Arlington, Va.– A new study by the Aerospace Industries Association (AIA) and PwC released today reveals how the aerospace and defense (A&D) industry’s workforce is evolving and adapting to the changing demands and opportunities of the 21st century.
The study – based on insights from A&D business leaders and talent executives, data from across the American workforce, and PwC analysis – shows that the industry’s values and mission are highly attractive to potential employees, but also that the industry needs to invest in innovative solutions, leadership development, skills growth, and diversity, equity, and inclusion to retain and empower its talent.
“The workforce is the cornerstone of the aerospace and defense industry’s success, and we’re proud that our industry’s values and missions continue to be a draw for potential employees,” AIA President and CEO Eric Fanning said. “Amid strong demand across all sectors, A&D companies still face dynamic challenges related to workforce cost, capacity, capability, and compliance. The Aerospace Industries Association and PwC’s new study will be a valuable resource for the industry – benchmarking where we are today, identifying opportunities ahead, and offering new solutions to companies navigating this complex landscape.”
Key highlights from the report:
- Employee perceptions of the A&D industry are strong. 72 percent of employed individuals surveyed agree that the A&D industry’s values, purpose, and mission align with their own. This figure rises to 81 percent among those already employed within the industry.
- Leveraging technology-enabled business transformation is critical. Nearly half of A&D employees express concerns about inadequate tools and technologies. To overcome this, A&D companies should adopt innovative solutions, improve work processes, and foster engagement in the workplace.
- Developing leadership capabilities can promote employee-led innovation. Only about half of managers and supervisors in the A&D industry feel empowered to drive change, compared to nearly 80 percent of people leaders across all other industries. Investing in leadership capabilities aligned with industry goals can boost operational results and empower the workforce.
- A&D companies have an opportunity to reimagine employee development and skills growth. While the industry expects retirements to peak within the next several years, approximately 43 percent of the total A&D workforce has been with their current company for less than five years, highlighting that a key transition in the workforce DNA is taking place. Strengthening upskilling programs for both new hires and experienced employees will enhance engagement and talent retention
- Over half (69 percent) of A&D companies are prioritizing diversity, equity, and inclusion (DEI). In 2023, the A&D industry saw incremental increases in women ascending to executive roles and among engineers identifying as Black or African American and Hispanic or Latino.
Click here to access the full report.
As the leading voice advocating for the 21st century workforce needs for the A&D industry, AIA regularly releases A&D industry workforce data. The results of our 2023 Aerospace & Defense Workforce Study can be found here.
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