Wisconsin Manufacturing Presentation of the METTE Research Group Wisconsin Center for Educational Research University of Wisconsin-Madison Fall 2011 This material is based upon work supported by a grant from the National Science Foundation (Award no. 1104226). Any opinions, findings, and conclusions or recommendations expressed in this material are those of the author(s) and do not necessarily reflect the views of the National Science Foundation. What is manufacturing? The manufacturing sector comprises establishments engaged in the mechanical, physical, or chemical transformation of materials, substances, or components into new products Source: North American Industrial Classification System 2 Wisconsin continues to employ a significantly greater percentage of its non-farm workforce in manufacturing than the United States as a whole Percentage of Non-farm Workers Employed in Manufacturing United States Wisconsin 1961 2011 30% 9% 37% 16% Source: Annual Average Employment, 2010, Current Employment Statistics, Wisconsin Department of Workforce Development 3 Despite the shift to a service economy, manufacturing continues to employ 1 in 8 Wisconsin non-farm workers Source: Annual Average Employment, 2010, Current Employment Statistics, Wisconsin Department of Workforce Development 4 What are industrial sectors? Manufacturing subsectors generally reflect distinct production processes related to material inputs, production equipment, and employee skills Source: North American Industrial Classification System 5 Wisconsin manufacturers employ workers across a wide range of industrial sectors Source: Annual Average Employment, 2010, Quarterly Census of Employment, WI Department of Workforce Development 6 Durable goods yields utility over time rather than being completely consumed in one use Examples include: • Industrial machinery • Electrical equipment • Transportation equipment • Construction equipment • Wood products • Engines • Furniture • Consumer appliances • Consumer electronics 7 Wisconsin has a much greater portion of it durable goods manufacturing workers employed in bending, shaping, and forming, and assembling metal than in the U.S. as a whole Source: Annual Average Employment, 2010, Quarterly Census of Employment Wages, WI Department of Workforce Development 8 Non-durable goods are immediately consumed in one use or have a lifespan of less than 3 years. Examples include: • Paper and paper • Cleaning supplies • Textiles • Footwear and apparel • Food and fuel • Office supplies • Packaging and containers • Products • Personal products • Rubber and plastics 9 Wisconsin has a much greater portion of its non-durable goods manufacturing workers employed in papermaking and in printing than in the U.S. as a whole Source: Annual Average Employment, 2010, Quarterly Census of Employment , WI Department of Workforce Development 10 Most Wisconsin manufacturing firms employ fewer than 20 workers. However, there is a higher percentage of larger firms engaged in manufacturers than in the state’s economy as a whole Source: Quarterly Census of Employment and Earnings, 2010, Wisconsin Department of Workforce Development 11 Wisconsin’s manufacturing workforce tends to be older, more likely to be male, and earn significantly higher weekly wages than state’s workforce as a whole Employee Characteristics Manufacturing Firms All Private Firms Percentage of Workers age 45 or more 52% 44% Percentage of Male Workers 71% 49% Average Weekly Wage $965 $796 Source: Quarterly Workforce Indicators, 2010, U.S. Bureau of the Census 12 Wisconsin’s manufacturing workforce tends to have less formal education than state’s workforce as a whole Source: Quarterly Workforce Indicators, 2010, U.S. Bureau of the Census 13 Most of the production occupations projected to provide the greatest number of job openings in Wisconsin manufacturing are middle skill jobs requiring training beyond high school Projected Annual Estimated Average Job Openings Annual Salary Occupational Title Middle Skill Jobs Team assemblers Welders, cutters, solderers, and brazers Inspectors, testers, sorters, samplers, and weighers Assemblers and fabricators, all other Machinists Paper goods machine setters, operators, and tenders Molding, coremaking, and casting machine setters, operators, and tenders, metal and plastic Cutting, punching, and press machine setters, operators, and tenders, metal and plastic Computer-controlled machine tool operators, metal and plastic Production workers, all other Printing machine operators Coating, painting, and spraying machine setters, operators, and tenders Low Skill Jobs Packaging and filling machine operators and tenders Helpers--production workers Food batchmakers 900 460 290 260 240 240 $29,963.00 $37,675.00 $32,483.00 $34,853.00 $40,169.00 $40,106.00 210 $29,713.00 190 180 150 140 130 $32,774.00 $35,172.00 $29,639.00 $38,204.00 $34,212.00 270 230 160 $27,501.00 $25,965.00 $31,061.00 Source: Occupational Projections, 2008-2018, Wisconsin Department of Workforce Development 14 Although production occupations dominate, workers in a variety of other occupational categories are also employed in Wisconsin’s manufacturing workforce Source: Occupational Projections, 2008-2018, Wisconsin Department of Workforce Development 15 Sources of data used in this presentation include: • Wisconsin Department of Workforce Development – Data Analyst: http://worknet.wisconsin.gov/worknet/homeda.aspx?men uselection=da – Office of Economic Advisors: http://dwd.wisconsin.gov/oea/ • US Bureau of Labor Statistics: – Databases and Tools: http://www.bls.gov/ • US Census – Quarterly Workforce Indicators: http://lehd.did.census.gov/led/datatools/qwiapp.html 16 About Us • The METTE project is funded by a four-year grant with generous support from the Advanced Technological Education (ATE) program of the National Science Foundation to improve the education of manufacturing technologists and technicians for the high-technology fields that drive our nation's economy • The METTE project seeks to improve student success in two-year college programs that prepare postsecondary students to enter employment in manufacturing as engineering technicians or transfer to baccalaureate programs in fields related to manufacturing • The METTE Leadership Team includes: – – – – L. Allen Phelps, Principal Investigator Xueli Wang Co-Principal Investigator Janet L Washbon , Senior Scientist Hsun-yu Chan, Project Assistant 17