Job shortage or worker skill shortage.....?

[torbee]

I know we've discussed this issue a bit in the past, but here's more evidence that one of the things holding back the economic recovery is less about a shortage of jobs, but more about a shortage of skilled workers to match the kinds of jobs being created today. This article from an ED blog I follow is pretty interesting:

Workers in short supply as manufacturers try to grow
By: Karlee Weinmann May 14, 2015 12:03 pm 0


Minnesota’s manufacturers are as enthusiastic about their growth prospects as they’ve been since the recession but a worker shortage is keeping growth in check.

Nearly 90 percent of the 400 Minnesota-based manufacturing executives said they’re confident about their companies’ futures, according to a survey released Wednesday by industry consultant Enterprise Minnesota. That’s an all-time high mark since the group launched the annual report seven years ago.

But against the backdrop of brimming post-recession optimism, the worker shortage looming for years is beginning to sting as baby boomers retire and the pipeline of new workers undershoots demand.

The shortage is the clearest barometer for the sector’s future prospects, kneecapping the industry even as it continues to pick up steam post-recession, Enterprise Minnesota President and CEO Bob Kill said in an interview.

“It would be growing faster if we had the workforce,” he said, “but we don’t.”

One-third of the 400 Minnesota-based manufacturing executives surveyed identified attracting and retaining qualified workers as a “serious concern.” Seventy-one percent said it is “difficult” to attract new workers — the highest rate since the survey started, marking an especially steep uptick over the past half-decade.

A plurality of the executives surveyed said they need workers with technical training and experience. Machine operators and assemblers are in the highest demand, according to the report.

The trend, overall, is nothing new. But in one notable deviation, the issue is becoming more pressing for manufacturers in the seven-county metro area. This year, for the first time, 70 percent of Twin Cities executives surveyed expressed concerns, bridging the gap with their outstate counterparts who have hovered around that mark for years.

By extension, the marketplace for manufacturing workers – particularly ones with deep industry experience – is sizzling, and increasingly cutthroat. Wages are going up, according to the survey, and employees are reluctant to leave their posts unless a new job is an obvious upgrade.

“Luring a really experienced person from one firm to another is becoming really difficult and very costly,” Kill said. “There’s been a shift there, and I think that’s just the reality of trying to recruit and find enough workers.”

To plug those personnel holes, more companies than ever have cozied up to partnerships with state agencies, and especially schools, to flesh out the pool of available workers and provide training to expanding existing employees’ skill sets.

There are tens of millions of dollars from federal grants and state institutions to support those programs, said Joe Mulford, system director for education industry partnerships for the Minnesota State Colleges and Universities system – a primary player in the manufacturing education landscape.

“It’s about filling the pipeline and ‘upskilling’ those incumbent workers that you’ve got,” he told manufacturing executives at an Enterprise Minnesota event on Wednesday evening.



Read more: http://finance-commerce.com/2015/05...y-as-manufacturers-try-to-grow/#ixzz3bMcl54fM

 

[linkshero]

If you are a welder, machinist, or mechanic with a relatively clean record, you can just about write your own ticket right now.

 

[hawkssox1]

If you are a welder, machinist, or mechanic with a relatively clean record, you can just about write your own ticket right now.

This^^^^^^^^^^^^^^^^^^also a major issue is those on welfare not "wanting"to work, snap cards and Obama phones make it to damn easy for too many people.

 

[cigaretteman]

This^^^^^^^^^^^^^^^^^^also a major issue is those on welfare not "wanting"to work, snap cards and Obama phones make it to damn easy for too many people.

Right. Nothing like livin' the life of luxury on government assistance.

 

[icu81222]

Right. Nothing like livin' the life of luxury on government assistance.

a huge portion of your democrat voting base are perfectly fine living on food stamps and in subsidized housing and working just enough to retain them. Maybe work a cash job or sell drugs etc.

