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Manufacturers: Have you implemented the right strategies to attract and retain skilled employees?

Manufacturers: Have you implemented the right strategies to attract and retain skilled employees?

Attracting and retaining skilled employees is a critical challenge for manufacturing companies in today’s competitive labor market. As advanced manufacturing processes increasingly rely on technology, the demand for highly skilled workers — from machinists and welders to robotics technicians and engineers — continues to grow.

To stand out to these candidates, your manufacturing company must build a compelling employer brand that highlights career growth opportunities, investment in technology and a commitment to employee well-being. Here are some ideas to consider.

Nurture a positive work culture

Compensation — including salary, benefits and bonuses — will always be critical to employees’ decisions about where to work. But don’t underestimate the importance of company culture.

While 100% of respondents to a recent survey by the Manufacturing Institute’s Center for Manufacturing Research said compensation was the top reason they stayed at their current companies, that response was closely followed by colleagues (96.8%). Company culture was also cited by a clear majority of respondents (60.3%).

According to the authors, the survey “reiterates the conventional wisdom that people are more willing to stay if they like and respect their supervisor.” It’s also important to hire and promote people who value a culture of care. Companies that prioritize kindness, fairness and respect bolster retention by creating a workplace where employees can connect with colleagues.

Create a clear career path

Keep in mind that many skilled candidates are looking not just for a job, but for a career path. Manufacturing companies that offer ongoing education, apprenticeships and clear advancement tracks demonstrate that they value employee growth.

Consider partnering with technical schools, community colleges and trade programs. This can build a pipeline of future talent and establish your manufacturing company as a supporter of workforce development.

Promote your company’s tech and innovation

Embracing technology and innovation can be a significant draw. Many skilled workers are excited by the prospect of working with cutting-edge tools and systems.

By positioning your company as forward-thinking and technologically advanced, you can appeal to both younger workers and more experienced, tech-savvy professionals who are looking for engaging and future-oriented careers.

Recognize employees’ accomplishments

Employee recognition is a surprisingly powerful tool for retaining workers while also improving the bottom line. There are many ways to recognize employee performance, including cash rewards, extra paid time off, or a new or additional title. Whichever recognition tools you decide to use, ensure that they’re personalized and embedded in your organization’s values.

Other avenues to pursue

Other ways to attract and retain skilled workers include:

Employing digital recruiting tools. Today, many potential employees — especially younger ones — conduct their job searches online. So traditional recruiting techniques may no longer work. Consider adding social media, online recruitment platforms and other digital tools to your recruiting arsenal. Online recruiting also allows you to expand your search to other geographical markets, potentially connecting you with skilled workers who are willing to relocate for the right opportunity.

Providing nontraditional benefits. Benefits other than salary and traditional perks can be just as important to current and prospective workers. Examples include flexible work hours, flexible work arrangements (remote or hybrid), opportunities for training and career advancement, access to cutting-edge technology, child- and elder-care support, and generous family leave policies.

The bottom line

The key to attracting and retaining skilled employees is to explore innovative techniques that enhance job satisfaction, increase productivity and set your manufacturing company apart from the competition. 

© 2025

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