Why the Manufacturing Job Outlook for 2023 Looks So Good

Posted on: November 2, 2022

These past couple of years, manufacturing has had its share of difficulties. From COVID-19 bringing the industry to a temporary standstill to shortages of components, raw materials, and labor, it seems unlikely that the outlook for our industry would be so sunny. 

But recent reports from the Federal Reserve indicate manufacturing output last month was at a 14-year high! And while many other industries are forecasted to decline in the coming years, manufacturing jobs are predicted to surge. 

With that in mind, let’s look at some current and projected factors that combine to make right now the best time to join the industry. 

Demand for Core Capital Goods Hit 40-Year High in 2022 

In January this year, demand for core capital goods and equipment like metalworking tools, lathes, and CNC machines hit a 40-year high. That is one of the key indicators of the demand for American manufacturing right now.  

Factories everywhere are in a scramble to meet demand. One of the ways they’re working to meet that demand is to purchase manufacturing capacity like never before. But it’s not just machinery they’re after—it’s labor as well. 

The need for skilled labor has never been greater. As such, the options, quantity, and growth potential of our manufacturing jobs indicate that, at least for the foreseeable future, the job market will continue to be strong, stable, and highly profitable. Some critics may worry that the strong outlook for manufacturing could be a “manufacturing bubble” and while 2023 might look great, it may not be sustainable long-term. We disagree.

America’s Factories Are Hiring Differently 

If there’s one thing our industry learned during the pandemic, it’s that there are difficulties you can plan for and some you can’t. Historical data on manufacturing is the most reliable source for identifying the events we can prepare for. 

For example, we know that, on average, our industry will face prolonged disruptions to production that last a month or more roughly every four years. We also know the financial toll of these disruptions is a priority to address due to their increasing financial toll. 

In the same way the Anderson Dahleen team engineers incredibly complex machinery and equipment, we are engineering a solution for foreseeable events in our hiring strategy. That is to create more resilience and flexibility in our team and to better situate our production line to navigate disruptions while supporting business goals and both creating and protecting value. 

Together, our team can overcome even the most daunting obstacles. Hiring to proactively address those obstacles is the best step to keeping the incredible growth we see in the industry both stable and sustainable.  

Consumer Demand Remains Strong 

Of course, the health of the manufacturing industry does not rely solely on supply-side factors. The best indication we have for how well the industry will do in the future is the data from consumer demand.  

Here is some good news: in the third quarter of this year, U.S. consumer spending increased to 14099.50 USD Billion (up 71 Billion from the first quarter of 2022). And that positive trend is not an anomaly. It is just a small snapshot of a consistent pattern of steady growth in demand and paints a very reassuring picture of the outlook of manufacturing.  

So, what does this mean for manufacturing jobs in 2023? 

The Best Manufacturing Jobs in 2023 and Beyond 

Despite recent difficulties, the overall historic market indicators for the manufacturing industry say it all: 2023, and really, the foreseeable future of our sector will be known as a time of stability, resilience, and growth.  

That means careers for our industry’s skilled workers will thrive from similar prosperity and security. 

As a leading U.S. manufacturer of heavy equipment, and with our commitment to supporting our workers and making our company a fun, challenging, and safe place to work, Anderson Dahlen is the best in the industry. If you’re interested in joining our team at this incredible time, contact us today.