Ford CEO cautions that there is a shortage of skilled laborers capable of building AI data centers and managing manufacturing plants: ‘No workforce to support these ambitions’

Ford CEO Warns U.S. AI Ambitions Threatened by Skilled Labor Shortage

Jim Farley, CEO of Ford, cautions that the United States may fall short of its ambitious artificial intelligence objectives if it cannot secure enough skilled workers to support the necessary infrastructure for technological advancement.

With forecasts suggesting the AI industry could reach a value of $4.8 trillion by 2033, Farley has highlighted a critical oversight: the U.S. has not adequately addressed the workforce required to construct and maintain data centers and manufacturing plants. Despite efforts such as President Donald Trump’s tariffs aimed at revitalizing factory employment, the manufacturing sector continues to struggle with hiring and retaining talent.

“The ambition is clear, but there’s no real plan to support it,” Farley told Axios in September 2025. “How can we bring manufacturing back to the U.S. if we lack the workforce to fill those roles?”

Farley’s concerns extend to what he calls the “essential economy,” which consists of blue-collar workers contributing an estimated $12 trillion to the nation’s GDP, according to the Aspen Institute. He has warned that while AI could potentially eliminate half of white-collar positions, it will simultaneously create a surge in demand for skilled tradespeople.

However, Farley points out that the workforce needed to meet this demand is currently insufficient. The U.S. faces a deficit of 600,000 manufacturing workers and 500,000 construction workers, and will require an additional 400,000 automotive technicians over the next three years, he wrote in a LinkedIn post in June 2025.

Experts have linked this labor gap to an aging workforce and restrictive immigration policies that limit population growth. Farley also attributes the issue to a general lack of public awareness.

In response, Ford recently announced it would cancel the launch of certain large electric vehicle models and convert a Kentucky battery plant to produce batteries for data centers and industrial clients.

“There’s a shared sense that America is capable of more,” Farley remarked at the Aspen Ideas Festival in June. “We need a new perspective that values the essential economy and recognizes its role in our nation’s vitality and future.”

Shortage of Skilled Labor Hits AI Infrastructure

The lack of qualified workers is already impacting the AI sector. Dame Dawn Childs, CEO of Pure Data Centres Group in the UK, notes that while demand for data centers is soaring, a shortage of construction professionals is slowing expansion efforts.

“There simply aren’t enough skilled construction workers available,” she told the BBC last year.

Data centers are also struggling to fill specialized roles due to a lack of skilled candidates. According to a 2020 survey by Uptime Institute, half of data center operators reported difficulties hiring for open positions, up from 38% in 2018. An April 2025 study found that 51% of 120 U.S. power and data center executives identified the shortage of skilled labor as a primary challenge, with over 60% naming it their top concern.

Labor Shortages Delay Major Tech Projects

Even the largest technology companies are feeling the effects of this talent crunch. Oracle has postponed the completion of several data centers for OpenAI from 2027 to 2028, citing both labor and material shortages, according to Bloomberg. Meanwhile, the need for computational data centers is expected to soar, with global capital investment projected to reach $6.7 trillion by 2030. Hyperscale cloud providers alone are anticipated to spend $300 billion in 2025.

“At first glance, this appears to be a workforce issue, and in many ways it is,” Farley told Axios. “But the reality is more complex—it’s also about awareness and societal priorities.”

Farley believes addressing the labor shortage will require policy reforms, including greater investment in vocational education, apprenticeships, pro-trade initiatives, and regulatory changes to build capacity.

“If we succeed, we’ll be able to tackle even bigger challenges,” he said. “But right now, our most immediate needs are practical—I need 6,000 technicians in Ford dealerships by next week.”

Further Reading on Jim Farley and Ford

• Jim Farley predicts that ending EV subsidies could halve the electric vehicle market, as Ford adjusts its strategy and writes down $19.5 billion.
• Ford employees told Farley that “young people aren’t interested in these jobs,” prompting him to draw inspiration from the company’s founder.
• Farley shares that the key to executive advancement lies in a specific department, citing Tim Cook as an example.

This article was adapted from a version originally published on Fortune.com on September 29, 2025.