Your base in general doesnt desire to "live in luxury". They are content to do as little as required.

You have trained them.

 

[joelbc1]

It's a result of "trickle down economics"...because, very simply, "trickle down economics" just doesn't work as advertised AND it is a result of the demise of organized labor in America. These two factors are key ingrediants in the flattening out of wage earner incomes. Wages increase when there is pressure placed upon wages forcing them up. Unions and union negotiations have a much more direct influence on wages than simple supply and demand.
I understand the "globalization" of work is important, too. However, in the USA I believe the two I mentioned have the most impact.

 

[torbee]

The problem is trying to pin this issue on one "side" or the other, based on idealogy.

The real truth is it's a combination of factors.

The demise of unions is part of it - but so is a culture that has de-valued high school and non 4-year college education. And the poverty cycle problem of dependency is a real issue as well. It's a whole stew of issues, that need to be addressed one piece at a time.

Unfortunately, as demonstrated by most of the posts in this thread, the American electorate and by extension our political decision makers - are too invested in blaming the other guy, scoring political points and pointing fingers - to actually think through the causes and come up with solutions.

 

[icu81222]

Unions have done more to eliminate jobs than they have to help the situation. they had their place.

Agree with Torbee that devaluing the non 4 year college education (Trade school etc) is a huge problem.

Just look at the other thread about there being a shortage unqualified workers for mfg jobs. People have been "trained" that they are too good to work with their hands. Too much of a precious snow flake to bother getting their hands dirty. They want it given to them.

People like Joel have trained them that "trickle down" is bad and that lazy unions are the answer. that they are owed a living just for showing up.

 

[TennesseeWaltz1]

Right. Nothing like livin' the life of luxury on government assistance.

When the crash comes and sooner than you think that gravy train will cease to exist...and when that happens you had better surround yourself with moat and stockade...and hire yourself a posse of knights as they did in the good old days of feudalism.

 

[Old_wrestling_fan]

If you are a welder, machinist, or mechanic with a relatively clean record, you can just about write your own ticket right now.

Tell me about it...I run a company where we employ, among others, welders and mechanics and they are as rare as hen's teeth these days. And as you also indicated...even when the "hard" skills and/or experience is present...then an alarming percentage have something in their past that limits their opportunities...like a DUI, so I can't have them on my insurance, etc.

I feel as though a big reason here is that many school district's "sell" going to college as the end all, be all and have shuttered shop classes and so forth. So we sure seem to have an abundance of people with "some college", but no real viable major and tremendous shortage of young folks that can actually fix or make something and are willing to get their hands dirty, etc.

 

[mattymoknows]

When the crash comes and sooner than you think that gravy train will cease to exist...and when that happens you had better surround yourself with moat and stockade...and hire yourself a posse of knights as they did in the good old days of feudalism.

 

[LuteHawk]

In some of our Midwest cities there is a movement to have
at least one vocational high school which encourages students
to be prepared to work as blue collar workers. In a city of 100,000
to 200,000 you might have 2 or 3 regular high schools and one
vocational high school. Courses for carpenters, mechanics,
welders would coordinate with local factories for internships during
the summer. A diploma from a vocational high could prepare
electricians, plumbers and others to join the work force.

 

[TennesseeWaltz1]

You obviously have your head stuck in some idealistic Iowa cornfield...no offense. If you can't see the impending crisis then there is nothing I can do but pray for ye.

 

[torbee]

In some of our Midwest cities there is a movement to have
at least one vocational high school which encourages students
to be prepared to work as blue collar workers. In a city of 100,000
to 200,000 you might have 2 or 3 regular high schools and one
vocational high school. Courses for carpenters, mechanics,
welders would coordinate with local factories for internships during
the summer. A diploma from a vocational high could prepare
electricians, plumbers and others to join the work force.

