News & Insights

The bill passed in the House Wednesday to raise the nation’s debt limit and avert a default makes some of the most significant revisions to U.S. environmental law in years, “potentially accelerating new renewable-energy investments championed by the Biden administration,” according to The Wall Street Journal (subscription).

What’s going on: The Fiscal Responsibility Act, which boosts the U.S. debt ceiling until after the 2024 presidential election and now heads to the Senate, includes several energy infrastructure-related moves.

• Expedites permitting for MVP: The legislation hastens permitting for the Mountain Valley Pipeline, an Appalachian natural-gas project that would bring affordable energy to the Mid- and South Atlantic regions.
• Shortens timelines: It also “tightens the scope of environmental reviews required under the National Environmental Policy Act of 1970 and allows more projects to win approval without having to undergo the most complex types of reviews. It also sets time limits of no more than two years to complete the studies.”
• Streamlines processes: In addition, the bill assigns review of each project to one federal agency rather than multiple agencies and allows infrastructure undertakings “to piggyback on existing reviews for similar projects rather than starting from scratch.”

“Unlocking resources”:
Rep. Garret Graves (R-LA), who joined NAM President and CEO Jay Timmons at the recent NAM Competing to Win Tour stop in Harahan, Louisiana, and who wrote a previous measure from which the Fiscal Responsibility Act drew, said the legislation is “all about unlocking America’s resources.” This is a point the NAM has long stressed to Congress, too.

• On Tuesday, after the NAM consistently applied pressure on lawmakers to reach a deal, Timmons urged the House to pass the measure, citing its ability “[t]o strengthen manufacturing in our nation, reach our industry’s full potential and outcompete other nations like China” through permitting reforms.
• Bureaucracy and red tape hamstring plans for critical infrastructure, resulting in “yearslong delays on energy projects, making them unfeasible. The most rigorous type of review takes an average of 4½ years to complete, according to the White House,” the Journal reports.

Something we can all agree on:
“‘We see an enormous amount of demand for new clean energy projects that are being held up,’ said Sasha Mackler, who directs the energy program at the Bipartisan Policy Center. ‘That reality has brought Republicans and Democrats together here.’”

How will AI change the work you and your employees do? The Manufacturing Leadership Council—the digital transformation arm of the NAM—is helping manufacturing leaders figure out the opportunities created by new generative AI technologies, including ChatGPT.

Recently, the MLC held a Decision Compass discussion to help manufacturers learn how to take advantage of these new tools safely and effectively.

The participants: The conversation was led by two members of West Monroe’s Center of Excellence for AI: Ryan Elmore and David McGraw. Elmore and McGraw shared their expertise and addressed questions from manufacturers throughout the call.

The use cases: AI is a diverse and complex tool that is likely to have a lasting impact on manufacturers across the United States. According to McGraw and Elmore, there are a range of applications for the technology, from supply chain optimization and production planning to predictive maintenance issues. 

The workforce impact: According to Elmore, AI will also transform the manufacturing workforce.

• Some roles that involve repetitive tasks like data processing could be adjusted or eliminated, while some new jobs will be created around tasks like prompt engineering, which ensures AI programs deliver the most useful and accurate results. Most importantly, however, existing jobs will likely be modified to account for new tools.
• “Some are going to go away, some are going to be created, but the vast majority is going to change mentality, change infrastructure, change the way we work,” said Elmore.

Prompting success: Elmore and McGraw emphasized that the key to using generative AI effectively is developing useful prompts. How you ask AI programs for information, and what data you provide, will determine the quality of the output. They provided a few broad guidelines:

• Keep it simple: Your prompts should be detailed, precise and as succinct as possible.
• Data matters: The better and more detailed your data, the better your output will be.
• Keep it human: Generative AI still requires a human to determine the reliability of the output. Manufacturers shouldn’t plan to use outputs blindly without keeping a human in the loop.
• Share safely: Assume anything you put into AI that is not behind a paywall is not private. Only use data that you’re comfortable with others viewing.
• Follow up: If you receive outputs that don’t make sense, or that indicate some sort of failure, ask the program for more context and problem solving to assess whether the output is accurate or beneficial.

Safety first: AI can also be used in negative ways—for example, by cyber attackers attempting to gain private information from you using software that mimics the voice of someone you know.

