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There is no doubt that the United States needs more electricity. Artificial intelligence, electric vehicles, advanced manufacturing, and a growing population require it. As a major player in the technology sector, we must know - our business depends on it.
At Microsoft, we made headlines last year when we announced a partnership aimed at acquiring future electricity from a soon-to-be-reopened part of the nuclear power plant at Three Mile Island.
This part of the power plant, which fortunately has never suffered an accident, is a significant acquisition - enough to power 500,000 households. However, it is a small part of the technological needs in the future.
But there is an important part of this story that is not receiving proper attention.
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Preparing for a meeting at the White House last fall regarding the country's energy needs, I met with Microsoft leaders who are building our AI infrastructure across the country. During our discussion, I asked them to identify the main issue of expanding data centers in the US.
I expected them to mention slow permitting, delays in connecting additional power supplies, or supply chain constraints - all of these are quite serious issues.
But instead, they emphasized the national shortage of people. Specifically - electricians.
In many ways, this is not surprising. If you visit the construction site of one of our large data centers, one of the most noticeable aspects is the large number of electricians at work. They are an integral part of building the data center, installing a massive - and very complex - system of electrical panels, transformers, and backup power sources such as generators and battery energy storage.
In states such as Wisconsin, Washington, Virginia, Georgia, Texas, Iowa, Wyoming, and Arizona, where Microsoft has invested billions of dollars in building infrastructure, we have hired thousands of electricians. But it is not enough.
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Due to local staffing issues, we employ some electricians who travel as much as 75 miles or even temporarily relocate from across the country to fill these critical positions.
This has forced us to closely examine the current national need. How many new electricians does the US need to train and prepare over the next decade?
Our best estimate?
Perhaps half a million.
According to the Bureau of Labor Statistics, there are currently 780,000 active electricians in the US, with another 80,000 job openings.
Additionally, the National Electrical Contractors Association reports that the average age of electricians is over 40 years. Nearly 30% of union electricians are aged 50 to 70. It is reasonable to assume that each year, 20,000 electricians will retire, resulting in a loss of 200,000 over the next decade.
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Furthermore, we anticipate that the demand for more electricity will compel the country to add 30,000 electricians annually to the total. Or another 300,000 over the next decade, against the backdrop of 200,000 retiring electricians that need replacement.
The good news is that these are good jobs.
The troubling news is that we have no national strategy for attracting and training people for these positions.
Given the Trump administration's commitment to supporting American workers, American jobs, and American innovation, we believe that attracting and training more electricians should be on the priority list. There are several ways to address this issue that deserve attention.
For example, we need to do more as a nation to revitalize technical classes and vocational training in American high schools. When I was a student at Appleton West High School in Wisconsin in the 1970s, there were many such classes and they were popular. But across the country, they began to decline in the 1990s and are only just starting to see well-deserved revitalization.
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This must be a priority for local school boards, state governments, and appropriate federal support.
Equally critical are opportunities for post-secondary education. This includes community colleges across the country and labor training programs. The Trump administration should consider allocating existing federal educational funds, training programs, and tax incentives to expand these opportunities.
We also need better forecasting. This will require more formal partnerships between business and organized labor so that we all understand the projected labor force needs.
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We also need to take a broad view of developing new technologies. The technology sector often focuses primarily on computer and research-based roles - people who write code. But the future will also be built in critical ways by a new generation of engineers, electricians, plumbers, welders, carpenters, and other skilled tradespeople.
This is all important, well-paying American jobs that will help build a more prosperous future.
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