Aerospace Workforce

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John W. Douglass President CEO
Aerospace Workforce Development Challenges The
University Space Research Association The NASA
Academy for Program and Project
Leadership Columbia, Maryland December 9, 2003
2
Aerospace Industry Outlook
3
The Aerospace Industry Today
Economy...
Security...
Terrorism...
Afghanistan...
Iraq...
The crisis continues...
4
Aerospace Industry Sales
154.2
175
153.4
147.1
153.7
153.1
148.2
144.7
150
138.4
51.3
52.9
43.3
125
31.5
47.6
Civil
Aircraft
100
23.1
24.7
Related
25.5
25.6
Billions of Current Dollars
24.1
Products
75
39.3
Military
36.9
35.0
35.8
34.0
Aircraft
50
Space
31.9
30.8
30.9
25
30.5
29.7
Missiles
12.7
12.4
9.3
10.4
8.8
0
1999
2000
2001
2002p
2003e
5
US Government Share of Industry Sales
70
60
50
40
of Total Sales
30
20
10
0
1987
1989
1991
1993
1995
1997
1999
2001
2003
6
Federal RD (DoDNASAFAA)
80,000
70,000
60,000
50,000
Millions of Dollars
40,000
30,000
20,000
10,000
-
1984
1988
1992
1996
2000
2004
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Aerospace Foreign Trade
Exports
Imports
Surplus
70
60
50
40
Billions of Current Dollars
30
20
10
0
1983
1985
1987
1989
1991
1993
1995
1997
1999
2001
2Q034
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AIA At Work Election 2004 Issues
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AIAs Election Issues for 2004
Develop a U.S. Leadership Plan to Improve the
Capability of the Global Aviation System
Commit the U.S. Government to Fundamental
Reform of the U.S. Export Licensing
Process Promote Increase in U.S. Intelligence
Capability Improve U.S. Aerospace and Defense
Industrial Cooperation with Americas
Allies Develop a Federal Plan for Revitalizing
the U.S. Aerospace Workforce and Sustaining
Manufacturing Jobs Increase Federal Funding for
Aerospace RD Commit to Replacing the Space
Shuttle with a Modern Human Space
Transportation System
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Congress Administration AIA
Washington Process
Post-Colombia NASA Authorization (Planned)
FY05 Approps. Mark-Ups
Adjournment
FY05 Budget Submission
Congress Reconvenes
FY04 Approps. Energy Reform Iraq Supp.
Election Day (November 2)
J
N
N
Jan. 2004
A
S
D
F
M
M
J
S
O
D
O
A
2005 POM starts
August Recess
FY05 Approps. Completion
Targeted Adjournment
FY05 Authorization Mark-Ups
Election Day (November 2)
NH Primary
N
J
N
D
S
D
Jan. 2004
F
A
M
J
O
A
S
O
M
Iowa Caucuses
Super Tuesday Primaries
GOP Convention
Democratic Convention
N
J
N
S
O
D
Jan. 2004
F
A
M
A
S
D
M
O
J
ExCom Meeting
04 Issues Completed
Wburg. Meeting.
Phoenix Meeting
ExCom Meeting
ExCom Meeting
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The Issue

• For a variety of reasons the U.S.
• Aerospace Workforce is

• Losing Technical
• Talent
• Aging

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"Aerospace" Employment
1,200
1120.8
1,000
741.1
800
665.8
(in thousands)
600
672.1
616.8
570.7
400
200
0
1990
1992
1994
1996
1998
2000
2002
Mar-02
Jun-02
Mar-03
Jun-03
Sep-01
Dec-01
Sep-02
Dec-02
Sep-03
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RD Scientists Engineers Employment
in
Aerospace
and as
of all Industries
160
35
140
30
120
25
100
20
(in Thousands)
80
Aerospace as of All Industries
15
60
10
40
5
20
RD Scientists Engineers
of All Industries
0
0
1957
1960
1963
1966
1969
1972
1975
1978
1981
1984
1987
1990
1993
1996
1999
2002
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Commission on the Future of the U.S. Aerospace
Industry

• The Commission on the Future of the U.S.
  Aerospace
• Industry generated workforce recommendations
  setting
• the stage for addressing both the short-term
  crisis and
• the long-term needs of the industry
• A National Plan is needed to ensure an integrated
  and
• effective response to the crisis A
  priority set by AIA leadership
• Industry commitment to this
• initiative is critical to its success

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Workforce Commission Recommendation 8

• The Commission recommends
• the nation immediately reverse the decline in,
  and promote
• the growth of, a scientifically and
  technologically trained
• U.S. aerospace workforce. In addition, the
  nation must
• address the failure of the math, science
  and technology
• education of Americans. The breakdown of
  Americas
• intellectual and industrial capacity is a
• threat to national security and our
• capability to continue as a world leader.

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Workforce Commission Recommendation 8 (contd)

• Congress and the Administration must therefore

• Create an interagency task force that develops a
  national strategy on the aerospace workforce to
  attract public
• attention to the importance and
  opportunities within the aerospace industry
• Establish lifelong learning and individual
  instruction as
• key elements of educational reform and
• Make long-term investments in education and
  training with
• major emphasis in math and science so that
  the aerospace
• industry has access to a scientifically and
  technologically
• trained workforce

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Aerospace Commission Workforce Priorities
First

• Immediate establishment, by Presidential
  Executive Order, of
• an interagency Aerospace Workforce Task
  Force. This task
• force chaired by a single agency, should
  also include
• aerospace industry, professional education
  representation,
• and state/local government
  representation.(See last chart, National
  Response to Workforce Crisis Architecture)
• The government should develop a national strategy
  to
• attract public attention to the importance of
  and
• opportunities within the aerospace industry
• Address the immediate and critical national
  crisis in
• K-12 education

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Aerospace Commission Workforce Priorities
(contd)

• The Nation should make investments in
  vocational
• education to develop workforce skills needed
  by
• industry
• The government must make substantive, long-term
• investment in education and training at the
• undergraduate and graduate levels with major
• emphasis on mathematics and the sciences.

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Aerospace Commission Workforce Priorities
(contd)

• Agreement to develop implementation plan
• Joint Government and Industry planning process is
  needed to ensure that attention is paid to areas
  where skill sets would disappear if
  government/DoD did not support a segment of the
  aerospace industry
• Government and industry should work together to
  develop and implement training and exchange
  programs that would educate and expose their
  workforces to their respective challenges and
  responsibilities.

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AIA Workforce Initiative Next Steps

• AIA, with other interested stakeholders, has
  formed four working group teams to address the
  issues related to the aerospace workforce
• Government Coordination - Emily Stover
  DeRocco, Assistant Secretary of Labor, Employment
  and Training Administration, Chair
• Education, Training States Initiatives - Tim
  Huddelston, Aerospace States Association and
  Sandy Carney-Talley, AIA, Chairs
• Legislative Workforce Group - Brad Wiggins,
  Lockheed Martin and Pat McCartan, AIA, Chairs
• Communications Workforce Group - Carole Hedden,
  Aviation Week and Alexis Allen, AIA, Chairs

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Discussion Summary

• Diminishing engineering resources entering the
  Aerospace Industry
• Need programs that focus on generating
  interest in engineering at lowest educational
  level possible
• Other ongoing projects such as Boosting
  Engineering, Science
• and Technology (BEST) should be supported by
  campaigns and donations from industry

• Industry crisis continues to call for increased
  RD
• investment and efficient, secure, safe air
  transport system
• Aerospace Commission report continues to
  influence Washington
• 2004 political strategy is on target

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