Electronics manufacturers are struggling to hire enough workers, with 80% expecting the situation to continue, finds survey

About The Authors

24th September 2021 13:09 - Industrial

Electronics manufacturers are struggling to hire enough workers, with 80% expecting the situation to continue: A survey of electronics manufacturers has revealed insight into the current state of the sector, with 80% of respondents saying the challenge of finding qualified workers is not likely to ease. 
In response to this, nearly half those polled said they have taken to upskilling their workforce (46%) as well as increasing wages (44%) in a bid to attract and keep workers. 
The survey by IPC, which polled hundreds of electronics manufacturers around the globe, also found that a global shortage of products and components is causing problems with production delays, increased materials costs and optimism within the industry. 
Nearly nine out of 10 respondents (88%) reported experiencing increased lead times, with nearly a third (31%) seeing delays to products of eight weeks or more.  Asked when they expect the shortages to end, over half (58%) believe it will be the second half of 2022 at the earliest,  according to the research.
Six in 10 companies polled also reported that backlogs are increasing as global inventories are declining, with a quarter believing they will continue to deplete. Just under half expect inventories to stay flat.
The research also found that 90% of those polled said that they have paid higher prices to their supppliers due to shortages.
Shawn DuBravac, IPC chief economist and lead researcher on the study, said: “Supply shortages and other dislocations are impacting the global electronics supply chain and every downstream industry these manufacturers serve. Strong demand is helping industry sales, but shortages are delaying shipments and increasing backlogs. Manufacturers are facing higher prices as they compete for limited supply. This is a global phenomenon that is going to take well into next year to resolve."

Sign up for free insights from your sector…

Support Us...

We hope that you have found this article useful. This section is freely available for all to use. Please help support it by liking us or following us on our social media platforms:

Share this article...

For updated Industrial insights please follow us on @DJS_Industrial or use our RSS feed

Other Industrial Research Findings

Other Latest Market Research Insights

© DJS Research 2021