Opinion: U.S. educational mismatch leaves American manufacturers unable to fill 'millions of critical jobs'

A shortage of trained mechanics means auto owners 
will pay more for repairs. (Ford photo)

Moving the manufacturing of any product back to the U.S. is an expensive and iffy gamble that can take years to bring into fruition. For many companies, the idea of reshoring labor-intensive industries isn't even on the table because the nation doesn't have enough skilled trade workers to staff factory floors.

Ford Motor CEO Jim Farley "pointed out on a podcast last week that he can’t find enough skilled mechanics to run his auto plants. Specifically, Ford can’t fill 5,000 mechanic jobs that pay $120,000 a year," writes The Wall Street Journal editorial board.

“We are in trouble in our country. We are not talking about this enough,” Farley told Monica Langley of the "Office Hours" podcast. "We have over a million openings in critical jobs, emergency services, trucking, factory workers, plumbers, electricians and tradesmen.”

For decades, American youth have been influenced to attend college rather than trade schools through government-sponsored financial support and cultural influences that push college degrees as a prerequisite for success, even when a trade profession might be a better fit. "This has created a skills mismatch in the labor market," the board adds. "Unemployment among young college grads is increasing, while employers struggle to hire skilled manufacturing workers, technicians and contractors."

When graduate numbers are compared, the extreme shortage of skilled workers becomes clear. "Only 114,000 Americans in their 20s completed vocational programs during the first 10 months of last year, compared to 1.24 million who graduated from four-year colleges and 405,000 who received advanced degrees," the board writes.

A lack of skilled workers eventually costs consumers more money. "An American whose F-150 truck breaks down will still have to pay more at the repair shop owing to the mechanic shortage," the board explains. "Steering every high school student toward college is doing tangible harm to the labor market — and the young."

AI isn't coming for 'blue-collar' jobs. The skilled trades sector boasts 'high-tech, 21st-century, rewarding, well-paying jobs.'

Human work may change as AI enters
new markets. (Unsplash graphic)

Artificial intelligence may upend parts of the U.S. labor market, but "blue-collar" jobs are growing and expected to be less vulnerable to AI intrusion. "AI is supposed to displace millions of workers in the coming years — but when your toilet won't flush at 2 a.m., you're not going to call ChatGPT," reports Ben Berkowitz of Axios. "Companies are already boasting of saving hundreds of millions of dollars a year by using AI instead of humans."

AI might be able to regurgitate its "white-collar work" programming with razor-like precision, but putting on a new roof or installing electrical wiring won't be its domain. "The 40 most-vulnerable jobs (translators, historians, sales reps, etc.), basically all of them office work," Berkowitz writes. "The 40 least-vulnerable jobs (dredge operators, roofers, etc.), just about all of them manual labor."

Reinvigorating American labor and manufacturing has "become a key Trump administration economic talking point: Blue-collar wages are rising faster now than at the start of any other administration going back to Nixon," Berkowitz reports.

Even before the AI mega-data center expansions, there was a skilled trade worker shortage. "AI will, ironically, only make [the shortage] worse," Berkowitz explains. "Factories alone are short about 450,000 people a month, per the National Association of Manufacturers."

Jay Timmons, the CEO of NAM, told Berkowitz, "We're really talking about high-tech, 21st-century, rewarding, well-paying jobs. Manufacturers are really embracing what's coming, and they accept the responsibility."

Efforts to ramp up the number of American trade workers "will require a large-scale, national effort — not just for up-and-coming students, but for mid-career folks forced into a pivot," Berkowitz explains. "Everyone from politicians to CEOs recognizes just how badly they need tradespeople to keep the economy running." 

After an immigration raid takes more than half of its labor force, a meatpacking company looks at ways to begin again

Immigration agents raided Glenn Valley Foods on June 10.
(ICE photo via Nebraska Examiner)

After Immigration and Customs agents arrested roughly half its labor force, meatpacking company Glenn Valley Foods in Nebraska is looking for ways to start over. 

