White Paper: Fix the Labor Shortage? Embrace Millennials and Gen Z

Generations who grew up using technology with ease may just be the ticket to solving the skills gap. Companies who refresh their outlook and career development planning to fully embrace millennial and Generation Z workers have the best chance, according to a Tooling U-SME white paper that examines the issue in great detail.

There are 75 million millennial workers available to companies, according to the Pew Research Center. Right behind them, there are another 61 million “Generation Z” job seekers about to enter the workforce—finds consulting firm BridgeWorks. Knowing that there is the infamous 2 million to 3.5 million manufacturing skills gap—per the oft-cited Deloitte millennial surveys, it would seem that manufacturers that capture a fraction of those numbers would easily solve the skills gap—but it’s not as easy as it sounds.

Perceptions about manufacturing as a dirty, unhealthy and limiting career path abound. Also, manufacturing simply seems like the work of a different generation that is perhaps out of touch with now. Despite the adoption of so many emerging automation technologies and the incredible use of programming to operate CNC machines—and the rise of sensor-based technology, negative perceptions are real.

“Dark, dirty and dangerous—mention the 3Ds of old-time manufacturing and HR managers shudder,” writes Steve Minter, executive editor of IndustryWeek. “It’s exactly the image they don’t want the public—or millennials considering careers in manufacturing—to have of the industry.”

Similarly, manufacturers’ viewpoints about millennials and Generation Z aren’t all that rosy either—but it does not have to be that way.

“While most manufacturers (78 percent) agree millennials are important to their future operations, less than half (40 percent) say they have a good understanding of this group of employees,” writes Tooling U-SME in its white paper “Embracing Millennials: Closing the Manufacturing Skills Gap and Gaining a Competitive Advantage.”

Tooling U-SME helps manufacturers with their career development plans—and monitors the data and industry very closely. The organization does not subscribe to the perceptions of the industry or by it about new generations of workers.

“Companies that take a fresh look at their training and development approaches can ultimately elevate the performance of everyone in an organization—not just millennials—leading to loyal employees and stronger business results,” notes Tooling U-SME.

“Every year, the skills gap is an issue for us manufacturers,” says Reid Leland, president and founder of LeanWerks, a precision manufacturer in Ogden, Utah. “Regardless, we have to take responsibility for our workforce. We can’t make excuses for not having good people––we have to be active in our communities, helping to grow and attract talent.”

Leland knows what he is talking about. His company has won Top Shop awards for its human resources practices—which includes using Tooling U-SME and other industry standard best practices for training and career development.

To get Leland’s full perspective, read “Q&A: How to Recruit, Train and Retain Top Machining and Manufacturing Talent.”

How is your company embracing newer generations of workers? Are you formalizing your plans? Share your stories.