Boating Industry: The Workforce Crisis

The boating industry is currently facing a massive labor shortage. While news headlines highlight the lack of any blue-collar jobs, marine sector experts face a different reality: there is no one to fill the jobs available. Without the professionals who build and service boats and their parts, the industry cannot continue to grow. In this article, we will take a closer look at the challenges that the boating industry must overcome, as well as explore potential solutions. As your clients work through this challenging time, ensure they are protected with a customized Marine Manufacturers Insurance Program.

In a survey taken last year, 71 percent of Boating Industry respondents stated that they were looking to add team members in 2017. Sixty-six percent of boat and engine manufacturers were trying to add employees this year, while more than 70 percent of dealers said the same. However, 96% of manufacturers and 93% of dealers reported a struggle to fill open positions.

The issue lies in a lack of interest and skill sets from candidates. In fact, many dealerships and manufacturers that interviewed applicants found that they were not only unqualified, they lacked the basic skills necessary to perform their jobs. In addition, college-aged workers often don’t graduate with the intent on working on manufacturing. This, combined with the lack of skills, has created a struggle for the boating industry.

The solutions, as reported by industry professionals, are flawed. While there are plenty of government sponsored programs, they are not structured in a way that small businesses can take advantage of, explains NMMA President Thom Dammrich. What’s more, dealerships and manufacturers have a need for students to have a better grasp of their duties and understand the business thoroughly, for which they are unprepared. On the other hand, graduates expect higher pay for entry-level positions based on supply and demand. Therefore, there is a divide between expectation and reality for the applicants and the businesses within the boating industry.

Employee training is another aspect of this hurdle for this sector. On the dealer side, 30 percent of respondents said they don’t budget for employee training, and the average dealer spends $574 per employee per year on training. In the Boating Industry survey last fall, 33 percent of respondents across the industry said they spend less than $500 per employee on training, 38 percent spent $500 to $1,000 and 30 percent spent more than $1,000, states the article.

In our next post, we will discover some of the ways that the boating industry can overcome these significant challenges.

About Merrimac Marine Insurance, LLC

At Merrimac Marine Insurance, LLC, we strive to protect your clients’ shipyards and other commercial marine businesses. Our coverage, backed by years of expertise and excellence, seeks to provide a personalized experience for our clients. For more information on how our products can serve your clients, contact us today at (888) 344-1687.