The Davenport school district is doing this as part of its "district of distinction" program - Davenport West will be a designated STEM site, with an emphasis on high-tech, advanced manufacturing that requires significant computer and other skills, as well as a modernized machine/manufacturing shop. They are partnering with the Eastern Iowa Community College district on this - makes a ton of sense in this area, which has vast potential to be an advanced manufacturing leader with Deere, Alcoa, the Arsenal, etc.

 

[TennesseeWaltz1]

In some of our Midwest cities there is a movement to have
at least one vocational high school which encourages students
to be prepared to work as blue collar workers. In a city of 100,000
to 200,000 you might have 2 or 3 regular high schools and one
vocational high school. Courses for carpenters, mechanics,
welders would coordinate with local factories for internships during
the summer. A diploma from a vocational high could prepare
electricians, plumbers and others to join the work force.

Agreed...as a retired teacher we are doing these kids an injustice by telling them they are all college material because they aren't even community college material in many cases. Actually the most grounded kids I taught were Mexicans. They weren't going to college and they knew it...but they also knew there were jobs out there for them in construction so they focused on industrial arts and masonry classes. In the immortal words of Judge Smails, "The world needs ditch diggers too".

 

[HIWB]

You obviously have your head stuck in some idealistic Iowa cornfield...no offense. If you can't see the impending crisis then there is nothing I can do but pray for ye.

What was your screen name 6 years ago when you were saying the same thing?

 

[Hawk in SEC Country]

If you are a welder, machinist, or mechanic with a relatively clean record, you can just about write your own ticket right now.

But High schools are closing their shop and industrial arts programs, and we don't encourage kids to go to trade schools. The mentality is that physical labor is for other people....not for our kids.

 

[TennesseeWaltz1]

What was your screen name 6 years ago when you were saying the same thing?

I didn't post here 6 years ago...but it is the truth. 50% less number of jobs in 10 years doesn't exactly reek of prosperity does it?

 

[Hawk in SEC Country]

Agreed...as a retired teacher we are doing these kids an injustice by telling them they are all college material because they aren't even community college material in many cases. Actually the most grounded kids I taught were Mexicans. They weren't going to college and they knew it...but they also knew there were jobs out there for them in construction so they focused on industrial arts and masonry classes. In the immortal words of Judge Smails, "The world needs ditch diggers too".

And what our school guidance counsellors don't tell kids, is that someone who is a trade worker, can make more than a person sitting in a cubicle, and often does.

 

[TennesseeWaltz1]

And what our school guidance counsellors don't tell kids, is that someone who is a trade worker, can make more than a person sitting in a cubicle, and often does.

Bingo. I have a friend who didn't want to go the college route so he became a plumber apprentice. Learned enough on the job to open his own business. He owns a 650k home in Mt. Juliet, TN and a beach home near Charleston,SC.

 

[theiacowtipper]

I know we've discussed this issue a bit in the past, but here's more evidence that one of the things holding back the economic recovery is less about a shortage of jobs, but more about a shortage of skilled workers to match the kinds of jobs being created today. This article from an ED blog I follow is pretty interesting:

Workers in short supply as manufacturers try to grow
By: Karlee Weinmann May 14, 2015 12:03 pm 0


Minnesota’s manufacturers are as enthusiastic about their growth prospects as they’ve been since the recession but a worker shortage is keeping growth in check.

Nearly 90 percent of the 400 Minnesota-based manufacturing executives said they’re confident about their companies’ futures, according to a survey released Wednesday by industry consultant Enterprise Minnesota. That’s an all-time high mark since the group launched the annual report seven years ago.

But against the backdrop of brimming post-recession optimism, the worker shortage looming for years is beginning to sting as baby boomers retire and the pipeline of new workers undershoots demand.

The shortage is the clearest barometer for the sector’s future prospects, kneecapping the industry even as it continues to pick up steam post-recession, Enterprise Minnesota President and CEO Bob Kill said in an interview.

“It would be growing faster if we had the workforce,” he said, “but we don’t.”

