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Manufacturing and
Light Industrial Staffing:
Big Challenges, Big Changes
One of the things the world learned last year is what it means to be an
essential worker. Beyond the obvious — the healthcare workers,
the first responders — there was a sudden realization that the world relies on
manufacturing employees and workers in production, supply chains, and logistics
to keep us up and running.
Of course, anyone working in these industries — or hiring in manufacturing or these related sectors —
has known this for decades. It took a pandemic for the rest of the world to pay attention - and for light
industrial occupations to have their “moment.”
Yet despite being the unsung heroes of the pandemic, candidates are hardly rushing to take up jobs in these essential
industries. Why? It’s a question manufacturing talent acquisition professionals and light industrial staffing firms have been
trying to answer for some time. Even before COVID-19, employers struggled with a light industrial labor shortage. Now, it’s
more challenging than ever.
Time it now takes to find...
From forklift operators to equipment assemblers, production workers to material movers, light industrial and manufacturing jobs are abundant, but there just aren’t enough candidates to meet the demand. How do you fill these incredibly necessary roles? That’s what we’re attempting to find out.
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Warehouse
worker
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Production
worker
—
Manufacturing machine operator
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Light Truck
Driver
Source: Monster Hiring Data
In this ebook, industry experts, employers and staffing professionals in the light industrial and manufacturing industries share their insights on the following:
get the ebook
Labor Shortage in Manufacturing: Where is Everyone?
From forklift operators to equipment assemblers, production workers to material movers, light industrial and manufacturing jobs are abundant, but there just aren’t enough candidates to meet the demand. How do you fill these incredibly necessary roles? That’s what we’re attempting to find out. Just consider this statement from the most recent Institute of Supply Management’s Report on Business: “Worker absenteeism, short-term shutdowns due to part shortages, and difficulties in filling open positions continue to be issues that limit manufacturing growth potential.”
In this guide, we’ll explore what manufacturing employers and light industrial staffing companies can do to attract and retain members of the emerging workforce and rebrand the industry as not just a temp job to cover
the bills, but as a long-term opportunity for growth
and success.
"There’s a gap in the available workforce and companies need to be thinking creatively about how to develop talent pools that go beyond traditional methods."
Tim Robbins • VP of staffing & recruiting • Monster
The Skills Gap and Talent Shortage in Manufacturing Employees
Pre-COVID, there was already a talent scarcity issue in the U.S. in light industrial and manufacturing, says Traci Fiatte, CEO of professional & commercial staffing, Randstad. “There was an evolution from technical/vocational schools to college preparatory programs,” she says. “Then, we start adding in skilled trades like forklift operators and welders, who have to become specialists in an already generalist world that was shrinking.”
For NSC, a staffing agency dedicated to connecting companies and government agencies with highly skilled workers in manufacturing, light industrial, and other industries, clients are coming to them after not being able to fill positions on their own for three months or more.
“Vacant positions impact many business areas like productivity, growth, customer service, and innovation,” says Afton Lucente, VP of marketing, NSC. “Our focus is attracting new talent to the trades through educational efforts around the country with trade schools, highlighting the benefits of Gen Z choosing the vocational route versus traditional schooling.”
That can be easier said than done in today’s climate, in which most young people are pushed toward college tracks rather than into skilled trade programs.
“One of our big challenges is finding technicians and field service folks that go out and repair and service trucks in the field,” says Kelly Brown, director of global talent management, Hyster-Yale Group, Inc., which designs, engineers, manufactures, sells and services a line of lift trucks and aftermarket parts.
Because the technology has advanced so quickly, the skills they need and the trainings they must offer is so much different than in the past. For instance, Brown explains that their forklifts are now equipped with very powerful technology built in, requiring candidates with software engineering skills.
“The competitiveness for people with that skill set is very challenging since it’s a very finite group of people,” she says. What’s more, is that Hyster-Yale is then competing against very large well-known household name brands in the tech sector.
Attracting talent, therefore, requires comprehensive solutions. “We absolutely have to be creative in our approach and where we want to make our investments for not only attracting and hiring but also from a retention standpoint,” says Brown.
