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Image courtesy of GridRaster.

Image courtesy of GridRaster.

2025 Workforce Development Survey Shows Challenges in U.S. Manufacturing Free

May 7, 2025

GridRaster Inc. (Mountain View, California, USA), which provides AI-enabled, cloud-based extended reality (XR) platforms poweringhigh-performance and scalable augmented reality (AR)/virtual reality (VR)/mixed reality (MR) experiences for enterprises, announced the results of a new survey on workforce development in the U.S. manufacturing sector.

The online survey, presented to more than 2,500 manufacturing executives, revealed significant challenges in hiring and workforce enablement in response to recent presidential tariffs aimed at boosting U.S. manufacturing activity.

Key Findings

  • Hiring Challenges: 70.9% of respondents expressed concern about adding labor as tariffs lead to increased U.S. manufacturing activity. Skill gaps, employee engagement, training and development, and retention were identified as the biggest challenges in workforce enablement.
  • Investment in Technologies: 41.2% of respondents are currently using AR/VR and automation technologies, while 40.8% are planning to implement these technologies in the near future. These technologies are seen as crucial for enhancing workforce efficiency on the plant floor.
  • Effectiveness of Technologies: 61.8% of respondents find workforce enablement technologies effective in addressing challenges, with AR/VR and automation technologies being particularly impactful.

The survey respondents were primarily top executives and human resources (HR) directors, according to GridRaster. These respondents represented organizations of various sizes, with the majority facing challenges such as skill gaps, employee engagement, training and development, and retention.

To address their labor challenges, many executives say they plan to invest in new technologies. These include learning management systems, HR information systems, collaboration tools, performance management software, and AR/VR and automation.

The survey also highlighted concerns about the cost, complexity, employee resistance, and integration of new technologies. According to GridRaster, success in workforce enablement can be measured through employee performance metrics, satisfaction surveys, retention rates, and productivity metrics.

Overall, the findings underscore the importance of innovative solutions to support the U.S. manufacturing workforce while enhancing productivity. Additional information from the survey is available below.

Concerns About Implementing New Technologies

Among respondents, the main concerns include cost (19.4%), complexity (39.9%), employee resistance (9.7%), and integration with existing systems (21.4%).

Measuring Success of Workforce Enablement Initiatives

Success is measured through employee performance metrics (20.4%), employee satisfaction surveys (9.7%), retention rates (20.4%), and productivity metrics (39.8%).

Challenges in Workforce Enablement Areas

The most challenging areas are training and development (22.3%), communication and collaboration (10.7%), performance management (19.4%), plant floor skills development (31.1%), and employee engagement (9.7%).

“The findings highlight the urgent need for innovative solutions to support the U.S. manufacturing workforce,” says Rishi Ranjan, CEO. “At GridRaster, we are committed to providing AR/VR technologies that enhance human capital efficiency to help employees do more on the manufacturing floor. Our solutions are designed to empower workers, improve productivity, and address the skill gaps that are critical for the future of U.S. manufacturing."

Usage of AR/VR and Automation Technologies

In all, 40.8% of respondents are currently using AR/VR and automation technologies, while 19.4% are planning to implement them.

AR/VR Applications in Use

Applications include training simulations (15.5%), remote assistance (16.5%), virtual collaboration (14.6%), product design and prototyping (11.7%), robotic process automation (12.6%), industrial robots (10.7%), AI-driven analytics (11.7%), and automated quality control (10.7%).

Effectiveness of AR/VR and Automation Technologies

Among respondents, 41.2% of respondents find these technologies effective, while 29.4% find them very effective.

Source: GridRaster Inc., www.gridraster.com.

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