By Elizabeth Hess, GNPCC Staff Writer
There’s a great movement underway that’s unexpectedly grassroots. It’s inspiring manufacturers. It’s being shaped by manufacturers. Its focus is on millennials.
So what’s the big deal about US manufacturing?
According to the National Association of Manufacturers (NAM), “For every $1.00 spent in manufacturing, another $1.40 is added to the economy. That is the highest multiplier effect of any economic sector.”1
To maintain that economic strength US manufacturers need highly skilled workers. And lately there’s been a decline in those workers.
It’s clear from research sponsored by The Manufacturing Institute and Deloitte and published in their study, The skills gap in US manufacturing 2015 and beyond, that within manufacturing the skills gap is constantly on the radar. It’s so vital that they’ve produced three studies on the topic in recent years and have projected that over the next decade nearly 3 ½ million manufacturing jobs are likely needed to be filled, and the gap is expected to be 2 million unfilled jobs over the next decade.2
And the companies seeking this workforce are not giant corporations. According to NAM, “The vast majority of manufacturing firms in the United States are quite small. In the most recent data, there were 256,363 firms in the manufacturing sector, with all but 3,626 firms considered to be small (e.g., having fewer than 500 employees). In fact, three-quarters of these firms have fewer than 20 employees.”3
For the American worker addressing the skills gap will be well worth the effort: “In 2014, the average manufacturing worker in the United States earned $79,553 annually, including pay and benefits. The average worker in all industries earned $64,204. Looking specifically at wages, the average manufacturing worker earned $25.19 per hour, according to the latest figures, not including benefits.”4
The Cardone family has been in remanufacturing for the auto industry over forty-six years. According to George Zauflik, Vice President Government of Relations at Cardone Industries in Philadelphia some of the biggest innovations and technological growth they’ve seen in the automotive industry is the shift to electronics. Most of today’s cars and trucks have over fifty electronic modules in them.
To get the word out about their skilled jobs, manufacturers are implementing internship programs for students to learn about what goes on in manufacturing. Cardone has several engineering interns this summer from local Philadelphia universities.
As of this writing Cardone has over twenty-five positions in Philadelphia listed on their Career Opportunities Web page. To attract skilled workers Cardone gets referrals from local churches, agencies, and internally through current employees.
With the technology comes improvement, the innovative automotive design that Cardone is a part of makes vehicles safer today than they were twenty years ago, a point of pride for Cardone.
“Cardone is working in a global marketplace, as our customers continue to reinvent themselves we must adjust to meet their needs. Our goal is always to be the best supplier, and that means having highly skilled employees,” says Zauflik.
There are numerous programs and associations lending a hand to manufacturing. Mr. Zauflik has found both State and City programs that have been helpful, and especially PIDC and the Mayor’s Manufacturing Task Force.
PIDC – Philadelphia’s public-private economic development corporation – offers a wide range of loans, tax-exempt financing, and technical assistance for manufacturers and other businesses. They connect businesses to the capital they need for growth. PIDC’s real estate activities support industrial and commercial growth.
PIDC’s manufacturing success stories include Tasty Baking Company, Dietz & Watson, and Revzilla.com. You can read more about all of these successes and others on PIDC’s Web site www.pidcphila.com
Earlier this year the Mayor’s office budget address called for increasing workforce development efforts. The Commerce Department will coordinate a Talent Development Collaborative, to provide a tangible pipeline to sustainable employment, in particular focusing on supporting workforce development in technology industries and manufacturing.
Often on the news, politicians visit factory floors –small and large—to get a video clip. Zauflik feels that lawmakers understand the special concerns of manufacturing, he says, “With a global economy, companies need to adapt to the changing markets and the needs of their customers.” The ultimate responsibility lies with the manufacturer, and identifying government programs can help.
Pennsylvania Governor Tom Wolf is passionate about the impact manufacturing has for the state’s economy, “Boasting an $82 billion annual economic impact, Pennsylvania’s manufacturing industry has long been the backbone of our economy and is the key to our future. With our universities and research centers leading the way, the manufacturing industry is more technologically complex, efficient, and refined than ever before. We are developing some of the world’s leading technology in automation and manufacturing processes. More than 571,000 Pennsylvanians are employed in manufacturing jobs, and I am committed to ensuring that our state boasts a skilled and trained workforce to accommodate every manufacturing need.”
Specifically for Kingsbury, Inc., a manufacturer with a 104 year history of success, they enjoy a very stable and satisfied workforce—some have worked with them for 50 years, but that workforce is aging. According to William Strecker, Kingsbury President and CEO, in about five to seven years the company will have a manageable challenge to find replacements with comparable skills. Strecker takes pride in the fact that careers at Kingsbury offer a good quality work life and competitive benefits.
To address the baby boomer turnover, Kingsbury has hosted students from Temple University and the University of Pennsylvania who are enrolled in the Engineering and Manufacturing curriculum at their respective schools. Kingsbury is a bearing manufacturer headquartered on Drummond Road in Philadelphia with a service and repair facility in Hatboro, PA and other locations in the US and Europe, with 149 employees in the Philadelphia area.
