Open-shop scheduling in smart manufacturing requires both rapid rescheduling and high equipment availability. However, most model predictive control (MPC) schedulers assume perfect machine reliability. This leaves predictive maintenance (PdM) as an external problem, separate from the dispatcher’s control. This paper introduces a degradation-aware MPC (D-MPC) for unrestricted open shops. Our approach makes Remaining Useful Life (RUL)-triggered maintenance an internal endogenous part of the scheduling decision. We use a two-level architecture. T...