• Elmore and McGraw emphasized that manufacturers using AI should consider providing trainings so employees can recognize and guard against safety issues.

The last word: “I think most importantly, you’re only limited to your imagination,” said McGraw. “There’s really a lot of use cases that can be solved with this technology.”

Learn more: Want to find out more about how digital tools are changing manufacturing? The MLC will delve deeper into these issues at this year’s Rethink Summit, taking place June 26–28 in Marco Island, Florida. Learn more and register here.

How will AI change the work you and your employees do? The Manufacturing Leadership Council—the digital transformation arm of the NAM—is helping manufacturing leaders figure out the opportunities created by new generative AI technologies, including ChatGPT.

Recently, the MLC held a Decision Compass discussion to help manufacturers learn how to take advantage of these new tools safely and effectively.

The participants: The conversation was led by two members of West Monroe’s Center of Excellence for AI: Ryan Elmore and David McGraw. Elmore and McGraw shared their expertise and addressed questions from manufacturers throughout the call.

The use cases: AI is a diverse and complex tool that is likely to have a lasting impact on manufacturers across the United States. According to McGraw and Elmore, there are a range of applications for the technology, from supply chain optimization and production planning to predictive maintenance issues.

The workforce impact: According to Elmore, AI will also transform the manufacturing workforce.

• Some roles that involve repetitive tasks like data processing could be adjusted or eliminated, while some new jobs will be created around tasks like prompt engineering, which ensures AI programs deliver the most useful and accurate results. Most importantly, however, existing jobs will likely be modified to account for new tools.
• “Some are going to go away, some are going to be created, but the vast majority is going to change mentality, change infrastructure, change the way we work,” said Elmore.

Learn more: Want to find out more about how digital tools are changing manufacturing? The MLC will delve deeper into these issues at this year’s Rethink Summit, taking place June 26–28 in Marco Island, Florida. Learn more and register
here.

Read the full story here.

The NAM is leading a coalition of business groups in advocating against a potential new overtime rule from the Department of Labor.

The background: The current overtime rule, part of the Fair Labor Standards Act, mandates that employees must receive overtime pay of at least time and a half for hours worked over 40 in a workweek.

• However, it contains certain exemptions for white-collar workers. If an employee makes a minimum amount of money or is classified as an executive, administrator or professional, they are exempt from overtime pay.

The new rule: The new rule is expected to raise the salary threshold from the current $35,568 per year.

• ​​​​​​​The change would potentially cause challenges for employers, as well as for employees who have worked to advance themselves away from hourly jobs and into salaried company positions, as the NAM has long argued.
• In addition, the widespread adoption of hybrid work brought about by the pandemic “makes compliance with potential changes to the white-collar exemptions measurably more difficult,” the coalition pointed out. New regulations may force employers to restrict these work arrangements that many workers value highly.

The last word:
As the coalition told the Department of Labor, “Many businesses are not well-positioned to absorb new labor costs associated with changes to the overtime pay regulations, and such changes would only exacerbate the difficulties businesses are currently facing”—including inflation, supply chain disruptions and the aftereffects of the pandemic.

The Creators Wanted Tour, a joint project of the National Association of Manufacturers and the Manufacturing Institute, set new records at the “Greatest Spectacle in Racing”: the Indianapolis 500.

By the numbers: The tour’s 17th stop, generously sponsored by Snap-on, allowed nearly 1,600 young fans and their families to experience modern manufacturing first-hand.

• In addition, more than 72,000 students and career mentors signed up online to learn more about manufacturing careers.
• So far, over 10,000 students have taken part in the immersive experience since its launch in October 2021, with 84% of participants reporting an improved view of modern manufacturing careers. Online signups have now surpassed 1.3 million.

What they’re saying: “’Creators Wanted’ is a critical message to all young people, parents, caregivers and educators across our country,” said Snap-on CEO Nick Pinchuk, who is also an NAM executive committee member and MI board member.

• “Snap-on is proud to bring the Creators Wanted Tour to the [Indianapolis Motor Speedway] and the Indianapolis 500, showing younger race fans and their families that manufacturing is an exciting place where the opportunities are many, the careers are rewarding and the lives are filled with the pride of being part of something greater than yourself,” he continued.
• NAM President and CEO and MI Chairman of the Board Jay Timmons added, “The world’s largest single day sporting event met the nation’s largest manufacturing campaign—and it revved up enthusiasm about modern manufacturing in a big way with more students and their families.”

