Industry-Based Credentials Offer Manufacturing Workers Alternative Education Pathway

Earning a manufacturing credential may increase your earnings and prospects of getting work in manufacturing even without a college degree, according to new U.S. Census Bureau research conducted in collaboration with the National Association of Manufacturers, Manufacturing Institute and National Student Clearinghouse.

What is a manufacturing credential?

Industry credentials are formal documentations by an industry organization of a participant’s skill attainment. In the case of manufacturing, industry groups provide guidance on which competencies are needed to perform different manufacturing jobs, such as machining or welding.

Manufacturing credentials are typically earned through courses offered at community colleges or on-the-job training, with each type of training culminating in an exam.

Manufacturing workers who earn an industry credential on average earn $2,000 more annually and are more likely to be employed than those who did not earn a credential.

Research shows a college degree increases potential earnings. But tuition costs of a four-year postsecondary degree have risen substantially. As a result, some workers seek other, less expensive types of education to gain a leg up in the labor market.

A recent paper — coauthored by Census Bureau researchers Maggie R. Jones, Nikolas Pharris-Ciurej and John Voorheis, Vanessa Brown (formerly with the National Student Clearinghouse) and Gardner Carrick (National Association of Manufacturers) — examines the impact of industry-certified manufacturing credentials on wages and employment in the manufacturing sector.

The findings: Manufacturing workers who earn an industry credential on average earn $2,000 more annually and are more likely to be employed than those who did not earn a credential.

Although manufacturing workers benefited most from industry credentials, we found those in wholesale, retail and other industries also had wage and employment benefits.

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