The company had religiously used the federal system, E-Verify, to cross-check employees' eligibility to work in the U.S., but federal agents still arrested 76 workers "who they said were undocumented immigrants using false identification," reports Eli Saslow of The New York Times.

Before the raid, Glenn Valley Foods was expanding with "new hires, new manufacturing lines, and new sales records [as] one of the fastest-growing meatpacking companies in the Midwest," Saslow writes. "But, in a matter of weeks, production had plummeted by almost 70%. Most of the workforce was gone." 

Now, the company is piecing together a new workforce with a new human resource manager, Alfredo Moreno, who believes "the only way to truly prevent fraud is to scrutinize IDs with black lights and magnifying glasses to make sure they aren't fake, and then interview each potential employee in person," Saslow reports. "The government maintained that Glenn Valley employees had been using IDs that were stolen." 

The raid cost Glenn Valley days of business, but slowly, a barebones crew formed, and some lines restarted. Meanwhile, Moreno and his tiny HR staff are still using E-Verify along with their additional verification measures to try to hire as quickly as possible. Still, almost none of their applicants are U.S. citizens.

Since the raid, the company's owner, Gary Rohwer, has "received phone calls from strangers who accused him of 'stealing American jobs,'" Saslow writes. "But Nebraska [has] a work shortage, with only 66 qualified workers for every 100 positions. . . . 'There are some jobs Americans don’t want to do,' Rohwer tried explaining to one caller. 'We’re caught up in a broken system.'"

Steelworkers considered this county 'too rural' to live there; local officials launched a plan to get them to put down roots

Mississippi County Courthouse, 
Osceola, Ark. (Wikipedia photo)

When U.S. Steel decided to make Mississippi County, Ark., its home base, local officials thought people would move to the area, bringing their spouses and families with them. They didn't. But the county didn't give up on leveraging its steel boom as way to address ongoing decline. 

"In recent years, this vast county in the Mississippi Delta has transformed itself into one of the largest U.S. hubs for steel production and reliable, well-paying steel work," reports Chao Deng of The Wall Street Journal. "Lately, it has shifted to an even harder task: getting those workers to move there."

Mississippi County was once a bustling farm region, but over several decades, families have left, and towns have fallen into decay. "Many steelworkers still see the county as too remote and rural to live in, so they choose to commute long distances every day, often from neighboring states," Deng explains. 

To get steelworkers and their families to move to Mississippi County, the county is "pushing a host of initiatives to increase its population and shore up its economic base," Deng writes. "The chief program, called 'Work Here. Live Here,' offers home buyers money toward down payments on new or existing property, as long as they live and work in the county for four years. . . . About 160 families have purchased homes with help from it."

Mississippi County location in Ark.
(Wikipedia map)

So far, the county's plan has been successful. Cliff Chitwood, the county’s economic-development officer, said about "250 new homes have gone up in the county in the past 14 months, with more than half of them bought under the 'Work Here. Live Here' initiative," Deng writes. Chitwood told Deng, “It doesn’t sound like many until you realize it’s more than we had in 20 years."

Immigrant farm workers from Mexico once had a clear path to work in the U.S. from the 1940s to the 1960s

Braceros congregating at Rio Vista 
(Library of Congress photo via Offrange)

A look back at American history reveals a significantly different perspective on Mexican immigrants coming to the United States to fill labor shortages. Beginning in the 1940s and stretching into the mid-1960s, the U.S. recruited thousands of Mexican immigrants to work on U.S. farms.

In Texas, the National Historic Landmark "Socorro’s Rio Vista Farm" operated as the "Rio Vista Bracero Reception Center," which was a designated point of entry for thousands of Mexican workers who entered the U.S. as "part of a temporary labor program," reports Marianne Dhenin for Offrange. "The arriving Mexican workers were known as braceros from the Spanish word for arm, brazo, roughly translating to 'one who swings his arms.'"

Mexican farm worker recruits were able to enter the U.S. by signing up for the Bracero Program. "The program was designed to recruit skilled agricultural laborers from Mexico to mitigate labor shortages in the United States resulting from American farm workers enlisting during World War II and, later, the Korean War," Dhenin explains. During World War II, the U.S. government incarcerated thousands of American Japanese farm workers, which increased the need for Mexican labor.