Behind the scenes: Alongside the Creators Wanted experience at Fan Midway at the Indianapolis Motor Speedway (IMS), fans were also treated to a number of other interactive exhibits.

• These included: Snap-on’s “Makers and Fixers” tent; Honda’s racing simulator and vehicle fleet; the IMS Kids Zone where young fans raced on their own track; and FactoryFix’s activities and resources to help people find their path into manufacturing careers, including its work through CreatorsWanted.org.
• “Seeing folks at Indy curious about our ‘Creators Wanted’ campaign was such a great confirmation of the research and testing we did to arrive at the name for this effort,” said Erin Streeter, Executive Vice President of the NAM. “When parents and kids asked us about the type of creators we need in manufacturing, it just showed how spot-on our message really is.”
• The NAM video team captured some of the fan sentiment with this video.

The big picture: “These tour stops often serve as the first interaction individuals have with the NAM and the MI, and the impression is powerful,” said Chrys Kefalas, Managing Vice President of Brand Strategy at the NAM. ” These meaningful personal interactions create lasting impressions and underscore the industry’s value.”

Washington, D.C. – Following an announcement that the White House and House Speaker Kevin McCarthy (R-CA) had reached a deal to avoid default on U.S. debt, National Association of Manufacturers President and CEO Jay Timmons released the following statement:

“Manufacturers congratulate President Biden, Speaker McCarthy and their negotiating teams on reaching an agreement to lift the debt limit. As we have said from the beginning, defaulting on our debt would create economic chaos, harming manufacturing workers and their families and jeopardizing our leadership in the world. Congress should act quickly to pass this agreement and to demonstrate to Americans and to the world the continued strength of our institutions and our democracy.

“Manufacturers have been a leading voice for permitting reform, so we are encouraged that this legislation takes critical steps to improve our broken permitting system, helping us more fully leverage our domestic energy sources and expand manufacturing in the United States. We will work with Congress and the administration to build on this progress and create a comprehensive bipartisan permitting reform package that also helps unlock the full potential of laws meant to encourage the growth of manufacturing in America, such as the historic infrastructure law and the CHIPS and Science Act.

“Once this debate is behind us, our leaders must turn their focus to other policies critical to unleashing manufacturing’s full potential: addressing the crushing regulatory burden facing manufacturers, improving our immigration system and ensuring that our tax code supports manufacturing in America by encouraging investments in innovation and capital equipment.”

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.90 trillion to the U.S. economy annually and accounts for 55% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

Indianapolis, Indiana – The National Association of Manufacturers, the Manufacturing Institute, the workforce development and education affiliate of the NAM, and Snap-on Incorporated are bringing the industry-leading Creators Wanted campaign to the Indianapolis Motor Speedway.

The Creators Wanted Tour is on-site at Fan Midway by the IMS Kids Zone on Friday, May 26, and Saturday, May 27, from 8:00 a.m. to 3:00 p.m. EDT and Sunday, May 28, from 6:00 a.m. to 12:30 p.m. EDT. The Creators Wanted Tour brings the excitement of modern manufacturing to life for all ages, with an immersive experience (an escape room–style activity) that challenges participants to race to the future and with resources to help younger race fans and their families explore how they can be part of creating, making, tinkering and building in the United States.

The manufacturing industry in the United States has approximately 700,000 open jobs. Creators Wanted strives to, by 2025, empower 600,000 new manufacturing team members, increase the number of students enrolling in technical and vocational schools or reskilling programs by 25% and increase the positive perception of the industry by parents to 50% from 27%.

“‘Creators Wanted’ is a critical message to all young people, parents, caregivers and educators across our country,” said Snap-on Chairman and CEO, NAM Executive Committee Member and MI Board Member Nick Pinchuk. “Snap-on is proud to bring the Creators Wanted Tour to the IMS and the Indianapolis 500 showing younger race fans and their families that manufacturing is an exciting place where the opportunities are many, the careers are rewarding and the lives are filled with the pride of being part of something greater than yourself.”

Since its launch in 2021, the Creators Wanted Tour has visited 16 cities, reaching more than 9,000 students in person, along with more than 2,400 parents, teachers, mentors and local leaders. The campaign has also built an email roster of more than 1.2 million students and career mentors interested in manufacturing careers.

