PEOPLE & SKILLS
Automation, AI and product evolution are changing factory floors at a pace that human workforces have struggled to match. The result is a widening skills gap that threatens to undermine the very productivity gains that technology promises to deliver.
A Q4 2025 outlook survey by the National Association of Manufacturers found more than half of manufacturers cited attracting and retaining a quality workforce as a top challenge.
State of skills in manufacturing According to the World Manufacturing Foundation, 74 % of companies report an acute shortage of skilled workers and
94 % expect to hire or repurpose workers through increased adoption of smart manufacturing technology. By 2030, more than half of the workforce in advanced manufacturing will need upskilling to meet changing demands, it says.
While many leaders understand talent retention is a significant problem, the impact of technology is less widely recognised as a contributing factor. Gartner reported that nearly half of manufacturers regret their software purchases because of slow or difficult implementation. According to a Global Lighthouse Network report, for every US $ 2 spent on technology innovation, companies spend up to US $ 5 on scaling and adopting the technologies.
56 April 2026