Closing the Skills Gap: Why Young People Are Choosing Skilled Trades Over Traditional Careers

Over the past few years, heavy industries and skilled trades have grappled with rising labor shortages. However, recent trends suggest the tides may finally be turning. Many young people are pursuing trade schools and physical lines of work over conventional colleges and white-collar careers.

Much of the current contracting workforce is aging. Firms must focus on the next generation to fill the gaps current employees will leave behind when they retire. While that has proved challenging in the past, the labor market may sway in these industries’ favor if current trends persist.

How Popular Are Skilled Trades Among Gen Z?

The number of students enrolled in a vocational school has increased by 16% since 2020. While that may not seem like a significant increase, it’s a promising trend for sectors that have largely dealt with declining interest in recent years. It’s worth noting that enrollment at four-year institutions has not reflected the same growth.

Younger professionals’ shift toward blue-collar jobs is evident in more than school activity. A 2024 report from home services app Thumbtack found that 55% of Gen Zers are considering a career in a skilled trade, compared to 43% in 2023. Much of that shift seems to stem from growing social media attention, as 77% of Gen Zers say they’ve seen more posts about these fields on social platforms.

This growth has showcased a more equal gender balance among those interested in skilled trades compared to previous generations. According to Thumbtack, 52% of Gen Z women are considering these careers, nearing the 57% of men who say the same. 

Interestingly, even Gen Zers who have already pursued a traditional career express more appreciation for blue-collar work. A staggering 93% of Gen Z college graduates say learning a trade is a better path to economic security than college.

Why Are Skilled Trades Growing in Popularity?

Gen Z’s shift toward skilled trades is more than just a matter of social media representation. It comes from several factors, including growing uncertainty over conventional career paths and the rise of artificial intelligence (AI) in office jobs.

Over the past few decades, a four-year degree has largely become the societal norm for how people start their careers. However, economic factors may leave some young adults feeling disenchanted about this option. Rising tuition and inflation have led to increased borrowing, leaving Americans with $1.62 trillion in student debt in 2024—$14 billion more than just one year prior.

Many graduates have also become uncertain about their prospects of landing a higher-paying office job to make up for their education-related debt. A Pew Research study found that 35% of Americans between 25 and 39 with a bachelor’s degree and outstanding debt say their degree’s benefits were not worth the expense.

Because trade schools and apprenticeships are often more affordable than a four-year college, Gen Z may see them as a promising financial alternative. Growing demand in industrial sectors may also make the return on investment look better compared to a highly competitive white-collar job market.

The growth of AI in office work has also incited fears and doubts over job security in these industries. As many as 75% of U.S. employees express concern that AI will make some roles obsolete, and 65% worry that AI will take their jobs. While this concern applies across all generations, Gen Z showed the most aversion to AI, being the least likely to use it at work or believe it will make them more efficient.

Blue-collar work—while still automatable to an extent—involves fewer tasks that AI can manage. Consequently, it may offer security amid growing AI-related job anxiety. 

How Can Contractors and Firms Respond?

These trends are promising for employers in hands-on industries. Many of these fields have been struggling with labor gaps—the US faces a shortage of 400,000 welders alone—so rising interest from young people could provide much-needed relief. However, this does not mean contractors and firms will automatically see a growing workforce.

More Gen Zers may be interested in skilled trades than Millennials and Gen X, but this generation also has different expectations of their employers. Consequently, industries must adapt to cater to this new audience to resolve skills gaps.

Ensuring social responsibility as a company and on the jobsite is crucial. A significant 72% of Gen Z workers say working for a business with values aligning with their own is “very important.” Sixty-eight percent said the same about diversity, equity and inclusion. Firms implementing protocols addressing bias and inequity in the workplace may appeal more to this generation.

Schedule flexibility and the ability to work autonomously are also important to younger professionals. Consequently, moving away from the conventional workweek and giving workers more autonomy after training could effectively attract applicants.

Slanting Younger Will Drive the Industry Forward

Blue-collar employers and lead contractors may need to aim younger when filling labor gaps. This trend will likely take time to have a substantial impact on skilled trade employment, but it is a promising shift. Learning how to take advantage of it will help hands-on industries thrive in the future.

Ellie is a freelance writer living in Raleigh, NC. She's always been passionate about how science and technology impact our lives, and she focuses on covering the latest innovations in those spaces. When she's not writing or working as the Associate Editor for Revolutionized, you can find her spending time with her husband and their two cats.