Hartford conglomerate United Technologies Corp. isn’t the only major manufacturer in Connecticut, but the company will hold significant sway over its suppliers and market competitors in 2015. With new CEO Greg Hayes taking over for Louis Chenevert, the company launching its $5 billion agreement with the state to solidify its Connecticut footprint, and subsidiaries like East Hartford aerospace manufacturer Pratt & Whitney beginning a significant production ramp-up, the changes at UTC will have a major trickle-down effect on the industry. This comes after the company completed a major reorganization over the last two years following its $16 billion acquisition of North Carolina aerospace manufacturer Goodrich Corp.
While Connecticut community colleges and technical-vocational schools are making changes to produce more employable manufacturing employees, workforce development will remain an issue for the industry. A strong and knowledgeable workforce remains a deciding factor on why manufacturing companies choose to operate in Connecticut, and the average age of the existing workforce hovers in the high 50s. With the majority of the workforce nearing retirement age, employers are going to need more hires with the skill sets to handle increasingly complex equipment and production assignments.
Exporting was the hot topic five years ago when the Obama Administration launched its National Export Initiative to double the country’s exports in five years. Connecticut responded strongly through 2013, but the state’s exporting plateaued last year. The U.S. Department of Commerce will continue to push Nutmeg State manufacturers toward exporting, particularly to new areas of the globe.
In the meantime, foreign investment has played an increasing role in Connecticut manufacturing with South Korean conglomerate Doosan taking over the South Windsor fuel cell operations of ClearEdge Power and Chinese solar installer Zhenfa Energy Group taking over a controlling interest in Enfield solar manufacturer STR Holdings.
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