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Skills gaps. You’ve read headline after headline about the impending doom of or a shortage in skilled workers, a problem that will only worsen over the next decade or so.
Is the outlook as dire as it seems?
Here’s a look at which industries will be most affected, and what can educators and industry do to address the problems head on.
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Manufacturing
Deloitte predicts that U.S. manufacturing will see a shortage of 2 million workers by 2020 in areas ranging from engineering to production workers.
Deloitte’s research shows that while 80 percent of manufacturing executives report they are willing to pay higher salaries than the market rates in workforce areas facing the talent crisis, the industry suffers from an inability to fill positions quickly.
This is because, they say, it takes more than 90 days to recruit highly-skilled workers, such as engineers and scientists, and an average of 70 days to recruit skilled production workers.
One possible solution to alleviate this time intensive recruitment process is to partner with local community colleges and technical schools.
By teaming up with an educational institution, companies can essentially custom build the curriculum for a particular manufacturing career pathway. While the school receives equipment, guidance and mentorship/internship opportunities for their program, industry partners get a recruitment program stock piled with college graduates that understand the unique ins and outs of their business and are ready to hit the ground running once hired.
Skilled Trades – Electricians and Machinists
According to an April 2016 report from The Conference Board, the U.S. will experience a labor shortage that will disproportionately affect several industries. The Conference Board developed an index that helps companies forecast their risk of labor shortages in the U.S. and Europe.
Coming in at the top 10 list on this index? Electricians and machinists. Other high risk jobs like plant and system operators and rail transportation workers also appear further down on the list.
This is primarily due to a large numbers of workers retiring, but fewer young people choosing these careers. Also, these jobs are difficult to offshore or fully automate.
The fact that fewer young people are choosing these careers comes down to the fact that Career and Technical Education (CTE) – or technical training – still carries a negative connotation. Educators and industry must work together to combat the poor reputation of skilled trades so that young people can feel comfortable getting excited about these fulfilling career pathways.
HVAC-R
The HVACR Workforce Development Foundation predicts that 115,000 heating ventilating, air conditioning and refrigeration (HVACR) technicians will be needed by 2022 in the U.S.
However, increased growth in the HVACR sector combined with the ongoing retirement of Baby Boomers is contributing to yet another skills gap. Economic Modeling Specialists International (EMSI) calculates that 12.4 percent of the HVACR workforce, or about 39,326 workers, are nearing retirement age (ages 55-64), which could have huge implications for this gap.
Furthermore, HVACR programs in technical and community colleges are not filling the need to meet this current and future demand. In a survey of instructors from the HVACR Workforce Development Foundation, we learn that contributing factors include:
- There are too many empty seats in HVACR classrooms
- Technical schools are not training enough students
- There are no clear credentials or accreditation programs
- Many instructors are also retiring causing a teacher shortage
- Too many students are unprepared for training programs.
- Student recruitment and retention practices are lacking
- Schools can do more when it comes to recruiting women and minorities into HVACR training programs
No matter the skill or trade, educators are facing an uphill battle when it comes to filling the skills gaps of the future. How is your program addressing these issues?
