As the economy improves, many organizations that have delayed hiring will find themselves in a significant catch-up mode. Even as manufacturers look to expand hiring to meet production and growth needs in an improving economy, there will be a lot of competition to recruit and retain young talent.
5. Q: Do you believe manufacturing is seen as a positive career choice in the U.S.? (n=222)
Q: Do you believe your manufacturing plant is seen in a positive light in your community? (n=222)
Views on manufacturing
Over half (57%) of the respondents do not believe manufacturing is seen as a positive career choice in
the U.S., while 85% believe their manufacturing plant is seen as positive light in the community.
No
57%
Yes
43%
Positive career choice
Yes
85%
No
15%
Positive light in community
6. Q: How does your plant interact with your community? (n=222)
Interacting with the community
Over half (55%) of the respondents reported that their plant is an active member of the Chamber of
Commerce within the community, while 42% reported that their plant sponsors youth sports and community
events.
55%
42%
24%
16%
23%
0%
10%
20%
30%
40%
50%
60%
We're active
members of the
Chamber of
Commerce
We sponsor youth
sports and
community events
We're involved in
vocational
education in the
area
We have an Open
House for the
community every
year
Other
7. Q: What would improve manufacturing's image as a career choice? (n=209)
Improving manufacturing as a career choice
Changing the media’s view (30%), education (28%), and higher pay/benefits (25%) were the top factors
as reported by respondents that would improve manufacturing’s image as a career choice.
30% Change media's view
28% Education
25% Higher pay/benefits
8. Q: Is there a skilled workforce shortage in your plant? (n=222)
Q: What percentage of the jobs in your plant are currently unfilled? (n=131)
Workforce shortage and unfilled jobs
Fifty-nine percent of respondents reported that there is a skilled workforce shortage in their plant. Of
those respondents, 78% reported that less than 10% of the jobs are currently unfilled.
Yes
59%
No
41%
Workforce shortage
Less than
5%, 39
5 to
10%, 39
10 to
15%, 16
More than
15%, 6
Unfilled jobs
9. Q: What steps have you taken to address this issue? (n=131)
Q: Where do you think you need the most help in addressing the skilled worker shortage? (n=131)
Steps to address workforce shortage
Sixty-three percent of respondents reported that they recruit online to address the workforce shortage, while
54% outreach to community colleges. Of those respondents, 43% reported that they need the most help from
high schools and community colleges to address the skilled worker shortage.
22%
21%
21%
22%
33%
54%
63%
0% 10% 20% 30% 40% 50% 60% 70%
Other
Outreach to military veterans
Working with other manufacturers
in our region
Outreach to high schools
Outreach to universities
Outreach to community colleges
Online recruitment
From high
schools and
community
colleges
43%
I don't feel I'll
get adequate
help; I need to
solve this
problem
myself
32%
From my
regional
economic
development
group
17%
From the
federal
government
3%
From my state
government
5%
10. Recruitment challenges
More than three-fourths (78%) of respondents reported that lack of needed skills from applicants is a
challenge to recruitment of new workers, while 33% reported the lack of applicants as a challenge.
78%
33%
16%
9%
17%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Lack of needed
skills from
applicants
Lack of applicants Lack of time to
devote to
recruitment
Lack of support for
recruitment from
management
Other
Q: What are the challenges to recruitment of new workers? (n=222)
12. Pending Crisis
• Many organizations are woefully
unprepared to meet the human resource
needs in an improving economy
– Salaried
– Skilled hourly
– Unskilled hourly
http://TheCenter.utk.edu
13. Pending Crisis
Contributing Factors
• Most organizations have been in a hiring freeze for at
least the last 5 years
• Due to the collapse of the stock market, many baby
boomers have delayed retiring
• Co-op and intern programs were drastically reduced or
eliminated
• Hourly training programs reduced or eliminated
• Succession planning has been put on the back burner
• HR departments reduced or hiring function outsourced
http://TheCenter.utk.edu
14. Pending Crisis
What’s Next?
• Many organizations now have over 50% of their
workforce eligible to retire
• Most organizations are completely unprepared to retain
“tribal knowledge”
• Skill sets of younger employees inadequate to meet the
needs for tomorrow’s manufacturing/technical jobs
• Human Resource organizations are inadequately staffed
to meet upcoming requirements
http://TheCenter.utk.edu
15. Pending Crisis
What’s the Impact?
• The job market for young talent is going to
become very competitive
– Salaried
– Skilled hourly
– Unskilled/Semi-skilled hourly
• Recruiting and retention will become
significant challenges
http://TheCenter.utk.edu
16. Recruiting Strategies
Salaried:
• Entry level to 2-3 years service
– Co-op/Intern programs
– University/Community College relationships
– Junior Military Conferences
– Social Media
– Internal and External Network Referrals
http://TheCenter.utk.edu
18. Recruiting Mitigation Strategies
Unskilled/Semi-skilled Hourly:
• Job Fairs (minimal temp to hire)
• Social Media
• High School Recruiting
• Earn/Learn Programs
• Referral Programs
• Pre-hire training programs
http://TheCenter.utk.edu
19. Technical Expertise and Learning Capacity
• Recruit new talent with Moore’s Law in mind
– Computing power roughly doubles every 18-24
months
• Young talent in your organization will have
to be significantly more technically savvy
• Organizations must hire for their future
levels of technology – not current ones
http://TheCenter.utk.edu
20. Retention Concerns
• Other companies will be aggressively
pursuing your best, young talent
• Treat your Millennials like Gen X and
Baby Boomers at your own peril
http://TheCenter.utk.edu
21. Retention Strategies
Salaried:
• Mentoring programs
• Active coaching
• Career planning
• Succession planning
• Manage expectations
• Foster social network at work
• Opportunities to make a difference in and out of the
workplace
http://TheCenter.utk.edu
22. Retention Strategies
Skilled Hourly:
• Technical training (including multi skills)
• Pay for performance AND skills
• Progression opportunities outside of leadership
track
• Mentor programs
• Support of National Guard and Reserve
commitments
• Relevance
http://TheCenter.utk.edu
23. Retention Strategies
Unskilled/Semi-skilled:
• Off line training programs
– Work hardening
– Environment conditioning
– Work pace conditioning
• “Friend at Work” programs
• Engagement
• Relevance
http://TheCenter.utk.edu
24. Other Points to Consider
• Bridge strategy
– Retired Subject Matter Experts (part time)
– Knowledge Capture Process
• Human Resource Department
– Skills
– Capacity
http://TheCenter.utk.edu
25. Final Thoughts
• The past 5 years have been the worst
economically for most of us in our lifetime
• The economy is rebounding (quickly)
• Do not let a lack of talent dampen your
organizations performance
• The hiring/retention game is different and the
competition will be intense
• Develop a recruiting/retention strategy for young
talent and execute it
http://TheCenter.utk.edu
Technical Schools – work with several until you get a good understanding of competencyMilitary – - Several organization work with enlisted military personnel that are exiting the service - Most of the Armed Services are going to be doing significant downsizingJob Fairs – - Using temp to hire organizations (even good ones) will not capture the “underemployed” as well as in-house recruiting
Failure of temp to hire agencies to recruit the underemployed