Overcoming
Obstacles
Manufacturing and Energy Industry Challenges
PAIGE KOCOUREK
Contemporary society is riddled with ever-changing , complex challenges deeply impacting industries across the board . The manufacturing and energy industries , while essential to West Virginia ’ s economic wellness , often find themselves affected by these issues and questioning how to not only overcome them but also thrive in the midst of seemingly detrimental factors ; one of these factors being a debilitating workforce shortage .
Spanning most industries , the workforce shortage has become a crippling obstacle for organizations to overcome , and there appears to be no simple solution . The manufacturing and energy industries are no exception — attracting and retaining employees remains problematic , which poses a large threat to these businesses .
“ It is difficult to maintain current operations and grow when qualified employee shortages prevent operating at full capacity ,” says Rebecca McPhail , president of the West Virginia Manufacturers Association ( WVMA ).
An organization ’ s inability to operate at full capacity proves detrimental , and today , that is the reality many organizations face because of the workforce shortage , creating not only hardship for the individual organization but also ripple effects on the rest of the nation .
“ Low unemployment and worker scarcity create a need to increase wages and an overall higher cost of doing business ,” says McPhail . “ In some sectors , this leads to higher consumer pricing , but in a global economy where margins matter in maintaining a competitive edge , manufacturers can ’ t simply pass on such cost increases . In addition to wages , manufacturers are navigating increased transportation and energy costs .”
Manufacturers are forced to eat the cost or feel the
pushback from the global economy . Similar to manufacturing , the coal industry sees both direct and ripple effects of the challenging lack of workers .
“ The workforce shortage hinders coal ’ s ability to respond to marketing opportunities , and consequently , it affects a company ’ s viability and future growth . It also prevents the state from securing additional tax collections and economic gains . Coal could be every bit as much of our state ’ s future as it ’ s been in the past ,” says Chris Hamilton , president of the West Virginia Coal Association . “ For every mining job , there are an additional four to five jobs created within the broader economy . In total , there are as many as 850 mine specialty companies registered to work at mining operations around the state , which account for more than 50,000 state jobs . These include mine contractors , machinists and equipment repair , equipment manufacturers , engineering and technical , mine reclamation and so on .”
As one of West Virginia ’ s largest industry-wide tribulations , many entities within the state are facing this challenge head on and working to combat the workforce shortage in innovative ways . One way this problem is being targeted is through education .
The WVMA founded the West Virginia Manufacturers Association Educational Fund , Inc ., which takes a handson approach to building the talent pipeline for the manufacturing industry in the state .
According to McPhail , the organization launched its Explore the New Manufacturing program in 2015 with a mission to educate others on career opportunities within manufacturing along with educational and training pathways available in the pursuit of manufacturing careers . This program involves working with middle and high school
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WEST VIRGINIA EXECUTIVE