WASHINGTON – Northrop Grumman CEO Kathy Warden stated the continuing labor scarcity plaguing the nation was a main focus for America’s protection enterprise.
“When I think about the challenges that we all might face going into next year, the labor shortages that we’re seeing are suddenly one that’s top of mind,” Warden informed CNBC’s Morgan Brennan in an unique interview on the sidelines of the Reagan National Defense Forum in Simi Valley, California.
“We have seen an increase in demand for the kinds of skills that we need to support our work at the same time that we’ve seen labor participation rates go down,” Warden stated, including that workforce was her “primary focus” in 2022.
Warden’s feedback come on the heels of a jobs report that exhibits the U.S. financial system created far fewer jobs than anticipated in November. In an handle Friday, President Joe Biden glossed over the nation’s weak jobs report and as a substitute centered on the low unemployment price, which fell from 4.6% to 4.2%.
Warden additionally expressed issues about ongoing disruptions to the worldwide provide chain, triggered partly, by the coronavirus pandemic.
Along with labor shortages, Warden stated that the protection big noticed transport delays and chip shortages throughout its third quarter, in alignment with rising an infection charges as a result of emergence of the Delta variant. When requested concerning the Omicron variant, Warden defined that the protection trade will adhere to a playbook developed over the course of the coronavirus pandemic.
“We’ll continue to navigate through these COVID-related impacts,” she stated, including, “The industry has been able to do that over the last 21 months and we anticipate we’ll be able to do that going forward.”
Year-to-date the corporate’s inventory worth has jumped about 20%.