“The world’s largest single day sporting event meets the nation’s largest manufacturing campaign—and it’s going to rev up enthusiasm about modern manufacturing in a big way with more students and their families,” said NAM President and CEO and MI Chairman of the Board Jay Timmons. “Together with our partners like Snap-on, we’re building excitement about modern manufacturing careers and providing the resources for people to reach their full potential.”

Indiana Manufacturing Facts:

• There were 23,936 total manufacturing job postings in Indiana from January 2023 to March 2023. In addition, there were 84,904 unique manufacturing job postings from January 2022 to December 2022.

The NAM will continue its Creators Wanted Tour with stops across the country. For more information on the campaign, visit CreatorsWanted.org.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.90 trillion to the U.S. economy annually and accounts for 55% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.

-The MI-

The Manufacturing Institute grows and supports the manufacturing industry’s skilled workers for the advancement of modern manufacturing. The MI’s diverse initiatives support all workers in America, including women, veterans and students, through skills training programs, community building and the advancement of their career in manufacturing. As the 501(c)3 nonprofit workforce development and education affiliate of the National Association of Manufacturers, the MI is a trusted adviser to manufacturers, equipping them with resources necessary to solve the industry’s toughest challenges. For more information on the MI, please visit www.themanufacturinginstitute.org.

-Snap-on-

Snap-on Incorporated is a leading global innovator, manufacturer and marketer of tools, equipment, diagnostics, repair information and systems solutions for professional users performing critical tasks, including those working in vehicle repair, aerospace, the military, natural resources and manufacturing. From its founding in 1920, Snap-on has been recognized as the mark of the serious and the outward sign of the pride and dignity working men and women take in their professions. Products and services are sold through the company’s network of widely recognized franchisee vans, as well as through direct and distributor channels, under a variety of notable brands. The company also provides financing programs to facilitate the sales of its products and to support its franchise business. Snap-on, an S&P 500 company, generated sales of $4.5 billion in 2022 and is headquartered in Kenosha, Wisconsin.

For additional information on Snap-on, visit www.snapon.com.

Implementation of programs and funding from 2021’s historic, bipartisan Infrastructure Investment and Jobs Act is now in full swing—and manufacturers are already hard at work.

What’s going on: During discussions at an Infrastructure Week event hosted by United For Infrastructure earlier this month, leaders from Bechtel and Siemens USA discussed the significant social and economic impact of infrastructure investment.

• The Business Roundtable “commissioned a study to look at the economic impact [of] every taxpayer dollar invested in infrastructure, and we concluded that [each dollar] generates $4 in economic growth,” said Bechtel Chairman and CEO Brendan Bechtel, who is also chair of the BRT Infrastructure Committee. “We concluded that a trillion dollars in infrastructure investment over 10 years unlocks, on average, additional household disposable income of $1,800 a year for every family in the United States. Modern infrastructure creates a huge amount of social, environmental and economic benefits.” Bechtel spoke alongside Maryland Gov. Wes Moore and White House Senior Advisor and Infrastructure Coordinator Mitch Landrieu on a panel.
• More benefits of the investment in infrastructure are on display in the many projects of industrial technology company Siemens USA, according to the company’s Vice President and Head of U.S. Government Affairs Brie Sachse.
• Sachse discussed the recent opening of Siemens’ second U.S. electric-vehicle charging manufacturing hub in Carrollton, Texas, as well as a partnership with utility ComEd in the historic Bronzeville neighborhood of Chicago. There, Siemens is providing the management software for a first-of-its-kind, utility-owned microgrid cluster. “It will lead to cleaner, more reliable power for a neighborhood in the midst of revitalization,” Sachse said during a lightning round at the event. “We’re enthusiastic about the momentum to electrify America.”

 Permitting reform and workforce: Both Bechtel and Sachse stressed the critical importance of filling current and future open manufacturing jobs. Bechtel echoed NAM President and CEO Jay Timmons—who spoke on an earlier panel—when he stressed the need for infrastructure-project permitting reform at the congressional level.

