Reshoring Manufacturing to the US: Addressing the Challenges and Embracing a New Path
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In recent years, the conversation around reshoring manufacturing to the US has gained momentum. As we face increasing global tensions, supply chain disruptions, and a growing need for domestic production, bringing jobs back home has become a matter of national importance. However, the path to reshoring is fraught with challenges—three of the most pressing being the American people's disinterest in technical, hands-on jobs, the decline of shop classes in schools, and the general undervaluation of blue-collar work. If we are to successfully reshore manufacturing, we need to adopt a multifaceted approach that not only addresses these issues but also reimagines how we view work, skill, and education in America.
The Disinterest in Technical Jobs
The disinterest in technical and hands-on jobs is perhaps the most significant barrier to reshoring. While high-paying white-collar jobs continue to be the gold standard for success, many manufacturing roles are still seen as less desirable. The belief that these jobs are dirty, dangerous, or simply less prestigious has led to a severe shortage of skilled workers. According to a 2021 report by Deloitte, more than 2 million manufacturing jobs are expected to go unfilled in the next decade due to a lack of skilled labor (Deloitte, 2021).
This perception needs to change. We must shift away from the outdated notion that technical jobs are second-rate and instead celebrate these careers for the essential contributions they make to our economy. Manufacturing positions, particularly those in fields such as robotics, automation, and advanced manufacturing, offer not only job security but also competitive wages. According to the US Bureau of Labor Statistics, the median annual wage for machinists was $45,750 in 2020, and for industrial engineers, it was $87,040, well above the median wage for all occupations (BLS, 2021).
The Decline of Shop Classes & Practical Education
The second major hurdle is the decline of hands-on education in American schools. Over the last few decades, schools have placed less emphasis on vocational training, particularly shop classes. A 2018 study by the National Center for Education Statistics found that fewer than 40% of high schools offered vocational training, compared to over 70% in the 1980s (NCES, 2018). This lack of training leaves many students without the practical skills needed for technical jobs.
To address this, we must reinvest in vocational education and bring back shop classes, not as a secondary option, but as an integral part of our education system. This could include partnerships between schools and local manufacturers, where students gain real-world experience and mentorship, as well as financial incentives to ensure that educational institutions have the resources to teach the technical skills required for modern manufacturing jobs.
The Undervaluation of Blue-Collar Work
Lastly, the undervaluation of blue-collar work remains a persistent challenge. We often glorify white-collar professions, while blue-collar workers are relegated to the background. This is not only detrimental to the workers themselves but also to our broader economy. According to a 2019 report by the Economic Policy Institute, the median wage of workers in blue-collar industries such as manufacturing has stagnated over the last few decades, despite the rising productivity of the sector (EPI, 2019).
Europe has successfully addressed this issue by offering two career paths for youth: academic and vocational. This system recognizes that not everyone is suited for a traditional four-year college degree and that technical careers are just as valuable. For instance, Germany has long championed vocational training, integrating apprenticeships into the education system. In fact, German apprenticeships often lead directly to permanent, well-paying jobs in manufacturing. The US can learn from this model by promoting vocational paths as equally prestigious and offering young people a clear, rewarding route into technical fields.
Leveraging Aptitudes for Success
To truly reshape America's manufacturing sector, we must take a modern, personalized approach to understanding individuals' aptitudes and strengths. Rather than viewing career paths as a one-size-fits-all proposition, we should embrace the idea that people have unique talents and skills that can be honed to meet the needs of modern industries.
Tools such as aptitude testing and skills assessments can help identify where an individual's natural strengths lie, guiding them towards careers that suit their abilities. By aligning education and career training with a person's innate talents, we increase the likelihood of success and satisfaction in their chosen profession. Moreover, this personalized approach fosters a workforce that is both skilled and highly engaged, driving the innovation needed to make reshoring efforts truly successful.
A Call to Action
The path to reshoring manufacturing is not without its challenges, but these challenges are not insurmountable. To succeed, we must cultivate a cultural shift that celebrates hard work, values technical skills, and embraces diverse career paths. By reinvesting in vocational education, creating opportunities for hands-on learning, and recognizing the value of blue-collar work, we can create an environment where reshoring is not just a possibility but a reality.
As we rebuild America's manufacturing sector, let us remember that the future of our economy is built not just on the ideas of executives or the work of scientists and engineers, but on the skilled hands of those who build, repair, and maintain the very machines that keep our industries running. It is time we elevate and celebrate those who are willing to get their hands dirty—because the future of reshoring depends on them.
References
Deloitte. (2021). The Skills Gap in U.S. Manufacturing: 2021 and Beyond. Retrieved from https://www2.deloitte.com
U.S. Bureau of Labor Statistics. (2021). Occupational Outlook Handbook: Machinists and Industrial Engineers. Retrieved from https://www.bls.gov
National Center for Education Statistics. (2018). Vocational Education and Training in U.S. High Schools. Retrieved from https://nces.ed.gov
Economic Policy Institute. (2019). The State of American Manufacturing: A Wages Perspective. Retrieved from https://www.epi.org
Brian McCollough is a Strategic Value+ Solutions Advisor, dedicated to synergistically creating and leveraging U.S. Manufacturing competitive advantages and promoting best practices for enduring profitability and international leadership.
