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Passage of Federal Infrastructure Bill Would be Transformational
responses provided by Dennis Slater, President of the Association of Equipment Manufacturers (AEM)
Investment in U.S. infrastructure would bring benefits to many communities, as well as the equipment manufacturing industry. Global Markets, Government & Trade How would passage of an infrastructure or other similar bill in the U.S.—or the equivalent in other countries—benefit the heavy equipment industry? The passage of a federal infrastructure bill this year will make a transformational investment in our nation’s infrastructure and provide numerous benefits to American communities across the country. This includes many of the communities where equipment manufacturers have large footprints with 2.8 million men and women throughout our industry in all 50 states. A recent analysis of the bipartisan supported infrastructure bill in front of Congress indicated over 100,000 equipment manufacturing jobs, which pay 35% above average, could be created before the end of Biden’s first term and generate over $2 billion in new federal, state, and local tax revenue from the equipment manufacturing industry, while resulting in an additional $27 billion in overall economic output, How, if at all, has the current state of the global trade tensions—particularly those between the U.S. and other countries—had an impact on the industries you serve? We need pro-growth trade policies to sell more American products and keep equipment manufacturers strong. This includes free and fair trade policies as equipment manufacturers rely on
mutually beneficial trade relationships with our partners. For example, 30% of equipment made in the United States is destined for export. A robust trade market also helps support many of the 2.8 million good-paying jobs our industry supports in the U.S. AEM believes tariffs are taxes on Americans and jeopardizes U.S. manufacturing jobs and the tariffs in place now hurt both equipment manufacturers and farmers by limiting our nation’s competitiveness and costing American taxpayers billions. Tariffs also raise costs of production and cause job loss for U.S. manufacturers and undermine America’s global competitiveness. President Biden and our nation’s elected officials must support trade policies that improve relationships with global trading partners, curb the misuse of tariffs and other protectionist policies, and renew key legislation to keep American manufacturing competitive. We are encouraging the administration to advance policies that sell more American manufactured products, and laws that strengthen critical U.S. manufacturing supply chains.
Challenges & Opportunities What are the biggest challenges facing the heavy equipment industry currently, or do you see the industry facing in the coming years? Manufacturers across the nation are facing an industry-wide workforce shortage. Between the aging workforce and fewer graduates seeking careers in
the trades, the gap is growing, rapidly. The struggle to attract and retain talent is evident. Industry leaders are asking: How do manufacturers in the modern age create an appealing culture for the next generation? According to a study by The Manufacturing Institute, the vast majority (78%) of companies indicated that they were ‘very or somewhat’ concerned about the impending aging workforce exodus. More concerning, however, is the concurrent brain drain that accompanies those retirements. Awareness is more than just looking around and realizing the industry’s workforce is growing older. While that certainly is the case, now is not the time to ignore the issue or look the other way. Communication is an essential piece of addressing an aging workforce. Creating the right environment for talking about future plans, goals and aspirations, at any age, is key. Incorporating discussion of the future with all employees can keep organizations from being surprised by a sudden retirement. It is also a great way to discuss employee development, to see if employees are engaged with their work, or if they are looking for a new challenge. Open communication can also allow older workers to communicate if working conditions have become physically stressful and, if so, for the employer to offer other alternatives. Communication should create a culture where all workers, including older workers, feel supported, valued and engaged. |
OEM Off-Highway | OCTOBER 2021
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