How to Close the Skills Gap in the Manufacturing Industry

March 13th, 2017 Comments off
manufacturing skills gap

We all know examples of employers who have recruiting difficulties – you may be experiencing such difficulties yourself. To find out how prevalent these recruitment difficulties are, economists have surveyed a representative sample of manufacturing establishments. They asked plant managers to answer questions about recruitment and the skills they are seeking in a worker.

A Quarter of Manufacturing Establishments Have Hiring Difficulties

On average, establishments were able to fill positions within one and a half months. Therefore, one sign of hiring difficulties is having an unfilled vacancy for three months or more. Twenty-four percent of establishments had at least one vacancy unfilled for three months or more.

Requiring Advanced Levels of Math and Reading Skills Predicts Hiring Difficulties

As one could expect, requiring higher levels of skills can make it harder to hire. Establishments that require advanced math and reading skills increase their chance of having a vacancy that goes unfilled for three months or more by 10 percent. Surprisingly, requiring advanced computer skills does not lead to greater recruitment difficulties.

Requiring Unique Skills Also Predicts Hiring Difficulties

Some manufacturing plants require unique skills that other plants in the area do not require. These plants have an 8 percent higher chance of seeing an unfilled vacancy for three months or more.

How to Identify Workers with the Right Skills

In order to find qualified workers, hiring managers or recruiters could use CareerBuilder Search. The database uses semantic search to apply related terms – including skills, keywords and job titles – to each term searched. Using this search technology allows users to uncover talent with unique skills that traditional keyword searches may miss. Also, employers can hire workers with similar skills and train them to learn the unique skills demanded by the plant. Hiring managers should also consider relocation packages to make it easier for people with the right skills to move to their area.

Learn how to find quality candidates faster with CareerBuilder Search

Ioana Marinescu is an assistant professor in economics at the University of Chicago Harris School of Public Policy. Her research focuses on understanding labor markets. She has been collaborating on data and research projects with CareerBuilder and she is especially interested in how to get the right people to work in the right jobs. You can follow her on twitter @mioana and check out her research on her website, marinescu.eu.

Energy and Manufacturing Metros Lead in Well-Paying New Jobs

February 16th, 2015 Comments off
Energy, Manufacturing Metros Have Highest Share of Well-Paying New Jobs

Energy and manufacturing metro areas in the U.S. have the highest share of solid-paying new jobs, according to the first ever Labor Market 150 Index.

The Index — a new quarterly ranking that assesses the labor market performance of the 150 largest metro areas in the U.S. — was recently released by CareerBuilder and Economic Modeling Specialists Intl. (EMSI).

The Labor Market 150 Index took a close look at new jobs in growing occupations that pay above the living wage between 2010 and 2014. The data revealed that Beaumont-Port Arthur, Texas — an energy-driven metro — ranked at the top of this list, with as many as 71 percent of well-paying new jobs. This metro has seen a significant rise in welders, industrial machinery mechanics, chemical plant operators and other skilled occupations that pay above the metro’s living wage.

The other top metros on the list for this category are strongly concentrated in the manufacturing sector:

  • Reading, Pennsylvania, with 66.2% percent of well-paying new jobs.
  • Detroit, with 64.6% of well-paying new jobs.
  • Peoria, Illinois, with 63.6% of well-paying new jobs.
  • Rockford, Illinois, with 63.0% of well-paying new jobs.

What does this mean for you?

It’s not just important to know where to look for qualified talent, but also what the price for such talent is on the open market. Don’t play a guessing game when it comes to offering the right compensation range for your open jobs. Do you know how much YOU should be willing to pay to remain competitive when hiring for various occupations in various locations around the country?

Using data to understand and analyze job trends around the U.S. can help you make educated decisions when looking for candidates with certain skill sets in certain markets. Learn more by accessing the complete Labor Market 150 Index.

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