Manufacturing Industry snapshot
Number of unfilled manufacturing jobs due to growing skills gaps
500,000+
Number of unfilled jobs that will rise by the end of the decade, with the potential to lose $454 billion in production
2.4 Million
Say they are struggling to fill both salaried and hourly craft positions
8 in 10 construction firms
2
3
1
—
Sources: 1) Association of General Contractors of America;
2) National Association of Manufacturers; 3) Deloitte
Afton Lucent • VP of marketing • NSC Staffing
“Our focus is attracting new talent to the trades through educational efforts around the country with trade schools, highlighting the benefits of Gen Z choosing the vocational route versus traditional schooling."
How to Close the Light
Industrial Skills Gap
Offer training:
Industry giants like Amazon have been offering on-the-job training and upskilling programs for some time now. For example, Amazon’s Technical Academy takes people from their customer fulfillment and logistics roles and trains them to become software development engineers. Since 2017, the program has achieved impressive results, as detailed on the left.
But training can be an expensive undertaking for companies that don’t have the vast resources of an Amazon. Still, it’s something that many are finding is not only a necessity, but that it’s worth the investment. “The disappearance of vocational schools and having only one track out of high school to go to college has been a detriment to this country,” says Simone Reynolds, chief human resources officer at Cavco, which operates 20 manufacturing plants across North America, specializing in manufactured homes, modular homes, commercial buildings, park model RVs, and vacation cabins.
“Who’s going to build, do the plumbing, and run electrical lines in the next 20 years? A lot of older employees who have those skills came up through apprenticeships and those have all disappeared,” says Reynolds. She says that today, new candidates lack even the most basic requirements for the job. “They don’t know how to read a tape measure or use a saw or hammer. These are things we have to teach.”
And teaching is exactly what Cavco has decided it must do. “We’ve partnered up our training initiative with our culture to build careers,” says Reynolds. Cavco’s “Master of the Craft” program takes hires through a variety of coursework in all the trades to allow the business more flexibility in staffing, whereby they can move people around as needed. “It’s also providing a way for our employees to earn more, to grow, to get certifications, and get a raise,” says Reynolds. “We create those success stories and victories for our employees, and make sure we’re celebrating those.”
Want to keep reading?
Download the full
light industrial hiring guide
Percent of graduates placed into roles that have salary and compensation packages with increases averaging 93%
Amazon's Technical Academy
by the numbers
Number of Amazon employees who have enrolled in one of the many company-subsidized upskilling initiatives in 2019
15,000
—
Source: Amazon
1
3
2
98
Amazon's commitment to provide 100,000 employees with in-demand job skills by 2025
$700 Million
Download the full
light industrial hiring guide
One of the things the world learned last year is what it means to be an essential worker. Beyond the obvious — the healthcare workers, the first responders — there was a sudden realization that the world relies on manufacturing, production, supply chains, and logistics to keep us up and running.
Yet despite being the unsung heroes of the pandemic, candidates are hardly rushing to take up jobs in these essential industries. Why? It’s a question talent acquisition professionals and staffing firms have been trying to answer for some time. Even before COVID-19, employers struggled with a light industrial labor shortage. Now, it’s more challenging than ever.
—
Light industrial and
manufacturing hiring:
big challenges, big changes
Download the full
light industrial hiring guide
How to close the light
industrial skills gap
Download the full
light industrial hiring guide
Want to keep reading?
Offer training: Industry giants like Amazon have been offering on-the-job training and upskilling programs for some time now. For example, Amazon’s Technical Academy takes people from their customer fulfillment and logistics roles and trains them to become software development engineers. Since 2017, the program has placed 98% of graduates into roles that have salary and compensation packages averaging 93% before increases. This is just one component of Amazon’s overall $700 million commitment to provide 100,000 Amazon employees with in-demand job skills by 2025.
But training can be an expensive undertaking for companies that don’t have the vast resources of an Amazon. Still, it’s something that many are finding is not only a necessity, but that it’s worth the investment. “The disappearance of vocational schools and having only one track out of high school to go to college has been a detriment to this country,” says Simone Reynolds, chief human resources officer at Cavco, which operates 20 manufacturing plants across North America, specializing in manufactured homes, modular homes, commercial buildings, park model RVs, and vacation cabins.
“Who’s going to build, do the plumbing, and run electrical lines in the next 20 years? A lot of older employees who have those skills came up through apprenticeships and those have all disappeared,” says Reynolds. She says that today, new candidates lack even the most basic requirements for the job. “They don’t know how to read a tape measure or use a saw or hammer. These are things we have to teach.”
