It’s been an eventful year in the engineering and manufacturing industry, marked by dynamic shifts in recruitment patterns and employment demands. Here at Metalis, we’ve witnessed a fast-evolving hiring landscape, with both challenges and opportunities that have reshaped the industry.
As a recruitment agency specialising in engineering and manufacturing, we understand the importance of keeping our clients informed. This year’s trends reveal significant changes in skills demand, workforce dynamics, and strategic priorities, and looking ahead to 2025, we anticipate even more rapid transformation.
This report outlines the key hiring trends of 2024 and provides insights into what’s expected for 2025, helping employers stay ahead.
1. Labour Shortages Continue to Challenge Employers
2024 saw a continued struggle with labour shortages in engineering and manufacturing. The shortage of skilled workers, particularly in areas like mechanical engineering, CNC programming, and electrical engineering continued to place stress on hiring managers.
Retirements were high, coupled with a general shortage of younger talent with the right technical expertise, have made it difficult to meet demand. This gap has not only slowed down production timelines but has also forced companies to re-evaluate their workforce strategies.
Looking to 2025: The talent gap is unlikely to close significantly in the short term. Companies should consider strengthening their relationships with educational institutions, exploring apprenticeship programmes, and enhancing internal training initiatives. Investing in upskilling and reskilling existing employees could be a strategic way to address shortages and build a more adaptable workforce.
2. Rise of Digital and Green Skill Sets
The industry’s shift towards more digitally integrated and environmentally conscious operations has fuelled demand for new skill sets. With advancements in Industry 4.0, smart manufacturing, and automation, the most in-demand roles of 2024 were those that required a mix of traditional engineering skills and digital expertise.
There has also been a noticeable uptick in demand for sustainability-related roles, such as energy efficiency engineers and environmental compliance managers, as companies move to adopt greener practices and achieve ESG (Environmental, Social, and Governance) goals.
Looking to 2025: Companies that prioritise green engineering skills and digital competencies will gain a competitive advantage. Expect growing demand for hybrid roles that blend traditional engineering with digital proficiencies, such as data analysis, automation programming, and digital system integration. This trend highlights the importance of recruiting talent with cross-disciplinary skills and fostering an environment of continuous learning and adaptability.
3. Increasing Focus on Diversity, Equity, and Inclusion (DEI)
2024 highlighted commitment to creating a more diverse, equitable, and inclusive workforce. Companies are recognising that diverse teams bring unique perspectives and innovative problem-solving abilities. However, the industry still faces challenges in achieving DEI goals, especially in attracting women and underrepresented groups to traditionally male-dominated roles.
Looking to 2025: As the emphasis on DEI grows, companies that build inclusive work environments will become more attractive to top talent. We recommend setting measurable DEI goals, providing mentorship and support for underrepresented employees, and actively partnering with organisations that promote diversity in engineering. Increasing visibility and outreach through STEM programmes targeting youth from diverse backgrounds could also be key to expanding the talent pipeline in the long term.
4. Remote Work is Here to Stay—With Adjustments
While the hands-on nature of engineering and manufacturing doesn’t always lend itself to remote work, 2024 showed a hybrid work trend among roles that can be performed remotely, like engineering design, project management, and certain R&D functions. Many companies also introduced flexible work arrangements, recognising the importance of work-life balance for attracting and retaining talent.
Looking to 2025: Flexible work policies are expected to continue in some capacity, with more companies implementing hybrid schedules. Embracing flexibility can be an attractive feature for potential candidates. For positions that require on-site presence, consider offering flexibility in scheduling or additional wellness benefits. A balanced approach to remote and on-site work can increase employee satisfaction and retention.
5. Competitive Compensation and Benefits Remain Crucial
In the face of high competition for talent, companies have needed to re-evaluate their compensation packages. 2024 saw a push for not only higher wages but also expanded benefits such as comprehensive health coverage, retirement plans, and wellness perks. Candidates now expect more than just a paycheque; they seek employers who offer robust support for both professional and personal well-being.
Looking to 2025: In a competitive hiring market, companies should anticipate continued pressure to offer attractive compensation packages. We encourage clients to benchmark salaries regularly to ensure they remain competitive. Additionally, consider offering unique benefits like mental health resources and career development programmes to stand out to prospective employees.
6. Resilience and Adaptability as Key Hiring Attributes
One of the themes in 2024 was the value placed on resilience and adaptability. In a world of fast-changing technologies, shifting market demands, and supply chain disruptions, employers are increasingly seeking candidates who demonstrate flexibility, problem-solving skills, and the ability to thrive under pressure.
Looking to 2025: Hiring managers are expected to continue prioritising resilience and adaptability. Consider integrating soft-skill assessments into the hiring process to evaluate candidates’ interpersonal and critical thinking abilities. Employees who can quickly learn, adapt, and pivot when faced with challenges will be instrumental to a company’s long-term success.
8. Growing Emphasis on Employer Branding
With heightened competition for talent, employer branding has emerged as a crucial component of recruitment. Candidates are drawn to companies with a clear mission, values, and a commitment to innovation. Organisations that build a strong employer brand through positive company culture, opportunities for advancement, and visible commitment to sustainability and diversity have had an edge in attracting top candidates.
Looking to 2025: Employer branding will continue to play a central role in recruitment. Companies should invest in building a compelling brand narrative and promoting their unique strengths on digital platforms. Authentic communication and transparency about company values, employee experiences, and community involvement can make all the difference in appealing to prospective hires.
Conclusion: Preparing for 2025 and Beyond
The engineering and manufacturing hiring landscape has transformed significantly in 2024, and as we enter 2025, it’s clear that these changes are shaping the future of recruitment in this industry. With skilled labour shortages, the rise of digital and green skill requirements, and a stronger focus on DEI and adaptability, companies must be prepared to adjust their strategies to stay competitive.
At Metalis, we’re committed to helping our clients navigate these changes and secure the talent needed for long-term success. By staying informed on industry trends and investing in a forward-thinking hiring strategy, you can not only meet today’s challenges but also position your company as a leader in the future.
For further guidance or to discuss how Metalis can support your recruitment needs in 2025, don’t hesitate to reach out to us on 0114 349 2305 or submit an enquiry.