One-third of the 400 Minnesota-based manufacturing executives surveyed identified attracting and retaining qualified workers as a “serious concern.” Seventy-one percent said it is “difficult” to attract new workers — the highest rate since the survey started, marking an especially steep uptick over the past half-decade.

A plurality of the executives surveyed said they need workers with technical training and experience. Machine operators and assemblers are in the highest demand, according to the report.

The trend, overall, is nothing new. But in one notable deviation, the issue is becoming more pressing for manufacturers in the seven-county metro area. This year, for the first time, 70 percent of Twin Cities executives surveyed expressed concerns, bridging the gap with their outstate counterparts who have hovered around that mark for years.

By extension, the marketplace for manufacturing workers – particularly ones with deep industry experience – is sizzling, and increasingly cutthroat. Wages are going up, according to the survey, and employees are reluctant to leave their posts unless a new job is an obvious upgrade.

“Luring a really experienced person from one firm to another is becoming really difficult and very costly,” Kill said. “There’s been a shift there, and I think that’s just the reality of trying to recruit and find enough workers.”

To plug those personnel holes, more companies than ever have cozied up to partnerships with state agencies, and especially schools, to flesh out the pool of available workers and provide training to expanding existing employees’ skill sets.

There are tens of millions of dollars from federal grants and state institutions to support those programs, said Joe Mulford, system director for education industry partnerships for the Minnesota State Colleges and Universities system – a primary player in the manufacturing education landscape.

“It’s about filling the pipeline and ‘upskilling’ those incumbent workers that you’ve got,” he told manufacturing executives at an Enterprise Minnesota event on Wednesday evening.



Read more: http://finance-commerce.com/2015/05...y-as-manufacturers-try-to-grow/#ixzz3bMcl54fM

Our community college vocational tech classes are at near all time low enrollment. The welding program has two students. Auto repair has four. About six months ago they had a jobs fair for tech graduates and had 45 employers represented. They were recruiting from a pool of 14 graduates.

 

[mattymoknows]

You obviously have your head stuck in some idealistic Iowa cornfield...no offense. If you can't see the impending crisis then there is nothing I can do but pray for ye.

Yawn...I've been listening to you doom and gloom types for years, you're actually entertaining sometimes. Just curious if Doomsday Preppers is one of your favorite shows? Here's some fun reading for you if you care to take the time. The World Is Not Falling Apart

 

[joelbc1]

Unions have done more to eliminate jobs than they have to help the situation. they had their place.

People like Joel have trained them that "trickle down" is bad and that lazy unions are the answer. that they are owed a living just for showing up.

"People like Joel" (that would be me), understand when they are being bullshitted by bullshitters. That's what people like Joel understand.

 

[The_Joker13]

Unions have done more to eliminate jobs than they have to help the situation. they had their place.

Agree with Torbee that devaluing the non 4 year college education (Trade school etc) is a huge problem.

Just look at the other thread about there being a shortage unqualified workers for mfg jobs. People have been "trained" that they are too good to work with their hands. Too much of a precious snow flake to bother getting their hands dirty. They want it given to them.

People like Joel have trained them that "trickle down" is bad and that lazy unions are the answer. that they are owed a living just for showing up.

Care to elaborate on this one?

 

[The_Joker13]

The problem is trying to pin this issue on one "side" or the other, based on idealogy.

The real truth is it's a combination of factors.

The demise of unions is part of it - but so is a culture that has de-valued high school and non 4-year college education. And the poverty cycle problem of dependency is a real issue as well. It's a whole stew of issues, that need to be addressed one piece at a time.

Unfortunately, as demonstrated by most of the posts in this thread, the American electorate and by extension our political decision makers - are too invested in blaming the other guy, scoring political points and pointing fingers - to actually think through the causes and come up with solutions.

Damn fine post.

 

[aflachawk]

Right. Nothing like livin' the life of luxury on government assistance.

