Manufacturing and Education: Key to Making the “American Dream” a Reality, Again!

The Information Technology & Innovation Foundation noted that, during the 2000s, the U.S. lost over 33% of its manufacturing jobs, trumping the losses experienced in that sector during the years of the Great Depression. The principal causes of manufacturing job losses were growing trade deficits, especially with China, Mexico, and other low wage nations.

When unemployed people and debt-laden college graduates are unable to buy homes, the housing market sputters. Both manufacturing jobs and house construction have a multiplier effect, creating new supporting jobs. When manufacturing and housing suffer, the hurt is felt far beyond the sectors themselves.

But yet the United States needs for nearly 3.5 million manufacturing jobs over the next decade and 2 million of those jobs are likely to go unfilled due to the growing skills gap, reported by Deloitte and the Manufacturing Institute.

Why the Skills Gap?

The 2015, National Assessment of Educational Progress (NAEP) exam for 12th grade math and reading scores reflects lower-achieving students are doing slightly worse and higher-achieving students slightly better, and fewer than 40 percent of high school seniors score at college or career-ready levels. In 2015, the nationwide high school graduation rate was 82 percent, not 40 percent, leaving a potentially large group of students who received diplomas weren’t ready to succeed in the workplace or college.

Why then are 16 to 19 year olds unemployment so high at 16%. And, over 94 million of working age individuals are not working or even looking for a job, reported in June by the Labor Department?

People without post-secondary credentials do much worse in the labor market than those with higher levels of education. The majority of these young people are between 20 and 24 years old, suggesting that the problem becomes more acute after young people are of an age to have graduated high school.

Closing the Skills Gap

More of the responsibility must be on education beyond high school, in an effort to give everyone a fighting chance in the new job market. Since cost is an important issue, that can best be addressed by stretching the public school system to encompass the community college level of education.

Courses may be held at a high school, technical center or community college campus or may be delivered online, or though other innovative methods. However, all programs must include opportunities for internships, job shadowing, mentorships, projects, service learning or a combination.

One way to solve the nation’s skills gap challenge is for educators to increase the focus on career technical education (CTE) programs. The National Association of State Directors of Career Technical Education Consortium (NASDCTEc) is dedicated to the proposition that success in school and life comes from CTE programs— “Learning that works for America.”

SkillsUSA takes a similar approach which is a partnership of students, teachers and industry working together to ensure America has a skilled workforce. SkillsUSA helps each student excel. They provide educational programs, events and competitions that support career and technical education in the nation’s classrooms.

These programs and similar initiatives are worth the effort. High-risk students are 8 to 10 times less likely to drop out in grades ten and eleven if they enroll in CTE programs instead of general programs. The average high school graduation rate for students concentrating in CTE programs is 90 percent, which is about 10 percent higher than the national freshman graduation rate. On average, 70 percent of CTE graduates enroll in postsecondary classes.

Manufacturing Matters

A strong manufacturing industry is fundamental to our nation’s economic prosperity. Since the industrial revolution, manufacturing has contributed to higher export potential, better standards of living, and more jobs. Investments in manufacturing have a strong multiplier effect for the broader economy, too. Every dollar spent in manufacturing adds $1.37 to the U.S. economy, and every 100 jobs in a manufacturing facility creates an additional 250 jobs in other sectors. In short, manufacturing matters.

Manufacturing careers are lucrative. In 2013, the average manufacturing worker in the United States earned $77,506 annually, including benefits, while average compensation for workers in other industries was $62,546. Manufacturing employs a higher share of workers without a college degree than the economy overall. On average, non-college-educated workers in manufacturing made 10.9 percent more than similar workers in the rest of the economy in 2012–2013.

Reshoring Initiative President, Harry Moser states “A strong skilled workforce is key to reshoring and manufacturing growth.” Thus making the “American Dream” a reality, again for all its citizens!

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Glenn Marshall, Newport News Shipbuilding (retired) Benchmarking Champion and Career Pathways program

Contact him at marsh8279@aol.com to learn about new industry best practices

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