Workers who wanted to join the Bracero Program "applied at intake stations across Mexico," Dhenin writes. These men "made significant sacrifices in pursuit of economic opportunities in the U.S. Many hoped that higher wages across the border would allow them to provide for those they left behind."

Becoming a Bracero wasn't as easy as just signing up. Applicants were required to undergo extensive medical and psychological testing in Mexico before "being invited to make the trip northward through Mexico and across the border," Dhenin reports. Braceros were often transported into the U.S. in cargo trains "without seats, windows, or water stops along the way."

During the 1950s and early 1960s, the "barracks on Socorro’s Rio Vista Farm served as dormitories, offices, and a mess hall to house and process the more than 80,000 braceros who passed through each year," Dhenin explains. "It was one of five long-term bracero reception centers in California, Arizona, and Texas. . . . Over the lifespan of the Bracero Program, more than 4.6 million contracts were issued." A total of 30 states participated in the Bracero program.

Department of Veterans Affairs reverses course on mass layoffs after pushback

Veterans make up about 30% of the federal civilian 
workforce. (Gallup photo)

Faced with bipartisan pushback and anger from military veterans, the Department of Veterans Affairs is backtracking on its plan to shed more than 80,000 employees. Eric Katz of Government Executive reports, "VA previously told top-level staff it would utilize widespread reductions in force to cut its workforce back to the level it employed in fiscal 2019, leading to a reduction of more than 80,000 employees."

Early 2025 cuts by the Department of Government Efficiency and the VA have already taken a disproportionate toll on veterans' post-service employment, because they make up roughly 30% of the U.S. federal civilian workforce. "The VA has already shed 17,000 employees since January, and plans to cut another 12,000 through additional attrition and separation incentives," Katz explains. "While VA said it would not implement a 'large-scale' or 'department-wide' Reduction in Force, it did not rule out using more targeted layoffs."

Reducing VA staff is framed as a reorganization effort to improve the VA, rather than a way to cut jobs. VA Secretary Doug Collins told Katz, "Since March, we’ve been conducting a holistic review of the department centered on reducing bureaucracy and improving services to veterans. . . . A department-wide RIF is off the table, but that doesn’t mean we’re done improving VA."

The VA has until Monday to "keep its plans under wraps, requiring all of those working on it to take the unusual step of signing a non-disclosure agreement," Katz reports. 

While Collins and some lawmakers said the reversal of mass layoffs was always a possibility, the American Federation of Government Employees council, which represents employees in VA’s central office, "suggested that the change was a direct result of outcry and pushback," Katz adds. "The group said the change in plans was not 'a coincidence, it was a response.' The union added significant damage has been done to the VA workforce."

Bringing back U.S. manufacturing jobs would take 'years, if not decades'

The U.S. produces domestic clothing on a smaller
scale. (Hybrid Storytellers photo, Unsplash)

Part of the driving force behind President Donald Trump's far-reaching tariffs is to push American businesses and consumers to make and purchase U.S.-manufactured goods. While American production and purchasing appeals to many Americans, the question remains: Is America up to the task?

"In many industries, the undertaking would take years, if not decades. The United States lacks nearly every part of the manufacturing ecosystem — the workers, the training, the technology and the government support," reports Alexandra Stevenson of The New York Times.

Trump's made in America push opens up a bigger trade discussion about where products are made vs. where they are sold. The logistical and financial effort required to re-shore all the moving parts, which are often produced across the globe, would present a challenge.

Sailex, a fabric and clothing manufacturer, is an example. The company has a jean-making facility in Los Angeles that produces roughly 70,000 pairs of pants per month. But that comes with a tradeoff. Stevenson explains, "The operation works only because Saitex runs a much bigger factory and fabric mill in southern Vietnam where thousands of workers churn out 500,000 pairs of jeans a month."

Sailex owner Sanjeev Bahl believes the U.S. "can make stuff again . . . . But his experience highlights how hard it would be," Stevenson reports. "There are no mills in America on the scale of what the industry needs, nor major zipper and button suppliers. The cost of running a factory is high. Then there is the labor problem: There just aren’t enough workers."