And teaching is exactly what Cavco has decided it must do. “We’ve partnered up our training initiative with our culture to build careers,” says Reynolds. Cavco’s “Master of the Craft” program takes hires through a variety of coursework in all the trades to allow the business more flexibility in staffing, whereby they can move people around as needed. “It’s also providing a way for our employees to earn more, to grow, to get certifications, and get a raise,” says Reynolds. “We create those success stories and victories for our employees, and make sure we’re celebrating those.”
Percent of graduates placed into roles that have salary and compensation packages with increases averaging 93%
Amazon's Technical Academy
by the numbers
98
Number of Amazon employees who have enrolled in one of the many company-subsidized upskilling initiatives in 2019
15,000
Amazon's commitment to provide 100,000 employees with in-demand job skills by 2025
$700 Million
—
Source: Amazon
1
3
2
Simone Reynolds
chief human resources officer • Cavco
The disappearance of vocational schools and having only one track out of high school to go to college has been a detriment to this country. Who’s going to build, do the plumbing, and run electrical lines in
the next 20 years?”
Industry snapshot
Number of unfilled jobs that will rise by the end of the decade, with the potential to lose $454 billion in production
2.4 Million
3
Number of unfilled manufacturing jobs due to growing skills gaps
500,000+
2
Construction firms say they are struggling to fill both salaried and hourly craft positions
1
8 in 10
—
Sources: 1) Association of General Contractors of America; 2) National Association of Manufacturers; 3) Deloitte
The skills gap and talent
shortage convergence
Pre-COVID, there was already a talent scarcity issue in the U.S. in light industrial and manufacturing, says Traci Fiatte, CEO of professional & commercial staffing, Randstad. “There was an evolution from technical/vocational schools to college preparatory programs,” she says. “Then, we start adding in skilled trades like forklift operators and welders, who have to become specialists in an already generalist world that was shrinking.”
For NSC, a staffing agency dedicated to connecting companies and government agencies with highly skilled workers in manufacturing, light industrial, and other industries, clients are coming to them after not being able to fill positions on their own for three months or more.
“Vacant positions impact many business areas like productivity, growth, customer service, and innovation,” says Afton Lucente, VP of marketing, NSC. “Our focus is attracting new talent to the trades through educational efforts around the country with trade schools, highlighting the benefits of Gen Z choosing the vocational route versus traditional schooling.”
That can be easier said than done in today’s climate, in which most
young people are pushed toward college tracks rather than into skilled trade programs.
“One of our big challenges is finding technicians and field service folks that go out and repair and service trucks in the field,” says Kelly Brown, director of global talent management, Hyster-Yale Group, Inc., which designs, engineers, manufactures, sells and services a line of lift trucks and aftermarket parts.
Because the technology has advanced so quickly, the skills they need and the trainings they must offer is so much different than in the past. For instance, Brown explains that
their forklifts are now equipped with very powerful technology built in, requiring candidates with software engineering skills.
“The competitiveness for people with that skill set is very challenging since it’s a very finite group of people,” she
says. What’s more, is that Hyster-Yale is then competing against very large well-known household name brands in the tech sector.
Attracting talent, therefore, requires comprehensive solutions. “We absolutely have to be creative in our approach and where we want to make our investments for not only attracting and hiring but also from a retention standpoint,” says Brown.
Afton Lucent
VP of marketing • NSC Staffing
“Our focus is attracting new talent to the trades through educational efforts around the country with trade schools, highlighting the benefits of Gen Z choosing the vocational route versus
traditional schooling."
Where are all the workers?
From forklift operators to equipment assemblers, production workers to material movers, light industrial and manufacturing jobs are abundant, but there just aren’t enough candidates to meet the demand. How do you fill these incredibly necessary roles? That’s what we’re attempting
to find out. Just consider this statement from the most recent Institute of Supply Management’s Report on Business: “Worker absenteeism, short-term shutdowns due to part shortages, and difficulties in filling open positions continue to be issues that limit manufacturing
growth potential.”
In this guide, we'll explore what employers and staffing companies can do to attract and retain members of the emerging workforce, and rebrand the industry as not just a temp job to cover the bills, but as a long-term opportunity for growth
and success.
Tim Robbins
VP of staffing & recruiting • Monster
"There’s a gap in the available workforce and companies need to be thinking creatively about how to develop talent pools that go beyond
traditional methods."
