Report highlights


  • 415,000 manufacturing job openings remained unfilled in the United States as of June 2025
  • The manufacturing sector needs 3.8 million workers by 2033, but 1.9 million positions (50%) could go unfilled if current workforce challenges persist
  • Manufacturing workers earn $35.17 per hour ($73,154 annually), or $45.85 per hour with benefits included
  • 26% of the manufacturing workforce is age 55 or older, which represents 3.9 million workers approaching retirement
  • The labor shortage could cost $1 trillion in economic output in 2030 alone
  • 65% of manufacturers cite attracting and retaining talent as their primary business challenge
  • Europe faces similar pressures with manufacturing vacancy rates ranging from 0.5% in Spain to 4.2% in the Netherlands


How many manufacturing jobs are unfilled right now?


415,000 manufacturing job openings remained unfilled as of June 2025, according to the Bureau of Labor Statistics. This includes 261,000 openings in durable goods and 155,000 in nondurable goods.

This represents a significant decline from the pandemic-era peak of approximately 1 million open positions in April 2022, but remains well above the pre-pandemic average of 432,000 openings (2017-2019). The sector has maintained approximately 500,000 unfilled positions per month as a baseline for the past six years, suggesting a structural rather than cyclical shortage.

US Manufacturing Job Openings Timeline (2018-2025). Use This Image: May be used without charge by all commercial and non-commercial websites. Attribution (link) is required.
US Manufacturing Job Openings Timeline (2018-2025). Use This Image: May be used without charge by all commercial and non-commercial websites. Attribution (link) is required.



How many manufacturing workers will be needed by 2030?


The manufacturing sector will need 3.8 million total new employees between 2024 and 2033, but 1.9 million jobs could remain unfilled, which represents a 50% fulfillment gap.

The breakdown includes 2.8 million positions from retirements (the largest component), 760,000 from industry growth, and 230,000 from recent federal legislation including the Infrastructure Investment and Jobs Act, Inflation Reduction Act, and CHIPS Act. An earlier 2021 study projected 2.1 million unfilled jobs by 2030 with a potential economic cost of $1 trillion in that year alone.


How old is the manufacturing workforce?


The median age of manufacturing workers is 44.3 years, and 26% of the workforce is age 55 or older, which represents 3.9 million workers who are approaching retirement.

The age distribution shows workers aged 55-64 represent 20% of the workforce (3.0 million workers), while those 65 and older comprise 6% (902,000 workers). Manufacturing faces an 11.8% workforce retirement rate - the second-highest among all major sectors. Machine shops have the oldest workforce at a median age of 49.0 years.

Manufacturing Workforce Age Distribution (2024 averages). Use This Image: May be used without charge by all commercial and non-commercial websites. Attribution (link) is required.
Manufacturing Workforce Age Distribution (2024 averages). Use This Image: May be used without charge by all commercial and non-commercial websites. Attribution (link) is required.



Which manufacturing sectors have the worst labor shortages?


Semiconductor manufacturing faces one of the most acute shortages, needing 115,000 new workers by 2030 (a 33% increase), but 67,000 of these jobs (58%) risk going unfilled at current degree completion rates.

Other severely affected manufacturing sectors:

  • Automotive manufacturing: 1.4 million workers, lost 14,500 jobs in August 2024, facing skills gaps as production shifts to electric vehicles
  • Machinery manufacturing: 1.3 million workers, median age 45.1, needs industrial machinery maintenance technicians (projected 16% growth by 2032)
  • Fabricated metals: 1.5 million workers, median age 44.5, with machine shops at median age 49.0 facing imminent retirement waves
  • Computer/electronics: 1.0 million workers, intense competition for technical talent from software companies
  • Food manufacturing: 1.7 million workers (youngest subsector at median age 42.3), relatively stable but labor shortages persist


What manufacturing skills are in the shortest supply?


CNC machinists, welders, robotics operators, and maintenance technicians face the most severe nationwide shortages, while digital skills show the fastest growth in demand.

Fastest-growing skill requirements (2019-2023):

  • Simulation software: 75% compound annual growth rate
  • Enterprise information management: 37% growth
  • Cloud computing: 32% growth
  • Aerospace engineering: 21% growth

Critical technical occupations in shortage:

  • Industrial machinery maintenance technicians: projected 16% growth by 2032 from 270,000 current workers
  • Mechanical and industrial engineers: 11% projected growth from 370,000 current workers
  • Software developers/data scientists in manufacturing: 13-30% projected growth

The Manufacturing Institute found 40% of current skill requirements will evolve over the next five years, driven by automation and smart factory technologies. Critically, 50% of manufacturers rate digital proficiency as "important" or "very important," yet five out of six fastest-growing manufacturing occupations do not require formal post-secondary education - the gap is insufficient technical training programs, not just education levels.


