Manufacturing recruitment trends in Europe are beginning to show signs of improvement, with recruitment activity picking up in some areas, investment returning and many businesses starting to look ahead again. But rising costs, skills shortages and economic uncertainty mean manufacturers are still approaching recruitment carefully.
But is the picture really that positive?
We spoke to our Managing Director, Sandra Hill, to find out what she’s seeing across manufacturing recruitment in the UK and Europe. Having worked with manufacturing businesses across the UK and Europe for decades, Sandra has a front-row seat to the challenges employers face when recruiting senior leaders, experienced engineers and specialist talent.
Here’s what she had to say.
Manufacturing Is Recovering – But Businesses Are Still Being Careful
While there are more vacancies than there were a year or two ago, Sandra doesn’t believe manufacturers are entering a period of rapid expansion.
“I think there is a rebound, but I don’t think manufacturing is expanding as much as people think. The costs of running a manufacturing site, not just in the UK but across Europe, have increased. Then you’ve got the issues in the Middle East pushing up oil prices, which only adds to those costs.”
For many manufacturers, the challenge isn’t a lack of ambition. It’s balancing investment with rising costs.
Sandra believes employers are taking a much more measured approach to manufacturing recruitment than they were before. Rather than hiring because they expect growth, they’re recruiting where they know the business needs additional capability.
She also pointed to the construction sector as an example of how quickly circumstances can change.
“The construction industry geared itself up for growth because of the number of houses the Government wanted to build in the UK. That growth hasn’t happened, and now you’ve got businesses going out of business because they invested for demand that never arrived.”
For manufacturers, careful planning has become just as important as confidence. Hiring decisions increasingly need to support a clear business strategy rather than simply anticipated growth.
Investment Is Returning to European Manufacturing
Although businesses are being cautious, Sandra has also seen encouraging signs across the European manufacturing sector.
Private equity investment is bringing new life to manufacturing businesses that have often been overlooked.
“Private equity firms are seeing Europe as an opportunity to invest because they can buy businesses at a reasonable price and then bring in change to deliver growth.”
She believes many of these businesses have spent years without the investment needed to modernise.
“A lot of these businesses were just left. They were seen as cash cows inside larger organisations instead of receiving investment.”
That is beginning to change.
“We’re seeing businesses being bought, invested in and transformed. A number of companies we’ve worked with have received tremendous investment after changing ownership.”
Sandra says much of this investment is coming from American and Chinese organisations that see long-term value in European manufacturing.
For businesses undergoing investment and transformation, having the right leadership and specialist skills in place is becoming increasingly important.
The Manufacturing Skills Gap Isn’t Getting Any Easier
Finding experienced engineers has always been difficult, but Sandra believes the manufacturing skills shortage has become much more specialised.
“There are specialist engineers that everybody wants, particularly those geared towards AI and new technologies. The problem is there are so few people with those skills.”
The bigger issue, she says, is that many businesses haven’t adjusted their expectations.
“People are trying to pay them the same as their other engineers, and you can’t do that. You’ve got to pay an additional £10,000 or £15,000 if you want to attract those people.”
Money matters, but Sandra says it isn’t enough on its own.
Candidates want to know they’re joining a business with a future.
“They have to see there’s a long-term strategy for growth. They want to feel excited about what they’re going to be doing and know the business is investing in its future.”
The manufacturers attracting the best engineering and specialist talent are the ones that can explain where they’re heading, what they’re investing in and why talented people should want to be part of it.
How Manufacturing Leadership Roles Are Changing
Sandra believes one of the biggest changes she’s seen is in the expectations placed on senior manufacturing leaders.
Operational knowledge is still essential, but it isn’t enough.
“Managing Directors and CEOs aren’t just focusing on operations or supply chain anymore. They’re focusing on the commercial side of the business as well.”
That means understanding customers just as well as production.
“They’re asking, ‘What’s our customer approach? How are we retaining customers?’ That’s not just the responsibility of sales anymore. Senior leadership has to own that too.”
For businesses recruiting Managing Directors, CEOs and other senior manufacturing leaders, the brief is becoming broader. Employers increasingly need leaders who can combine operational expertise with commercial awareness and an understanding of customers.
The businesses performing well are those where engineering, operations, production, supply chain and sales work together instead of operating as separate departments.
Manufacturing Recruitment Still Needs More Structure
When the conversation turned to recruitment, Sandra was quick to identify one mistake she still sees too often.
“I’ve heard people say, ‘I’ve known him for ten years, so I thought he’d do a good job.’ But there’s a big difference between knowing somebody as a friend and knowing them as an employee.”
Sandra believes manufacturers need to spend more time assessing people properly.
“It’s about having a robust process. You have to assess people properly, not just sending CVs forward.”
At The Hill Group, candidates complete detailed interviews, assessments and preparation before they’re introduced to clients.
“They often spend more time with us than they do with the company that’s interviewing them.”
That additional time gives clients greater confidence that the people they’re meeting are the right fit for both the role and the business.
For senior and specialist manufacturing recruitment in particular, a structured process can help businesses look beyond a candidate’s CV or existing relationships and assess whether they have the skills, experience and approach the organisation actually needs.
Retaining Manufacturing Talent Starts on Day One
Recruitment doesn’t stop once someone accepts an offer.
Sandra believes the first few days and weeks often determine whether someone builds a long-term career with a business.
“That first week is really important. People need to meet the team, understand the business and feel like they belong.”
She shared one example that has stayed with her.
“I placed a Managing Director with one client, and at the end of the first week they invited the family to a barbecue. Everybody was there. It was a fantastic way to make them feel part of the business.”
It’s a simple idea, but Sandra says it demonstrates something many businesses overlook.
“It’s about thinking about what they want, not just what you want as a business. Make people feel part of the family.”
Those small details often determine whether someone feels they’ve joined another employer or found somewhere they genuinely want to build their future.
With specialist manufacturing talent increasingly difficult to find, attracting the right people is only part of the challenge. Businesses also need to create an environment that gives them a reason to stay.
Sandra’s Advice for Manufacturing Businesses
To finish our conversation, I asked Sandra what advice she would give manufacturers planning for the next five years.
Her answer came without hesitation.
“Make sure you’ve got your strategy in place. Make sure you’ve done the transformation that’s needed on the shop floor.”
But strategy alone isn’t enough.
“Operations, supply chain, production, engineering and sales can’t work in silos. Everybody has to be working towards the same goal. The more you’ve got people working together, the more the business will achieve success.”
It’s a simple message, but one that reflects everything we discussed.
The manufacturers recruiting successfully today know where they’re going. They’re investing in their businesses, they’re realistic about the talent they need, and they’re prepared to spend the time getting recruitment right.
As Sandra made clear throughout our conversation, finding good people has never been more important, but creating an environment where they can succeed is what really sets businesses apart.