If the U.S. wants to revive its manufacturing powerhouse status, that goal "would have to include immigrants seeking that same opportunity in the United States," Stevenson explains. "At Saitex’s Los Angeles factory, most of the workers come from countries like Mexico, Guatemala and El Salvador."

Even if the U.S. could find enough workers, the cost of labor is a barrier. Stevenson reports, "It is hard to make things in great volume in America. . . .For Bahl, it boils down to the cost of a sewing machine operator. In Los Angeles, that person gets paid around $4,000 a month. In Vietnam, it is $500."

An Ohio county with big Amish community is becoming an economic hub. Economists say the model can be replicated.

Horse-drawn buggy in rural Holmes
County (Wikipedia photo)

Hard work, generosity and 'extreme networking,' are a few of the reasons the Amish community in Holmes County, Ohio, is thriving. The group's unique ways of supporting new businesses can serve as a model for other places looking to bolster economic mobility, reports Scott Calvert of The Wall Street Journal. "Between 2005 and 2019, average household income in Holmes County rose 24% for 27-year-olds raised in lower-income homes."

By some measures, Holmes should be struggling, but instead, it's becoming an economic hub. "Economists and local business leaders believe much of the progress stems from entrepreneurial growth fueled by cooperation and innovation, all buttressed by tight family and community ties," Calvert explains. "Mark Partridge, an Ohio State University economist who has studied Holmes County, points to an 'extreme networking effect,' where companies — and cousins — routinely help each other out."

Location of Holmes County
in Ohio (Wikipedia photo)

Experts point out that being Amish isn't necessary to replicate what's going on in Holmes County. Partridge told Calvert, "You can have a tight social network with effective social organizations, chambers of commerce, business organizations, and other kind of nonprofits.” Calvert reports, "While rural areas are often hampered by young talent moving away for better job opportunities, many Holmes County natives remain, held in part by the Amish tradition of staying near one’s community."

Sharing -- even with business competitors -- is a key ingredient in this community's success. Calvert writes, "Steve Miller, 31, started Grand Design Roofing in his 20s with a partner. Their Covid-era boom is over, he said, but business is still robust enough to sometimes overextend him and his six workers." Miller told Calvert, "If we’ve got plenty of jobs, I just go to my competitor and I give him a couple jobs. . . . I’m here so my employees can make a good, honest living. . . . I’m not here to collect all the wealth I can absolutely collect.”

This rural town's main employer closed its doors; laid-off workers consider their few options in southern Virginia.

The purveyor of delux and premium deli-meats
closed its Jarratt, Va. plant.

The indefinite closure of a Boar's Head production facility in Jarratt, Virginia, is an added blow to the rural town's economy where the company was the largest employer. Boar's Head decided to close the plant after it was linked to a severe listeria outbreak, which has killed 10 people and hospitalized 59.
Now, laid-off Boar's Head workers must face a tough job market in manufacturing-depressed southern Virginia, reports Chao Deng of The Wall Street Journal. "For decades, the Boar’s Head deli meat plant has been one of few economic pillars holding up this rural, downbeat part of southern Virginia."

Even though Boar's Head is offering workers severance pay and the possibility of relocation, the sudden closure has left workers shocked and unsure. Deng writes, "Many are scrambling to figure out how to pay their bills and whether they can even stay in a region battered by waves of layoffs and closed businesses."

Many workers believe finding a new job will most likely mean accepting a long commute. Manufacturing work in Virginia has been fading since the 1990s "when the elimination of trade barriers invited global competition," Deng reports. "Textiles and furniture-making went by the wayside." Fletcher Mangum, an economic consultant from Richmond, Virginia, told Deng, "The job opportunities [in southern Virginia] are not good. Manufacturing has had ups and downs but it never quite recovered from the losses of Nafta."

Overall, Virginia's state economy has struggled, with its rural southern and western regions having suffered the steepest declines. Deng writes, "Year-over-year employment in Greensville County, where the Boar’s Head plant is located, has mostly underperformed that of the state since 2017. . . . Manufacturing makes up about 30% of the economy in Greensville, compared with about 7% for the state."