How much do manufacturing workers earn?


Manufacturing workers earn $35.17 per hour ($73,154 annually) on average, with total compensation of $45.85 per hour when benefits are included.

This represents an 18.5% premium over all private nonfarm workers, who earn $86,598 annually including benefits. Production and nonsupervisory workers earn $28.88 per hour ($60,070 annually). Manufacturing wages increased 3.9% year-over-year from June 2024 to June 2025.

Specific occupations:

  • Industrial machinery mechanics: $76,480 median annual wage
  • Welders: $55,590 median annual wage
  • Team assemblers (1.5 million workers): $38,690 median annual wage
  • First-line supervisors: $65,010 median annual wage

By subsector:

  • Petroleum/coal products: $86,760 mean annual wage (highest)
  • Aerospace manufacturing: $66,010 mean annual wage
  • Food processing: $38,140-$50,000 mean annual wage range


Which US states have the worst manufacturing labor shortages?


Indiana has the highest manufacturing concentration at 16.8% of state employment (492,000 jobs), followed by Wisconsin at 16.3% (458,000 jobs) and Iowa at 14.0%.

States with highest manufacturing employment share:

  1. Indiana: 16.8% (2.04x national average)
  2. Wisconsin: 16.3% (1.95x national average)
  3. Iowa: 14.0% (1.71x national average)
  4. Michigan: 13.5% (1.65x national average)
  5. Alabama: 13.1%
  6. Arkansas: 12.9%
  7. Ohio: 12.6%

Metropolitan areas with highest concentration:
 
  • Elkhart-Goshen, Indiana: 32.8% of employment in production occupations
  • Sheboygan, Wisconsin: 22.3%
  • Dalton, Georgia: 21.8%

Regional challenges: The Minneapolis Fed Ninth District (Minnesota, Montana, Dakotas) has 0.6 job seekers per opening as of November 2024, with tight labor markets expected to continue 10-15 years due to demographics.


What is the economic cost of unfilled manufacturing jobs?


Unfilled manufacturing positions could cost the U.S. economy $1 trillion in 2030 alone, with $454 billion in manufacturing GDP at risk in 2028.

Multiple studies quantify escalating costs:

  • 2028: $454 billion GDP at risk (17% of manufacturing's total GDP contribution)
  • 2018-2028 decade: $2.5 trillion cumulative at risk
  • 2030 single year: $1 trillion economic loss
  • Past decade (2014-2024): $2.5 trillion lost from 2.4 million unfilled jobs (McKinsey)

Direct operational impacts:

  • Replacing a single skilled manufacturing worker costs $10,000 to $40,000
  • 56% of HR leaders say employee turnover has moderate to severe bottom-line impact
  • 60% of manufacturers ranked skills shortages as having "high or very high impact on productivity"
  • 24% turned to outsourcing, 4% turned down new business, and 33% delayed expansion due to labor constraints

Manufacturing contributes approximately $2.3 trillion annually to US GDP while supporting 12.7 million direct jobs and millions more through supply chains.


How do European manufacturing labor shortages compare to the US?


The European Union's manufacturing and construction sector has a 1.8% job vacancy rate (EU) and 2.0% (Eurozone) as of Q2 2025, compared to approximately 3.3% in US manufacturing.

However, European rates vary dramatically by country:

  • Netherlands: 4.2% (highest in EU, tighter than US)
  • Belgium: 3.9%
  • EU average: 1.8% (manufacturing & construction)
  • Spain: 0.5% (lowest)

Germany, Europe's largest manufacturer with 6.67 million workers, lost 120,000 manufacturing jobs (1.8% decline) from January 2024 to January 2025. Germany's automotive sector employs 872,446 direct workers (36.5% of EU automotive jobs) but faces major restructuring with Volkswagen cutting 35,000 positions by 2030.

The UK manufacturing sector saw the largest vacancy decline of any industry: down 26.6% year-over-year in May-July 2025, with vacancies declining for 37 consecutive quarters.

Total EU manufacturing employs approximately 29.77 million workers, with the automotive sector alone employing 2.4 million direct workers (70% larger than US automotive manufacturing workforce).

EU Manufacturing Job Vacancy Rates by Country (Q2 2025). Use This Image: May be used without charge by all commercial and non-commercial websites. Attribution (link) is required.
EU Manufacturing Job Vacancy Rates by Country (Q2 2025). Use This Image: May be used without charge by all commercial and non-commercial websites. Attribution (link) is required.



Sources