Your mistake is judging them by your standards. To many that's the kind of life they want to live

 

[icu81222]

Care to elaborate on this one?

Go to Newton iowa and see how the unions "helped" them

 

[Run&Blade]

This where companies need to partnwe with juco's that get the word out to high schools. Give them tours explain the training and talk to them about salaries.

It's good news for those willing to work and able to learn.

 

[The_Joker13]

Go to Newton iowa and see how the unions "helped" them

So you can't, got it.

 

[Hy_dro]

I see this in my everyday job. Working for a community college I get to meet a wide range of students with plans on a 4 year degree. However what I'm not meeting is the student who wants a career in the trades which is quite sad. I'm not saying they don't exist because they certainly do but I personally believe our k-12 system teaches students to "dream" too much and not realize the actuall in life.

If I had a dollar for every student that wanted to major in psyc- well I wouldn't be working.

 

[joelbc1]

Go to Newton iowa and see how the unions "helped" them

So the Maytag employees should have what???? Worked for Mexican wages? Once Maytag sold, that factor and those people were screwed, it was just a matter of time. And what is "Maytag" now? A second-rate cheap-assed POS. Yep.....them going to Mexico sure saved that brand.
See how the absence of a union has affected Newton today.

 

[icu81222]

So the Maytag employees should have what???? Worked for Mexican wages? Once Maytag sold, that factor and those people were screwed, it was just a matter of time. And what is "Maytag" now? A second-rate cheap-assed POS. Yep.....them going to Mexico sure saved that brand.
See how the absence of a union has affected Newton today.

So uninformed.

Mexican wages? They were paying well over $20/hour to put a piece of cardboard in a freaking box! Not including benefits and pensions.

Also, Newton is MUCH better off now that it is gone and will be better and better as time goes on.

The union is why the workers lost their jobs. Just like detroit. The unions are horrible.

Now thE community is attracting employers that a aren't handcuffed by the union BS and the city isn't burdened with it either. Many are glad they don't have to deal with all of the ridiculous services required to have them there.
clueless

 

[joelbc1]

So uninformed.

Mexican wages? They were paying well over $20/hour to put a piece of cardboard in a freaking box! Not including benefits and pensions.

Also, Newton is MUCH better off now that it is gone and will be better and better as time goes on.

The union is why the workers lost their jobs. Just like detroit. The unions are horrible.

Now thE community is attracting employers that a aren't handcuffed by the union BS and the city isn't burdened with it either. Many are glad they don't have to deal with all of the ridiculous services required to have them there.
clueless

You are telling me that in Mexico the workers for the moved Maytag plant are making $20/hour + benefits?
You're telling me that Newton now is the town it was 10 years ago and better because Maytag moved its multi-million dollar payroll out of town? Property values have plummetted. Businesses have folded like a cheap door. The town is facing daily financial crisis...and you tell me they are "better off" today?
The "unions" did not destroy Maytag. Maytag was destroyed by its own decisions. THey made some really bad marketing choices in the late 70's and 80's that they never recovered from. Them Whirlpool bought them and decided to use the Maytag name for cheap assed, low-end products and moved the operation out of the US to maintain profitability. It wasn't the union buddyboy.....it was a series of corporate decisions.
A race track ain't going to replace the money lost when Maytag left town. Either is a windmill company.

 

[icu81222]

1) You are telling me that in Mexico the workers for the moved Maytag plant are making $20/hour + benefits?


2) You're telling me that Newton now is the town it was 10 years ago and better because Maytag moved its multi-million dollar payroll out of town?

3) Property values have plummetted.

4) Businesses have folded like a cheap door. The town is facing daily financial crisis...and you tell me they are "better off" today?


5) The "unions" did not destroy Maytag. Maytag was destroyed by its own decisions. THey made some really bad marketing choices in the late 70's and 80's that they never recovered from. Them Whirlpool bought them and decided to use the Maytag name for cheap assed, low-end products and moved the operation out of the US to maintain profitability. It wasn't the union buddyboy.....it was a series of corporate decisions.


