A workforce shortage is on the horizon in Southeast Minnesota, affecting multiple industries and posing challenges for employers. According to the Minnesota Department of Employment and Economic Development, the region is expected to witness a significant increase in the number of employees needed in food preparation and service by 2030. However, filling these positions is proving to be a difficult task due to the lack of available workers.
Jinny Rietmann, the executive director for Workforce Development, Inc. in Rochester, highlights that the shortage extends beyond the food service industry. Construction, healthcare, retail, education, public administration, transportation, and warehousing are among the sectors facing current and future workforce shortages. Hiring managers, business owners, and workforce experts all agree that finding qualified workers remains a challenge in Southeast Minnesota and across the state.
Powers Ventures, a prominent player in the food service industry in Southeast Minnesota, is among the companies struggling to find enough workers. Nick Powers, the president of Powers Ventures, emphasizes the importance of continuous hiring and investing in employee development to maintain a full roster. The company’s culture, which promotes internal promotion and values employees’ well-being, has contributed to its success in retaining staff.
The demographic trends in the region further compound the workforce shortage issue. Rietmann points out that several counties in the area are experiencing declining populations, with only Olmsted County showing substantial growth. The aging population is a significant factor, with a large portion of experienced workers nearing retirement age. This impending turnover necessitates succession plans for existing companies or the emergence of new businesses to fill the void.
The shortage of workers has far-reaching consequences for various industries. Rietmann highlights the impact on healthcare, construction, manufacturing, food service, and childcare, which, in turn, affects families unable to enter the workforce due to caregiving responsibilities. The shortage of skilled construction workers exacerbates the housing crisis in the region, driving up home prices and making it challenging to attract employees from outside the area.
Knutson Construction, known for its projects in downtown Rochester, faces similar challenges in finding qualified project managers, particularly those with experience in the medical field. The company emphasizes a strong company culture, open communication, and career advancement opportunities to retain employees. They have also been actively promoting construction careers to high school students, highlighting the potential for lucrative earnings and job security.
While efforts to guide students towards career paths instead of solely focusing on college education are underway, Minnesota’s low ratio of students to school counselors poses a challenge. However, programs like the Minnesota YouthBuild Program have been successful in equipping students with construction skills and placing a significant percentage of graduates in jobs.
Despite concerns about the work ethic of younger generations, employers like Powers have found that most young employees are willing to work hard when provided with proper training and a supportive culture.