Greensville resident Marvin Tiller has worked in factories that closed "most of his career," Deng reports. "Before getting laid off from Boar’s Head, the 51-year-old worked for two companies that shut down operations in the area more than a decade back — he was a crane operator for a steel company called Emporia Foundry, as well as a delivery man for Fujifilm Pharmaceuticals. . . . [He's] thinking about getting out of factory work altogether."

Many Americans are choosing not to move. The change has made 'staying put' the new norm.

Choosing not to move has become more popular.
(Adobe Stock photo)

In a dramatic shift, many Americans have decided that relocating isn't as doable or desirable. "The share of Americans moving has reached its lowest point in history — and doesn't look like it's climbing back up anytime soon," reports Erica Pandey of Axios. "Moving — across town, across the state and across the country — for new jobs and better lives was once a common part of American life. Now, staying put longer is the norm."

Several trends are driving the move not to move. Among those key factors are younger people who are opting to live at home longer. Also, the increasing age of Americans makes a dent in would-be movers since older people are less likely to leave a place where they may have a support system, family and medical care.

In the 1960s, "around 1 in 5 Americans moved each year, according to the Brookings Institution," Pandey writes. "As of 2022, that’s fallen to 8.7% — even accounting for the pandemic-era moves out of big coastal cities and into places like the Sun Belt and sky-high housing prices are keeping people from moving into new homes or buying their first homes."

Those who are still on the move "are disproportionately college-educated. As the N.Y. Times notes, less-educated workers don't benefit as much from moving to a city as they once did in terms of higher wages," Pandey adds. "And while the recent increase in migration between states is notable, it follows a long-term decline over the past several decades."

Rural towns face public-sector worker shortages that will only increase; some residents are doing the work of many

To fill service gaps, some older rural residents have
multiple jobs. (Adobe Stock photo)

Small towns across the United States are short on people, money and a younger workforce, which leaves many older rural residents doing the work of two or three people. When older residents retire, rural communities are hard-pressed to "find and afford" new workers for a range of public-sector positions, reports Jon Kamp of The Wall Street Journal. "The challenge. . . faces small governments scattered around the U.S., and often leaves those still there to pick up the slack."

The rural labor conundrum affects states as big as Texas and as small as Maine. "In Texas, roughly two-thirds of cities with 3,000 to 5,000 residents are missing a finance director. . . . Other city employees who might not have financial-management experience often end up filling in, said Bennett Sandlin, the Texas Municipal League's director," Kamp writes. "Cities [may then] go without audits, raising the chances of uncorrected bookkeeping errors, he said." In tiny Ashland, Maine, one 65-year-old resident "runs the town’s sports programs, drives Little Leaguers to away games, cleans the town office, takes seniors out for meals. . ."

Since rural populations tend to be older, the pressure to attract and keep younger residents will only increase as baby boomer employees age into retirement. "Local officials and government associations in many states say they face a persistent challenge to find qualified employees who want to work in a small town’s office," Kamp explains. "Small-town officials say they face particular hurdles when it comes to offering competitive salaries to compete for workers."

Rural labor shortages can mean loads of work for older residents still wanting to work, but it can also mean services close or consolidate. "Limestone, Maine, is a small town abutting Canada’s New Brunswick border, closed its ambulance service many years ago, contracting it out to the nearby city of Caribou for less money. Last year, the police department closed," Kamp reports. "Limestone's interim town manager, Alan Mulherin, said that without police regularly nearby, there is more speeding and drug activity." Maine state and county police now answer calls in Limestone.

Parts of rural Pennsylvania paint a grim picture of dwindling populations and the loss of small-town life

When rural populations shrink, the quality of
small-town life declines. (Adobe Stock photo)

Some rural populations have continued to shrink, leaving towns that were once vibrant places facing an uncertain future. "Across rural Pennsylvania, there is a deepening sense of fear about the future as population loss accelerates. The sharp decline has put the state at the forefront of a national discussion on the viability of the small towns that have long been a pillar of American culture," reports Tim Craig of The Washington Post. Many losses stem from a rural aging population not being replaced by births and younger families moving away in search of better opportunities.

