According to a report created by the recruitment company Manpower, the shortage of skilled workers, known as the manufacturing skills gap, is expected to affect the production and output of energy. The report found energy industry jobs are expected to increase faster than workers can be trained. Although the skills gap is not limited to the energy sector, this industry is especially at risk for being affected by a lack of skilled workers.
The manufacturing skills gap is a highly debated topic. Some experts argue that there are simply not enough skilled workers to fill the many highly technical manufacturing positions. Still others argue that the skills gap is not a result of a lack of skilled workers, but a lack of adequate pay in manufacturing industries. An analysis of the Manpower report and other research into this topic indicates that both sides are partly correct.
The reality is, most manufacturing jobs now require more technical and specialized skills than in previous decades. Automation has revolutionized U.S. manufacturing and made producing products faster. However, automation requires many manufacturing workers to have the skills to operate technical machinery and complex computerized systems. To learn these new skills, many workers must now have college degrees or complete lengthy apprenticeships.
The increase in the requirements for skilled workers has not coincided with an increase in pay. A recent report by the Boston Consulting Group reflects the fact that U.S. manufacturing wages have remained steady over time. In fact, the report indicates that manufacturing wages – when adjusted for inflation – are actually lower now than during the 1960s. The report backs up the claim some experts make that the manufacturing skills gap is a result of low industry pay.
Industry pay and specialized skills for manufacturing jobs has affected several different industries. However, research indicates the effects are far more severe in the energy sector. When it comes to the oil and gas industry, 72 percent of employers surveyed in the Manpower report stated that they have trouble finding and attracting skilled workers. With the need for skilled workers expected to double within the next decade, a manufacturing skills gap seems imminent.
One of the reasons a manufacturing skills gap is expected to affect the output of energy specifically is the fact that the rate of hydraulic fracturing has increased dramatically in recent years, which means so has the need for skilled workers in this industry. For example, in 2008, shale production increased 71 percent from the previous year. This trend has only continued, with the energy boom gaining more momentum as technology has advanced to allow for more efficient extraction. With such a dramatic rise in energy extraction in a short amount of time, there is a new demand for workers, when just a few years ago, there was not.
Clearly research indicates that some sectors of manufacturing are already being affected by a manufacturing skills gap. When it comes to the energy production industry, the skills gap appears to have the potential to impact the output of energy that is extracted by hydraulic fracturing. Research shows that a combination of wages and a lack of skilled workers has combined to create a manufacturing skills gap that has the potential to affect output.
(Photo courtesy of supakitmod / freedigitalphotos.net)
Become a member to take advantage of more features, like commenting and voting.
Register or sign in today!