives individuals experience with both production and maintenance. Employment with Toyota is not guaranteed. However, graduates possess skills, knowledge and experience that would otherwise be extremely difficult to gain in such a short time.
Take advantage of automation: Oddly enough, another way to fight worker shortage is to automate the facility. An automated manufacturing plant reduces the need for unskilled workers while increasing the demand for highly skilled ones.
Since automation uses complex systems to simplify operations, those who manage and maintain these systems need to have advanced abilities. Highly skilled recruits will bring a fresh outlook on manufacturing operations too. They may also be more inclined to enter the field when presented with the opportunity to be part of a revolutionary period in the industry.
The manufacturing recruitment shortage is almost at a critical point. The next few years will see big changes in how companies find and grow the new generation of talent.