• “The shortage of construction workers is real. It’s the current constraint throttling how much work we feel we can responsibly commit to and deliver at once,” Bechtel said. “I think it’s the single most important thing that we can all address besides permitting reform.”
• After the event, Bechtel thanked industry allies and business leaders “for continuing to lead on improving the permitting system so we can move projects through the pipeline more efficiently.” 

The power of apprenticeships: The companies are betting on apprentice programs to help fill jobs.

• Siemens recently launched an apprentice program in Wendell, North Carolina, to “support the growing EV market,” Sachse said, adding that apprenticeships like this one are “opening the door for career pathways that are both well-paying and meaningful.”
• To fill the worker shortage, “we’re doubling down on the things we know that work,” Bechtel said. For example, the company uses apprentice readiness programs, in which people are “learning while they’re earning [and] they’re accessing and accumulating health and retirement benefits that they wouldn’t otherwise.”

When service members leave the military, manufacturers are quick to say: “Come on over!” Military skills are usually a great match for manufacturing careers, which require attention to detail, technical abilities and creative thinking. And there’s no better matchmaker than the Manufacturing Institute’s Heroes MAKE America initiative, which since 2018 has been offering training certification programs and career courses to transitioning service members and veterans.

Today, HMA not only serves service members on military installations across the country but has also expanded its reach via a virtual training program.

Widening the reach: Now in its second year, the virtual training program has allowed HMA to impact service members on a national scale.

• For the first time, members from four branches—Army, Air Force, Marine Corps and Navy—are participating in the same class at the same time.
• Additionally, the geographic range of participants has increased to comprise students located far and wide, including in Alaska, Arizona, Delaware, Kansas and Kentucky.
• The program has reached more than 120,000 prospective students through local transition assistance, HMA’s LinkedIn and Facebook presence and the SkillBridge website.

How it works: HMA partnered with Texas State Technical College to create a virtual nine-week training and certification program.

• Participants earn nationally portable, industry-recognized Certified Production Technician certification as well as an OSHA 10 certification.
• Through Heroes Connect, HMA also partners with sponsors like Johnson & Johnson, The Caterpillar Foundation, Amazon, Howmet Aerospace, WestRock, Saint-Gobain, Atlas Copco, Cargill, FUCHS Lubricants Company, C.H. Guenther & Sons, Honda Foundation, Niagara Bottling and the NAFEM, PPI and SEMI Associations to connect program graduates and members of the military community with manufacturers.

What we’re saying: “It’s exciting to see members from four branches of the military all in one virtual classroom together,” said Heroes MAKE America Senior Program Manager Katie Bowerman. “There’s a lot of strength in that kind of diversity.”

Spread the word: Do you have jobs for which HMA students might qualify, or know of a service member who would want to join the program? The HMA virtual program is open to any transitioning service member who is in their last six months of active-duty service, as well as to veteran and active-duty military spouses. For more information, contact [email protected].

Washington, D.C. – Following the U.S. Supreme Court’s decision in Sackett vs. Environmental Protection Agency, National Association of Manufacturers Vice President of Energy and Resources Policy Brandon Farris released the following statement:

“The Supreme Court’s decision today will help put us on a path to regulatory certainty for manufacturers across the country as all the justices agreed that the EPA had overstepped its authority under the Clean Water Act. Manufacturers are committed to keeping our waters clean and demonstrating environmental stewardship, but Clean Water Act enforcement has been rife with ambiguities and inconsistencies, often allowing the EPA to overreach and attempt to regulate water—and even dry land—that is far beyond the scope of the law. This case demonstrates yet again why manufacturers and our economy need a sensible Waters of the United States proposal that provides clarity and certainty and allows the industry to continue leading the way on environmental protection. The EPA should heed the court’s ruling and revise its latest WOTUS proposal.”

Background:

Previously, the NAM submitted multiple sets of comments regarding the 2015 WOTUS rule to better inform policymakers. In addition, the NAM supported the 2017 executive order instructing the EPA to rescind the rule, and the NAM Legal Center had been in active litigation against the rule starting in 2015. The legal battle included a unanimous victory for the NAM at the U.S. Supreme Court on a key procedural issue, and in 2019, federal judges invalidated the rule.

-NAM-

The National Association of Manufacturers is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs nearly 13 million men and women, contributes $2.90 trillion to the U.S. economy annually and accounts for 55% of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the NAM or to follow us on Twitter and Facebook, please visit www.nam.org.