The manufacturing workforce is entering one of the most disruptive yet opportunity‑rich periods in decades. Talent shortages, rapid automation, new skill demands, and shifting workforce expectations are redefining what it means to build and sustain a resilient workforce. For HR, TA, and L&D leaders, the next 5 years will require a fundamentally new approach to capability building, workforce planning, and employee experience - all of which sit at the heart of LEAP HR: Manufacturing Total Workforce.
Below, we explore the key people‑related challenges shaping the industry and highlight how the most innovative leaders within US manufacturing are responding in real time.
America’s Manufacturing Skills Gap Is Mission-Critical
The US manufacturing industry is experiencing one of the most significant labor shortages in modern history, driven by aging workforces, an inability to effectively engage the next generation, rapid tech adoption, and persistent capability mismatches.
According to Deloitte and The Manufacturing Institute, manufacturers will need 3.8 million new employees between 2024 and 2033, and despite this being a “need”, almost half of these roles will remain unfilled due to the reasons mentioned above. The solution to this problem requires a fundamental and structural shift in approach - not a plaster over a gaping wound.
StandardAero has proved this is possible and engaging the next generation, early in career is an effective, long-term fix for declining interest in manufacturing careers. Through a multi-pronged approach, they have been able to drive up interest with this audience by:
- Repositioning L&D as a strategic driver of workforce readiness
- Establishing technical training centers at major sites
- Partnering with local workforce boards and attaining grant funding to align training and workforce development with community needs
The Landscape Is Changing, And You Have to Be Ready
The rise of AI and automation is changing the relationship that manufacturers and laborers have with frontline production. Job descriptions are being rewritten in real-time and roles are changing. Everyone stands to benefit from this shift, but to truly maximize the wins while retaining a truly capable and resilient workforce is a challenge that HR, TA, and L&D leaders need to address.
Whilst the most immediate threat to production is finding qualified laborers, the next biggest challenge is navigating AI, which 45% of US hiring managers according to a 2025 Express Employment Professionals-Harris are struggling with. Whilst these are still very uncharted waters with no one-size-fits-all solution available, leaders across the industry are making moves forward to incorporate this into both recruitment and training.
AMS’ David Ingleson will be discussing how the role of the Recruiter is changing and which areas of the hiring process should be automated, and which should be re-balanced and defined around human intelligence and lived experience. AI is not going anywhere, and this balance needs to be number one priority for hiring and people teams across the sector to ensure the right talent is not just acquired but retained.
Now You Have It, Time to Keep It
As any workforce leader will understand, increasing retention, maintaining engagement, and cutting turnover are vital to long-term capability, cultural cohesion, and commercial sustainability. Despite this, 83% of people leaders say that retention will remain a critical challenge through 2026 and beyond. Not only this but with just 24% of leaders reporting strong application of new learning and training in day-to-day work (Blanchard), it is clear to see why turnover and retention remain such a problem.
Frontline workers are busy and with labor shortages, they often find themselves working with a time debt which knocks engagement with training. Plus, when this training is not effective, up-to-date, or engaging to begin with, the problems only get worse. It is in leadership’s best interest and responsibility to ensure that training is impactful and relevant, employees feel psychologically safe, and career pathways exist to allow progression and development that align with expectations in other industries.
Griffith Foods has effectively done this by building new models such as cross-functional, pay-for-skills which have aligned skills with 2030 business goals and resulted in boosts to productivity and retention. Reckitt Benckiser is another manufacturer who has effectively linked skills, rewards, and wellbeing to reduce turnover from 17% to 6.8% and increase OEE by 11% in just under 18 months. Both organizations have proved that it is possible to rethink how manufacturers approach skills and training to effectively engage and retain skilled laborers while improving commercial outcomes and production performance.
The Next Era of US Manufacturing Requires New Thinking and Reinvention, Are You Ready?
Between now and 2030, the US manufacturing landscape will change in ways we are currently unable to predict; however, one thing is for certain – skilled frontline workforces are as vital as ever. If manufacturers truly want to stay competitive during this new, AI and automation powered frontier, HR, TA, and L&D leaders must take the lead in reimagining how talent is acquired, developed, engaged, and retained.
This is why LEAP HR: Manufacturing Total Workforce exists as a high-impact, peer-led forum. Don’t miss the opportunity to be there with the leaders who are redefining the industry’s approach to workforce talent, especially at this pivotal time.
Learn more about what’s in store by getting your copy of the event brochure.