6) A race track ain't going to replace the money lost when Maytag left town. Either is a windmill company.

So uninformed and just pulling crap out of your a$$
1) WTF are you talking about? I said the NEWTON Maytag workers were making over $20/hour + benefits to put a piece of cardboard in a box. Moron.

2) Long term, the CITY and it's residents are and will be better off without that albatross hanging around their neck.

I spoke to a very prominent local business owner and HE is the one who brought this to my attention. They no longer have to employ dozens of fire fighters and police just for that massive plant. There are also other behind the scenes benefits LONG term for not being stuck with that union abortion.

3) Property values DID plummet. Predictably. But, just like the housing recovery, things have improved much more than you think, know or would even admit.. Newton was always a $hit hole but it has made a bit of a come back.

4.) Again, you don't know what you are talking about.
They have lured numerous business and industry to town making it much more conducive to thriving as a community.
" For Mayor Allen, the solution was clear: Diversity.

"We figured out what we needed to do to move our town forward, to diversify our economy and to bring new things to town," said Allen

5) The highest costs nearly every business has is labor and benefits. Unions ALL OVER THE COUNTRY have done it to themselves with outrageous pensions and benefits packages that aren't sustainable long term. Just look at the ridiculous public sector unions. Oh, and do I need to remind you of the the industries in the biggest trouble in our country for many years? Teachers, Airlines and auto. Hmmm......the common thread. Oh, that's right. Out of control unions.

Of course, a clueless liberal refuses to acknowledge the horrendous negatives of corrupt unions.

6) The race track has been excellent but only part of the comeback. Longterm, it will exceed having Maytag if nothing else because they don't have the ridiculous overhead that comes with it. the race track actually attracts more businesses to town. Maytag was not attracting new start ups or community growth.


You just throw your liberal schtick at everything with no concept of reality. A true Obama voter. Kudos

 

[Huey Grey]

a huge portion of your democrat voting base are perfectly fine living on food stamps and in subsidized housing and working just enough to retain them. Maybe work a cash job or sell drugs etc.

Your base in general doesnt desire to "live in luxury". They are content to do as little as required.

You have trained them.

You just made this up.

 

[Huey Grey]

And unions, Washington policies, and everything above isn't responsible for the lack of jobs. Automation is. Our jobs are simply being done by machines now. It's as simple as that.

 

[joelbc1]

#2...what "albatross" you talking about? Maytag was an albatross to Newton/Jasper Co and Iowa? Tax records and payroll records would surely disagree. But then, you are the expert.
#3....back in 2005 Newton had on file 350 building (new construction) permits on file ($34.8M)......a few years later, after the closing of Maytag, there were 61 permits on file ($5.6M).
In 2002 Maytag was the state's largest manufacturing employer, so those jobs (and payroll) are missed? The average manufacturing employee paycheck was $975/week. That money (and tax revenue) is not missed locally?
#5.....So "non-union" jobs don't offer paid vacations? paid time off? sick pay? health insurance? life insurance? I'm sure the percentage is just about the same for non-union positions as union jobs....or are saying America's employees do not deserve jobs with these benefits?
#6....are you flaming or do you really believe this? The race track MIGHT bring 30k pople to Newton 3-4 days a year. You're saying this will promote economic well-being for the city? Gimme a break.
Newton is a hurtin' for certain town right now. It probably is getting better than where it was 10 years ago but very slowly. Does it ever reach the zenith it enjoyed back in the 80's? Highly doubtful. The chilling affect on Newton of the Maytag departure is much deeper than you admit. The hospital was adversely affected. Small businesses downtown were affected. Newton's "saving grace" in all this is its easy accessibility to DSM and the DSM labor market. Plus, jobs in DSM, while not paying the Maytag level, pay much better than most in central Iowa.