This video from the BBC features Linda Tool, a custom discrete parts manufacturer in Brooklyn, New York, and it sums up feelings that I’ve been hearing from small & midsized manufacturers around the US since the first of the year – rising costs are stifling recovery and growth.
Highlights from the video include:
- Business is up since the end of 2010, and Linda Tool has added staff
- Cost cutting is prevalent, but the rising costs of materials and energy are difficult to keep up with and could stall the recovery
- Many of the rising costs can’t be passed on to customers
Fact: Rising costs and regulatory pressures are keeping manufacturing companies from hiring, and could severely impact this “fragile” recovery and employment for many months.