A recent report points out that by 2035, the United States will need to fill approximately 1.7 million skilled trade job vacancies annually. Against the backdrop of concerns about AI taking over jobs, this talent gap has become particularly concerning.
The report titled “The State of America’s Skilled Trades,” released on September 30 by the non-profit organization “Jobs for the Future” (JFF), highlighted that the significant increase in job vacancies is due to growing demand and decreasing supply.
At the same time, the report warned that various industries essential for sustaining the economy are struggling to recruit talent. Many national leaders gathered at the Ford Accelerate Summit to collectively explore this issue and seek practical solutions.
Skilled trades are traditional occupations that keep the economy running, including manufacturing, maintenance, processing, material extraction, industrial equipment maintenance, as well as construction and infrastructure maintenance work.
Despite the diverse range of these occupations, they share two common characteristics. Firstly, the work typically involves hands-on and physical labor. Secondly, practitioners must possess specific professional skills, setting them apart from labor jobs that do not require specialized skills.
These skills can be acquired through formal registered apprenticeship programs and on-the-job or off-the-job training. Such training requires a commitment of time from both employers and employees.
The JFF report lists 124 related occupations across fields like construction, installation, maintenance and repair, production, mining, including roles such as automotive technicians and mechanics, carpenters, plumbers, electricians, as well as HVAC installation and maintenance technicians.
According to data from the Bureau of Labor Statistics (BLS), the salaries for these jobs are above the national average. In 2025, the median annual salaries were $60,580 for carpenters, $63,800 for construction equipment operators, $55,440 for roofers, $61,800 for sheet metal workers.
The median annual salary for automotive service technicians was $50,620, and for HVAC maintenance and installation technicians, it was $61,010.
Most of these occupations’ salaries were higher than the national median annual salary for all occupations in the U.S. in May 2025, which was $50,980.
The optimistic job prospects within skilled trades contrast with the recent slowdown in overall employment growth. Data released on October 2 by the Bureau of Labor Statistics showed that the U.S. economy added only 29,000 jobs in September, lower than the revised 133,000 jobs added in August and far below economists’ expectations of 90,000.
The JFF report highlights that the revival of the U.S. manufacturing sector is driving the increased demand for skilled workers. Large enterprises are reshoring production activities after decades of outsourcing. The boom in infrastructure construction projects and data centers further increases the demand for skilled workers.
The retiring workforce is leaving behind a substantial number of vacancies that need to be filled, while also reducing the pool of experienced talents available to supervise and mentor young workers. The training requirements are rigorous, and both employers and employees must invest significant resources, further limiting the number of new entrants into the field.
Business and government leaders are working to address this issue.
This week, Ford CEO Jim Farley convened a national conversation focusing on the concept of the “essential economy,” a system composed of 3 million businesses and key industries that sustain the nation’s normal operations.
At the summit’s opening on September 30, Farley stated, “One of the biggest obstacles is that people are not willing to enter these skilled trades. As a society, we have not truly rewarded or recognized those engaged in these types of work.”
He added, “We can’t rely on the government to solve the problem, nor can we rely solely on businesses or communities. This must be a collaborative effort from all parties.”
Mike Rowe, CEO of the mikeroweWORKS Foundation, pointed out a severe imbalance between entries into and exits from skilled trades.
Discussing at a meeting hosted by Farley, Rowe stated, “The numbers here that shocked me the most: for every 2 people entering these industries, 5 leave. And the problem isn’t just with plumbers, electricians, and construction workers. The shipbuilding industry alone needs 250,000 skilled workers.”
Former U.S. Secretary of Labor Lori Chavez-DeRemer, another guest at the meeting, expressed that the federal government is aware of the urgency of the talent shortage issue.
She said, “We are under time pressure. We need to ensure that there are diverse educational options and that everyone can participate in them.”
Thasunda Brown Duckett, CEO of the TIAA, and Cathy O’Callaghan, CEO of Ford Credit, emphasized the need to improve the financial conditions of workers and companies supporting the basic economic operations.
Duckett stated, “We need to understand the obstacles individual workers face and ensure they have the tools necessary to secure financial security and dignified retirement.”
Julio Briones, founder and CEO of Briones Consulting Group, which provides consulting services for business growth, operations, business development, and talent recruitment, highlighted that the greater challenge lies in retaining people in these job positions rather than just filling the 1.7 million vacancies.
Citing data from the report, Briones pointed out that for every 100 needed skilled workers, only about 55 are trained; out of 100 apprentices, only 48 complete their training; and five years after leaving the training program, only 29 remain in skilled trades.
Briones remarked, “The problem the U.S. faces isn’t just about recruiting skilled workers; it’s about workforce transformation and retention.”
He suggested that employers need to examine the entire talent recruitment and development process, considering each phase from generating interest, submitting applications, undergoing training, to eventually employment and retention.
He added, “If people keep dropping out at each stage, simply pouring more money into attracting them to skilled trades won’t close the talent gap. Retention is problematic, and recruitment alone cannot solve it.”
Briones also noted that skilled trades offer young people a path to stable and sustainable employment without needing a four-year college degree.
He remarked, “However, just informing young people about these professions won’t solve the workforce shortage issue. The goal should be to guide more young individuals from developing an interest to receiving training, from training to employment, and from employment to a sustainable career development path.” ◇