WASHINGTON, D.C. (OBV) – A new report examining workplace challenges for manufacturers shows that millions of new employees will be needed to fill manufacturing jobs over the next 10 years.
The Manufacturing Institute (MI), which works to grow the nation’s workforce, partnered with Deloitte, an audit, consulting, tax and advisory service, to produce and release the report, “Taking charge: Manufacturers support growth with active workforce strategies.”
The report shows that there is a net need for 3.8 million manufacturing jobs between 2024 and 2033, underscoring the need for employee-focused strategies to keep up with growth.
“However, the ongoing skills gap and labor market restraints could topple that growth if not addressed,” said Keith Smith, senior vice president of Association Partnerships for the Manufacturing Institute and National Association of Manufacturers. “Amid the continued digitalization of the industry, we’re seeing an opportunity for manufacturers to adapt more employee-focused strategies that will provide the training, tools and technology required to accelerate growth.”
Workforce challenges have been the top concerns for U.S. manufacturers since Q4 2017, except during the COVID-19 pandemic, according to MI personnel.
The need to fill manufacturing jobs is also being felt in Oklahoma. The Sooner State is projected to experience a worker shortage of nearly 20,000 people by 2028, according to the Oklahoma Manufacturing Alliance.
Manufacturers are primarily concerned with filling open positions and keeping them filled.
“Manufacturers recognize that the workforce is evolving. Pandemic-driven shifts have already created hundreds of thousands of new jobs, and now we are seeing increased demand for digital skills that need to be met or risk further widening of the talent gap,” said Manufacturing Institute President and Executive Director Carolyn Lee. “Companies must prioritize technology, training and talent development, and the investments that are driving growth will also require the industry to build out a talent ecosystem. With investments in partnerships, apprenticeships, and education, and prioritizing a more diverse and inclusive workforce, a whole host of new talent will be on the factory floor and driving the next wave of growth.”

Sixty-five percent of National Association of Manufacturers’ 2024 Q1 outlook respondents listed attracting and retaining talent as their primary business challenge. MI and Deloitte experts predict that as many as 5 in 10 of the skilled open positions, 1.9 million jobs, could remain unfilled if manufacturers are not able to address the skills and applicant gaps as the need for higher-level skills grows.
“The manufacturing industry is facing exponential opportunity, yet still should prioritize strategies that will address the skills and applicant gap, especially as the acceleration of digital skills-based jobs continues,” said John Coykendall, principal, Deloitte Consulting LLP, and vice chair, U.S. industrial products and construction leader. “Developing talent — both from within the existing employee base and those newly entering the workforce — is important to keeping up with the pace of continued innovation. Companies who invest in upskilling the workforce through training, technology and policies that meet employee expectations are well-positioned for future growth.”
Nearly every manufacturer surveyed for the report said they are forming at least one partnership to attract and retain employees. They say they have an average of four or more such partnerships.
The top five partnership types among respondents are as follows:
- Technical colleges (73 percent)
- Industry associations (58 percent)
- Universities (48 percent)
- State and regional economic development agencies (47 percent)
- K-12 schools (44 percent)
Forty-seven percent of survey respondents said that apprenticeships, work studies or internships at manufacturing companies would be the most effective way to increase interest in manufacturing careers.
Manufacturers say they are making greater investments to meet the evolving workforce’s needs, skills requirements and values, and also creating strategies to better retain employees.
Manufacturing Institute officials say manufacturers should invest in strategies aligned with workforce expectations, including increased flexibility, as new generations of workers replace past generations. Forty-seven percent of those who responded to MI and Deloitte’s study said flexible work conditions – including flexible shifts, shift swapping and split shifts – make the biggest difference in retaining employees.
Deloitte’s research shows that employees are 2.7 times less likely to leave a job in the next year if they believe they can garner necessary skills that are important to their future.