TMA Weekly E-Newsletter – January 28, 2026

INFORMATION

Manufacturing Confidence On The Rise Again In December

After an incredibly volatile year for the sector, U.S. manufacturers close 2025 with yet another uptick in business confidence––on the back of healthy improvements in both October and November. More HERE.

Small Business Optimism Continues to Rise in December

The December Small Business Economic Trends report showed that optimism remains relatively steady with a slight increase, while uncertainty saw a dramatic fall. The December data points to small businesses anticipating favorable economic conditions in 2026. More HERE.

U.S. Manufacturing PMI Increases in January

The S&P Global U.S. manufacturing flash PMI rose to 51.9 in January from 51.8. The Manufacturing Output Index at 54.8 reached a five-month high. The composite index rose from 52.7 in December to 52.8, a two-month high, and the services index remained unchanged. More HERE.

Labor Shortage Remains Top Obstacle for Manufacturers in 2026

According to CADDi’s 2026 Manufacturing Outlook Study, 79% of manufacturing leaders report the skilled labor shortage as a major external challenge, a 7% increase over the 72% reported in 2025. More HERE.

Cutting Tool Orders Point to Stronger 2026

The order value of domestic demand for cutting tools decreased (17.6%) MoM in November, but it was up 9.9% YoY and up 1.3% YTD. Although a seasonal decline in November is to be expected, the 12-month moving average continues to trend upward according to the Cutting Tool Market Report compiled jointly by AMT and USCTI. More HERE.

Manufacturing Jobs a Better Option for Increasing Number of High School Graduates

But to make it happen, the industry needs to make some changes. More HERE.

Up to 25 Percent of U.S. Colleges May Close Soon

Brandeis Univ. President Arthur Levine predicts that 20-25% of U.S. colleges may soon close. More HERE.

Managing Local Impacts of AI-Driven Data Center Expansion

While Microsoft and Amazon implicitly suggest that hyperscale data centers need to “pay their way,” Microsoft is voluntarily asking regulators to embed that principle in future rate design through bespoke large‑load tariffs, higher prices, and direct grid investments. More HERE.

AI: Theater or Real Transformation?

The pattern of organizations rushing to deploy collaboration software without proper training is repeating with AI. According to a 2025 McKinsey & Co. study, only 21% of companies using generative artificial intelligence have redesigned workflows for how people and machines collaborate, which means 4 out of 5 companies are spending budgets on AI automation that doesn’t move core business metrics. More HERE.

U.S. DOL Issues New FLSA and FMLA Opinion Letters

The U.S. Department of Labor recently released a new set of opinion letters addressing recurring questions under the Fair Labor Standards Act (FLSA) and the Family and Medical Leave Act (FMLA). The latest batch addresses employee classification, overtime calculations, collective bargaining agreements, commission exemptions, and FMLA leave usage. More HERE.

ADVOCACY

Visit TMA’S Voter Website for Info on the March 17 Primary Election

With less than two months to go before the March 17 primary election, it’s time for TMA members to start doing their research on the candidates and making a plan to vote. Please visit TMA’s voter information page HERE to get the information you need to vote in the March 17 election, including: Why voting in the primary election is important; How to register to vote; How to request a vote-by-mail ballot.

Join us Feb. 5 for Conversation with GOP Gubernatorial Candidate James Mendrick

Please join TMA on Thursday, February 5th, at 8:00 am for a live, 30-minute virtual conversation with DuPage County Sheriff James Mendrick, one of four candidates running for the Republican nomination for Illinois Governor in the March 17 primary election. The conversation with James Mendrick will be the first in a series of virtual briefings TMA will hold with the Republican candidates for Governor in the March 17 primary election. Register HERE.

China’s Record Trade Surplus and Washington’s Financial Trump Card

China’s trade surplus has crossed a dangerous threshold. In 2025, it exceeded $1 trillion for the first time, surpassing the previous record of $993 billion. More HERE.