Other jobs, however, are not regionally dependent. In some occupations, most notably manufacturing, employers have more discretion on where to locate operations and can shift some of the work to areas with a larger availability of blue-collar labor like American inner cities. Photographer: David Paul Morris/Bloomberg © 2018 Bloomberg Finance LPĪmid tightening labor markets, some companies are expanding the supply of talent by lowering education requirements during recruitment and providing basic internal training to make up for an applicant’s lack of a vocational high school diploma or secondary education at a technical training school.īeyond the obvious investment in automation, The Conference Board said companies will have to relocate to areas with a greater availability of blue-collar workers. They are also investing heavily in automation for their warehouses. staff employees to $15 an hour this year. Some areas of the national job market ripe for more automation include commercial food preparation manufacturing industrial cleaning and maintenance jobs.Īn Amazon warehouse in San Francisco on October 30, 2018. The Conference Board believes companies will invest more in automation, rather than depend on a larger, higher-cost labor force. Another variable is the potential for other workers from jobs requiring a bachelors degree moving into blue-collar jobs either as a personal choice or a financial necessity. Companies will have to move faster on automation to make up for a tight job market and higher wage impacts on profit margins, report authors said. The extent of the challenges caused by blue-collar labor shortages will depend on how individual companies adjust, either by incorporating more technologies or relocating. Compared to a few years ago, blue-collar workers are now much more likely to have a job they are satisfied with and experience rapid wage growth.” “The picture looks very different for the workers themselves. “Companies looking to attract enough blue-collar workers will have to continue increasing wages and possibly experience diminished profits,” says Gad Levanon, lead report author and chief economist for The Conference Board. companies having a hard time filling blue-collar jobs. College students don’t want blue-collar jobs.
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