Around 10 years ago, the U.S. rural population flattened and then began to contract. In fact, 81% of rural counties "had more deaths than births between 2019 and 2023," Craig writes. "Experts who study the phenomena say the shrinking baby boomer population and younger residents having smaller families and moving elsewhere for jobs are fueling the trend."

In the 1980s, parts of rural Pennsylvania began losing people because of "job losses in the manufacturing and energy industries that prompted many younger families to relocate to Sun Belt states," Craig reports. "State lawmakers and other leaders now consider the population loss a crisis and are drawing up plans to try to reverse the trend."

When a small town has more people die than are born, and fewer people move in to fill the gaps, daily life changes for the entire community. "Already, the demographic shift is affecting where students attend school, how long residents have to wait for an ambulance and whether they can quickly see a doctor," Craig explains. "In some cases, local governments themselves are on the verge of collapse as they struggle to fill open jobs and leadership positions."

Sheffield, Pennsylvania, is one community facing the reality of "too many old people." The area began to decline about "a decade ago. . . . But it’s been only in the last decade or so that the full weight of the community’s future challenges began," Craig reports. "Sheffield’s only ambulance was taken out of service about two years ago, around the same time the community’s only daycare closed due to low enrollment. . . Residents are peeved that the local bank branch and liquor store have closed."

The community may have to close its high school because there aren't enough students. Jim Decker, chairman of the Warren County Chamber of Business and Industry, wants "local leaders to figure out a way to reinvent the community," Craig adds. "But Decker acknowledged the planning for Warren County’s recovery is 'a daunting task.'"

Kenneth M. Johnson, a demographer at the University of New Hampshire, said, "Barring some outside occurrence, it’s very unusual for counties to recover."

Some colleges offer a 3-year bachelor's degrees to address student expenses and lower enrollment numbers

Colleges are piloting 3-year degree programs in
several states. (Adobe Stock photo)

Amid decreasing enrollment and increasing student costs, some colleges are offering three-year degrees as a solution. "The programs, which also are being tried at some private schools, would require 90 credits instead of the traditional 120 for a bachelor's degree and wouldn't require summer classes or studying over breaks. In some cases, the degrees would be designed to fit industry needs," reports Elaine S. Povich of Stateline. "Proponents of the three-year degree programs say they save students money and set them on a faster track to their working life. But detractors, including some faculty, say they shortchange students."

Utah is one state where the board of higher education approved the 3-year degree. "Various areas of study would be tied to specific industry needs, with fewer electives required," Povich explains. "These degrees are broader than two-year associate degrees but narrower than a full four-year bachelor's."

Geoff Landward, commissioner of the Utah System of Higher Education, told Povich, "We told the institutions to start working on them now and developing the curriculum. We want them to find industry partners that would be willing to hire people with bachelor's degrees of this type. . . . If we are partnering with industry and they help us develop it, I don't think it cheapens the degree. I think it creates a very specific degree."

The new three-year degree programs requiring fewer credits would still need national accreditation.

Changing social views on the importance of a college degree are some of the reasons colleges are getting creative. "A Pew Research Center survey found only 1 in 4 American adults said it is extremely or very important to have a four-year college degree to get a good-paying job," Povich reports. "More than a dozen public and private universities are participating in a pilot collaboration called the College-in-3 Exchange to begin considering how they could offer three-year programs." 

In Montana, the cost of living and lack of affordable housing and child care contribute to growing workforce shortages

Rural Montana is a 'canary in the coal mine' for severe 
 labor shortages in needed sectors. (N. Fouriezos photo)

Across the country, the need for a younger workforce to fill a wide range of positions is reaching a critical point, but particularly for rural areas. Students and potential workers face a range of obstacles that prevent them from filing those roles, reports Nick Fouriezos of The Daily Yonder. In Montana, medical, academic and labor professionals are working to address these issues.

