AI and Automation: How automation is reshaping Ireland’s manufacturing workforce

According to a 2025 study by the Advanced Manufacturing Training Centre of Excellence, one of the top challenges of the Irish Manufacturing industry is the current and increasing skills shortages and talent gaps.

The global demand for advanced skills is rising rapidly, leading to significant recruitment challenges, especially in the advanced manufacturing and technology sector. Many countries, including Ireland are implementing coordinated strategies that combine educational initiatives with industry partnerships, but despite these efforts, issues such as limited diversity, low student engagement, and difficulties in filling specialised roles continue to persist. 

With vacancies across the sector, an ageing workforce, and a new generation still unconvinced about careers in manufacturing, the skills gap continues to widen, just as emerging technologies continue to accelerate. Could AI and automation offer a solution to help close that gap?

While AI holds significant potential, it's clear that technology alone won't solve the skills gap. A broader cultural shift, better educational and training options, and more inclusive recruitment practices are essential if the industry hopes is to meet future workforce demands.

Supporting skills not replacing them

AI is already transforming operations from production planning to product testing. We’ve seen examples of firms using AI-powered reconfiguration, reducing a task from 7 hours to 30 minutes. This ability to unlock time and efficiency is driving early adoption, particularly in environments where agility is essential.

However, we’re still far from full automation. The complexity and variability of materials used in manufacturing still requires human oversight, and we mostly see AI supplementing, rather than replacing manual processes. For many companies, human experience is still the validation needed in the quality assurance process.

We’ve seen how the younger workforce has adapted quickly to new tools, however, older employees have expressed concern about the pace of change and fear being left behind. The trust in AI is still low in many businesses, and senior leaders are cautious about over-reliance and continue to cross-check AI outputs manually.

A divided workforce

These differences are widening the generational divide. 

As an example, a manufacturing client of ours described how a virtual welding simulator helped attract young apprentices but experienced welders doubted its accuracy, and rejected the tool. This case demonstrates how cultural resistance remains a barrier to widespread adoption.

We believe though, that by supporting knowledge transfer and enabling hybrid workflows businesses can bridge the gap between the generations, and benefit from the experience of the older staff, while encouraging the next generation to lead innovation.

Adoption gaps and missed opportunities

Another barrier to the use of new technologies in manufacturing is uncertainty around ROI. The initial cost of AI infrastructure can be a significant hurdle for small businesses, and many companies are unaware of the potential tax reliefs and available funding options.

It’s also questionable whether organisations take advantage of advisory support or learning from their peers. Many are reluctant to share insights and showcase their experiences.

To make the most of AI, firms need the right strategy, skills and cultural mindset.

Looking ahead

Ireland’s Quantum 2030 strategy highlights the country’s ambition to become a global leader in quantum technologies, with manufacturing identified as a key sector for innovation and impact.

With quantum computing on the horizon, the pace of change will only accelerate. To remain competitive, manufacturers must stay up to date, and modernise not just equipment but working practices and organisational culture.