Future-ready workforce strategies for automakers

The US automotive industry will need to transform its workforce strategy to tackle emerging challenges.

The automotive industry is at a pivotal moment, navigating transformative changes driven by technological advancements such as AI, robotics, and advanced manufacturing. These innovations are reshaping vehicle design and production, compelling companies to tackle workforce challenges, including skills deficits, declining union membership, and an aging population. Economic factors like tariffs further complicate production decisions, impacting workforce size and composition. These developments demand proficiency in electronic systems, software integration, and automation—essential skills for the expanding electric vehicle (EV) manufacturing sector.

Technological advancements such as artificial intelligence (AI), IoT, and automation have heightened skill requirements, urging companies to bridge the skills gap through tailored training programs. Upskilling not only improves technical capabilities but also enhances employee well-being and retention. Furthermore, collaboration with universities and technical schools can support employees in maintaining up-to-date knowledge of technological advancements. Companies must also leverage AI for HR functions, invest in advanced manufacturing techniques, and optimize supply chain strategies to balance costs and enhance efficiency.

The industry must adopt a comprehensive strategy to address the current challenges and prepare for future demands.

  • Strategic workforce planning: Identify skills gaps and tailor training programs using the “build, buy, borrow, bot, base” approach to manage labor demand.
  • Upskilling and reskilling for emerging technology: Implement training programs focused on electrical engineering, battery technology, software integration, and robotics. Offering comprehensive benefits supports employee well-being, career growth, and job satisfaction.
  • Operating and service delivery model assessments: Leverage AI for HR functions, optimize the workforce using data insights, invest in advanced manufacturing techniques, accelerate localization efforts, and optimize supply chain strategies.

Download our paper to learn more about navigating workforce transformation in the automotive industry and building a future-ready, resilient workforce.

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