Over the past few decades, there has been an increasing concern over manufacturing jobs in the United States.
Jobs have previously been lost to cheaper alternatives overseas. At home, people find themselves competing with technology for a place on the manufacturing line.
It seems, though, manufacturing jobs are set to come back in the coming years.
Recent trends have pointed to shifting tides in the job market, particularly in steel, rail, and energy industries. Many questions have come as well. We are here to talk about how manufacturing will resurface in the United States.
Here Are Three Questions About Manufacturing Jobs in the United States
1. What Is the Current State of Manufacturing Jobs?
The United States has seen a rise in jobs coming back to the states since 2014 – the first time we had a net increase in jobs in over 20 years.
Both reshoring and foreign direct investment have put jobs back on American soil at a steady pace. Reshoring is a term used when American companies bring jobs back home rather than overseas. Foreign direct investment is when other countries take interest in creating jobs under the stars and stripes.
Reasons for shifting the workforce include wage prices increasing overseas, the cost and efficiency of shipping, and corporate image.
In the past, companies have opted for places like China to fill their workloads. Labor demands have shifted, though, causing some companies to look elsewhere.
Making cheap products is one thing, but getting the product in the hands of the consumer is the ultimate goal. Building closer to the customer makes shipping and handling much more efficient. It also cuts costs significantly.
Additionally, Americans shop with American pride. Knowing a product is made in the United States sheds positive light on a company supporting the economy at home rather than elsewhere.
2. Which Companies Are Bringing Jobs Back to the United States?
One of the most well-recognized companies nationwide is Amazon. As one of the leaders making moves back to the states, in January 2017 they announced an initiative to create 100,000 American jobs within eighteen months.
Not just any jobs, either. The company plans to bring on full-time employees with all benefits, ranging in work from fulfillment centers to software developers.
Ford Motor Company recently shifted lanes. Instead of taking on a new plant in Mexico, the auto maker is expanding a site already on American turf. They hope to add 700 jobs to the market.
Hyundai, a South Korean brand, is right behind Ford. Actually, they are passing the native auto maker by planning to increase spending in the states by 50%. First up is $3.1 billion over the next five years.
3. What Progress Can Be Expected?
The shifts are happening, and over the years the job market will better reflect decisions being made in big companies. Reshored jobs are coming in from China, Germany, and Japan.
Automotive companies are at the front of the line knocking on America’s door again, but players in electronics are right behind. From interests to boost the economy back up, and American pride with it, all signs point home.
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