LMI Training - University of Minnesota

The Future of Engineering in Minnesota Kyle Uphoff 651-296-8713 or 612-821-4072 Regional Analysis & Outreach Unit Minnesota Department of Employment and Economic Development (DEED) www.deed.state.mn.us/lmi Regional Analysis & Outreach Unit Labor Market Information Office Current Conditions for Engineering Occupations There are about 1,300 engineering and architecture vacancies in Minnesota (4Q 2004)- about 2.5 jobs for every 100 people currently working.

Job vacancies are up 44% from Q4, 2003 but this recovery has been slow to happen. Vacancies are well below the 2,600 vacancies of Q4, 2000. The number of engineering Unemployment Insurance applicants is down 23 percent from 2 years ago- less competition for existing job openings. Regional Analysis & Outreach Unit Labor Market Information Office MN Engineering Openings: 20022012 What is driving these openings? Regional Analysis & Outreach Unit Labor Market Information Office Cumulative Job Gains in Manufacturing Since 1991 (Minnesota) Regional Analysis & Outreach Unit

Labor Market Information Office Year of Peak Manufacturing Employment Regional Analysis & Outreach Unit Labor Market Information Office Labor Availability: Twin Cities Region 1,900,000 1,800,000 1,700,000 1,600,000 1,500,000 1,400,000

Employment 2002 2001 2000 1999 1998 1997 1996

1995 1994 1993 1992 1991 1990 1,300,000 Labor Force Regional Analysis & Outreach Unit

Labor Market Information Office Projected Population Distribution: Minnesota, 2000-2030 Regional Analysis & Outreach Unit Labor Market Information Office Percent Growth Laborforce growth slows dramatically after 2015 9.0% 8.0% 7.0% 6.0%

5.0% 4.0% 3.0% 2.0% 1.0% 0.0% -1.0% 2000-05 2005-10 2010-15 2015-20 2020-25

2025-30 Regional Analysis & Outreach Unit Labor Market Information Office Employment and Innovation Employment Commoditization Maturation or the Golden Age Microchips? Computer Mfg? Expansion/

Speculation? Correction IT Services? Inception Nanotech? Biotech? Time Regional Analysis & Outreach Unit Labor Market Information Office Workforce shortages or skills shortages Skills areas projected to be

most utilized by future occupations: Reading Comprehension Speaking Writing Problem Identification Information Gathering Critical Thinking Knowledge areas projected to be most utilized by future occupations: Clerical Mathematics Admin./Management Education/Training

English Sales/marketing Economics/accounting Computers/electronics Mechanical Regional Analysis & Outreach Unit Labor Market Information Office Future Prospects for Local Employers Increasing labor shortage as the economy emerges from the shadow of recession. Wage pressure for skilled workers. Increasing use of technology to increase productivity- capital deepening Greater use of customized training- particularly important for small employers.

Increased diversity in the workplace as underutilized pools of labor are sought out Communication Issues Assistive technology and flexible hours etc. Regional Analysis & Outreach Unit Labor Market Information Office Where can we find this information? www.deed.state.mn.us/lmi Regional Analysis & Outreach Unit Labor Market Information Office

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