Lindsey Flather from Bitterroot Valley, Montana, is the kind of student Montana's new strategies aim to help. Fouriezos writes, "A working mother in her thirties, Flather decided to pursue a new career in health care. . . . And she is urgently needed. In Montana, 52 of 56 counties — including Ravalli County — are considered medically underserved, and nearly half of the state’s nurses say they plan on retiring or leaving the profession in the next five years."

Like many of her fellow students, Flather has faced long commutes for classes, a lack of child care options, and juggling to make work and school mend together. "At the same time, employers are desperate to get more people through these workforce pipelines," Fouriezos explains. "They, too, are challenged by geography, says Rebecca Conroy, the chief transformational officer at Bitterroot Health, a regional hospital in western Montana."

Yet even when needed professionals, such as medical assistants, graduate they often can't afford to live in the county where they are needed most. "The median rent in Hamilton, Bitterroot Valley's biggest town, is now $2,087, up 30% over the previous year," Fouriezos reports. "The lack of affordable housing makes it almost impossible to recruit out-of-towners, and the in-town workforce is drying up. The talent pipeline is thin, Conroy says. And the pressure is only growing."

"Employers like Conroy are the canaries in the coal mine of a growing talent shortage nationwide. So smoothing the route to jobs like medical assisting has become a key focus of Montana’s government and educational infrastructure," Fouriezos writes. "The state’s colleges recently partnered with the national nonprofit Education Design Lab to interview Conroy and local business leaders statewide about how they might create new educational opportunities, like a set of micro-credentials to allow people to build key skills in shorter courses over time."

Philanthropy organizations can help rural companies fill skilled labor positions through internships, other programs

A student intern at KEITH in Madras, Oregon.
(KEITH courtesy photo via The Daily Yonder)

Over the past two decades, finding and retaining skilled manufacturing talent has become increasingly difficult. The challenges seen at KEITH Manufacturing Company in Madas, Oregon, are similar to other areas of the country where the sector can't find enough workers, reports Nick Flouriezos of The Daily Yonder. Mike Feigner, KEITH's plant manager, told him, "I've been doing this job since 2006, and it seems like you always have a labor problem. . . . We suck up a lot of that skilled labor that is a great fit for us quickly, and then we're trying to fit it with other people who maybe aren't looking for that long-term commitment to learning those skills."

If companies can't find long-term workers, retention and training soak up more company resources. "The company has no choice but to train and support homegrown talent if it wants to continue producing the self-unloading conveyor belt system that has become a staple in waste and recycling trucks worldwide," Flouriezos explains. "One thing that’s helped? A partnership with Oregon STEM and its Spark Oregon earn-and-learn initiative that helped pay for KEITH to employ four local high school interns for the summer."

Madras, pop. 7,500, is located in
Jefferson County, Ore. (Wikipedia map)

Earn-and-learn money "helped the students justify doing the internship when they could have been making more working full-time at the local McDonald's for the summer, Feigner says. Working three days a week for two months, the students were exposed to everything from welding and forklifts to assembly and engineering work with the R&D team," Flouriezos reports. At the end of the first internship, the company was able to hire one of the interns. Feigner told him, "I think this is exactly what the country needs. . . .Even if we get one student every two or three years that ends up being a direct-hire, I would call that a win."

What worked in Oregon exemplifies the ingenuity many philanthropy organizations use to address shortages. "Philanthropies with a technology focus or background have been particularly creative in funding education and workforce programs," Fouriezos adds. "That’s fitting, says Matt Dunne, executive director of the Center on Rural Innovation based in his hometown of Hartland, Vt." Dune told Fouriezos: “If you dig into it, a lot of it has to do with the economy and the impacts that a completely unequal recovery from the 2008 recession led to. And if you look at the driver of that divide, it really comes down to the winners and losers of the knowledge economy driven by technology."

At times, philanthropy can do what government or private funding cannot. Josh Elder, vice president and head of grant-making at The Siegel Family Endowment, told Fouriezos: "We embrace the idea that philanthropy should operate as society’s risk capital. . . . We want to be able to support early-stage things that others might not look at."