Most of us in the manufacturing industry know the challenges: supply-chain disruptions, rising costs, the need for greater sustainability, the rising demand to produce faster than ever before, and of course the ongoing labor shortage. This is why we are embarking on a blog series about the future of manufacturing. Some might be saying I am harping on the same old issues. But let’s take a moment to step back and recap what we have been talking about.

We have already explored who the future worker is, the technology that will enable the future of work, and how we can prepare for the future of work. Today, since there is a new initiative, I want to look at other potential ways we can address the manufacturing workforce crisis as we move closer to the future of work in manufacturing.

The Manufacturing Labor Crisis

Most of us in the manufacturing industry also know the numbers. Data from the U.S. Bureau of Labor Statistics indicates the labor market stabilized through 2024 as quits, hires, and job openings in manufacturing declined, and employment has leveled off.

However, talent challenges remain, with many manufacturers still citing their inability to attract and retain employees as their top challenge. First, and foremost, this begs the disconnect in the market. The National Assn. of Manufacturers suggests there were 414,000 manufacturing job openings as of May 2025 and there are 3.8 million new manufacturing positions expected by 2033. A study conducted by Deloitte and The Manufacturing Institute in 2024 showed 1.9 million manufacturing jobs could go unfilled in the next 10 years if talent challenges are not addressed. Then there is AI (artificial intelligence).

Corporate America is betting the farm, and you could say they are waging lock, stock, and barrel on AI. As a result, while there is some good coming from AI, there is a whole group of professionals feeling the immediate pinch with this big bet as average everyday Americans are getting the boot.

We can talk all day about what AI is “going to do” but that day is not here yet. And in fact, corporate America is firing people, some good, some well-respected and hard-working, knowledgeable people, so it can make greater investments in AI. Let’s be clear, AI will and indeed does have its place. But until it’s completely ready for primetime, thousands of people are quietly being fired (some not so quietly if you listen to the news).

And some are too old and too ashamed to admit they have been kicked out the door. Millennial workers and some of those, even younger, are still struggling to capture the knowledge to keep pace with the ever-rapidly changing world. But if the Wall Streeters are correct, the big behemoths are the ones winning right now. They, in fact, are almost bragging about how much profit they made this past quarter.

So, what’s the challenge? The next generation of leaders are saying forget this! This new middle management doesn’t want to work like their parents and that leaves those that must look to AI for all the answers, or at the very least to give them the answers to run the operations. AI is not ready to run big plants, to make corporate decisions yet, let alone train people where they need the training most, at least not just yet. Agentic AI is here to provide some guidance, not lead. So where does that leave us? The best answer is a bit shorthanded and in even more disarray than we really needed to be.

Deloitte’s 2025 Manufacturing Industry Outlook points to AI (artificial intelligence) and generative AI in manufacturing as one way to address some of the challenges that exist in manufacturing such as the labor shortage. Certainly, this is one thing many can do.

I believe the solutions to the labor challenges in manufacturing are myriad. Of course, we must leverage technology. But we must also address the skills gap and upskill and reskill if we want to truly make a difference in the manufacturing industry in the days ahead. This is why I was excited to see a new initiative in Georgia.

What’s Happening Georgia?

The Georgia Association of Manufacturers has launched Manufacturing Georgia to address a growing need in the state. The state has found there was a 56% turnover rate in 2023, with nearly 238,000 jobs unfilled. Was the turnover by choice? Hmm. I will leave that for you to answer. More terrifying: Roughly a quarter of Georgia’s 424,000 manufacturing workers are eligible to retire. The turnover in the state is driven by a host of factors from people quitting, layoffs, and early retirements. The younger workforce quit claiming poor pay, limited career growth, limited life-work balance.

Manufacturing Georgia is a statewide initiative and digital marketplace where companies can connect with talent in realtime and define the skills they need. It brings new talent and current employees together to upskill. One challenge is that students might have to pay for fees upfront. However, fees are reimbursed when hired by an employer.

Open to all Georgia-based manufacturers, the platform enables people to look for jobs, message employers directly, and discover real career benefits—like tuition assistance, childcare, and second-chance hiring. Employers must manufacture in Georgia; job seekers can come from anywhere. More than 1,400 users have joined, with strong interest from prospective employees in neighboring states.

The objective here is to bring in new talent and help current workers upskill and reskill. We’ll see what kind of impact this makes as time progresses. What type of initiatives do you see happening in your communities? While this is all moving in the right direction there are still myriad of other things at play that companies need to pay close attention so that the bottom does not fall out of manufacturing as a result of tech companies building their war chest on the backs of an industry that has all the potential of crumbling just like the dot.com sector.

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