DOE Pushes for EV/Battery Workforce Growth—But the Jobs Aren’t There Yet

The Biden-Harris Administration has announced a significant $50 million investment to bolster domestic electric vehicle (EV) manufacturing, targeting small- and medium-sized suppliers in six states with strong automotive workforces. This initiative, part of the Department of Energy's (DOE) $2 billion Domestic Automotive Manufacturing Conversion Grant program, is designed to help these suppliers retool their facilities for EV component production, preserving high-quality union jobs in traditional auto communities.

Eligible grantees must be a state, territory, or the District of Columbia, have a workforce at least 0.5% of which is in the automotive sector, and qualify for at least $4 million of grant funding, the DOE stated. Under those criteria, six states are eligible:

States have until October 15, 2024 at 5:00 pm ET to submit an application.

In addition to these grants, the DOE is advancing workforce development through the expanded Industrial Training and Assessment Center (ITAC) program. Led by teams from Purdue University, the University of Michigan, and the University of Illinois, the ITAC program will create a Small Supplier EV Transition Playbook. This resource will help suppliers pivot from internal combustion engine components to the EV market, reinforcing the DOE’s broader strategy to support the long-term success of America’s manufacturing communities.

Michael Berube, DOE’s Deputy Assistant Secretary for Sustainable Transportation and Fuels, emphasized the importance of this effort, stating, "American leadership in the global battery supply chain will be based not only on our innovation but also on our skilled workforce of engineers, designers, scientists, production workers, and technicians." The DOE’s goal is to ensure that the workforce which powered the U.S. auto sector for the past century can shape its future for the next hundred years.

The Battery Workforce Challenge program

Further enhancing this workforce development is the DOE’s Battery Workforce Challenge, launched in partnership with Stellantis in March 2023. This program includes a three-year collegiate engineering competition, vocational training, and youth STEM education. It aims to cultivate the next generation of battery engineers and technicians, providing them with the practical experience necessary to thrive in the evolving EV industry.

The first year of the challenge concluded with a team from Colorado School of Mines and Arapahoe Community College winning top honors. The competition, which involved designing EV battery packs, demonstrates the DOE’s commitment to hands-on education. As the challenge enters its second year, students will begin building and testing their battery packs in Ram ProMaster electric vans, preparing them for real-world applications.

The battery industry is reportedly facing a shortage of skilled workers. Eakgrunge / iStock / Getty Images Plus

Michigan's job market struggles to keep pace

While the DOE's initiatives signal positive steps for the future, immediate challenges remain, particularly in the state of Michigan. Despite the state's investment in EV workforce development, including the creation of the EV Jobs Academy and substantial clean transportation funding, job creation has lagged behind expectations. A Bridge Michigan analysis revealed that the state’s recent $1 billion investment in five battery and EV production plants has generated only 200 jobs—far below the projected figures.

Moreover, enrollment in Michigan’s EV technician training programs has been underwhelming. Despite the availability of tuition grants, the programs have attracted only about 220 students out of a targeted 2,000 by 2026. The scarcity of interested students and skilled instructors raises concerns about whether these programs will meet the industry's needs. As Adriana Phelan from the Michigan Community College Association told Bridge Michigan, "There is a scarcity of expertise in this new space...The general challenge will be the recruitment of students into these programs and attracting the younger generation to really be interested in working in the EV industry."

The disparity between the promise of future jobs and the reality of the current job market underscores the uncertainty facing workers and communities as the EV industry evolves. While federal efforts lay the groundwork for long-term growth, Michigan’s experience highlights the immediate obstacles that must be addressed to ensure these initiatives translate into tangible benefits for workers on the ground.