In an effort to proactively help fill the expected employment gap the company participates in ManuFest, a youth manufacturing expo. ManuFest expresses the “cool” factor for manufacturing. The event Web site associates manufacturing careers with “great salaries, a killer job market, and career paths that range from engineering to management to welding. Think the latest technology, green innovations, 3-D printing. Think Apple, Nike, Google.”
Kingsbury was represented by two human resource Representatives and two bearing repair and services representative at the 2016 ManufFest held at Hatboro Horsham High School. According to Janet Rojas, of MontcoWorks the primary event presenter, ManuFest will celebrate its fourth Annual event in Spring 2017. Rojas says the event is, “encouraging our youth to look at manufacturing Career Tech & Education programs that are teaching transferable skills for jobs with salary offers upwards of $50,000/year at graduation.”
In Pennsylvania manufacturers can get financial training assistance from the WEDnet PA Program. This program is designed to encourage all manufacturers to increase the training for their workforce including both essential skills such as team building, communicating for success, and health and safety as well as advanced skills such as advanced software implementation, advanced manufacturing technology, and advanced machine operations and maintenance.
Since its start on April 19, 1999 through June 30, 2015, 17,733 companies have been served by WEDnetPA funding with 1,107,150 workers trained.
In 2014/2015 the training investment for Philadelphia manufacturers made through WEDnetPA was $260,983 with 908 employees trained. In fiscal year 2014/2015 the training focus was revamped to put more emphasis on the advanced training manufacturers need.
In Philadelphia the WEDnetPA partnership is facilitated through Community College of Philadelphia and can be reached at 215.496.6161 or philadelphia@wednetpa.com
For students who are looking to make manufacturing their career, Community College of Philadelphia offers career training in welding, CNC precision machining, and electro-mechanical technology. Enrollment details are available at 215.496.6158 or csinquiry@ccp.edu
Allison Grealis is the President of Women in Manufacturing (WiM) and Vice President of the Precision Metalforming Association (PMA) with hundreds of members across the US and internationally. She has found that taking the skills initiative from within manufacturing makes the most impact.
Grealis explains that to engage millennials in manufacturing the PMA has taken a big role in a new initiative: Manufacturing Next (MFG NXT), encouraging manufacturers to support their own network.
Prior to MFG NXT there was not a national network of support for millennials, the new leaders joining manufacturing. MFG NXT is about the worker’s perspective in manufacturing.
Though its founders are in Cleveland, MFG NXT is a national initiative striking out to discover what’s important to millennials. And they have found they want support. Millennials are looking for training education, mentoring, and networking with peers and colleagues, according to Grealis.
Research and development is another great aspect for millennials to embrace in manufacturing. They can bring strong computer programming and software skills to a company where their contributions are realized in new technologies for a company and in tangible products.
Grealis knows it’s important that students and educators are a part of these initiatives, but stresses that including parents is paramount. Career decisions are made at home within a family unit and getting parents on board is key. When parents engage and see the opportunities, it can really gel the commitment to a hands on career with a bright and lucrative future.
Focusing on STEM (Science, Technology, Engineering and Math) subjects in schools prepares kids for jobs that are highly skilled. In fact it’s so important that President Obama has set a priority of increasing the number of students and teachers who are proficient in these vital fields. The US Department of Education is supporting the President’s call for improving STEM education. STEM subjects have priority, and there are dozens of federal programs that have made teaching and learning in science, technology, engineering, and math a critical component of competitiveness for grant funding.
Manufacturers are opening their doors on a national scale. Manufacturing Day (MFG DAY) was started in 2012, and it has been growing ever since. On this year’s schedule there are over 300 events booked so far, and that number is expected to grow. The day is filled with open houses and invitation only events geared to show off the technology and innovation used in manufacturing careers, while encouraging traditional and social media coverage. Its co-producers are the Manufacturing Institute, The Fabricators & Manufacturers Association, International, the National Association of Manufacturers, and the Manufacturing Extension Partnership.
So this year take a look at your calendar and block off some time for American manufacturers on MFG Day 2016: October 7. There are local companies hosting open houses. You can be a part of sharing how manufacturing is good for America today. If you’re not a millennial, take one along with you. You can find the open houses at www.mfgday.org
1 http://www.nam.org/Statistics-And-Data/Facts-About-Manufacturing/Landing.aspx#sthash.ye0TSO7y.dpuf
2 http://www2.deloitte.com/us/en/pages/manufacturing/articles/boiling-point-the-skills-gap-in-us-manufacturing.html
3 http://www.nam.org/Statistics-And-Data/Facts-About-Manufacturing/Landing.aspx#sthash.ye0TSO7y.dpuf
4 http://www.nam.org/Statistics-And-Data/Facts-About-Manufacturing/Landing.aspx#sthash.ye0TSO7y.dpuf