The skills gap controversy
Dr. Amanda N. Gibson, DBA
Recent studies find about 39 percent of US young work force
either under-employed or unemployed, and forecast a likely increase of this
percentage. In same time, according to Growth 2012 Talent Shortage Survey, 49 percent of employers struggle to
fill jobs. The issue is by no means a local one: A recent Canadian Council of Chief
Executives report said the country is falling behind in the global skills race.
The Canadian Chamber of Commerce estimates that, by 2016, there will be 550,000
people unable to find work and at least as many postsecondary graduates working
in low skills jobs. At the same time, there will be 1.5 million vacancies for
skilled jobs, and from there the gap will continue to widen (http://www.theglobeandmail.com/report-on-business/employers-need-to-step-up-to-fill-skills-gap/article14181068/).
In
UK there are also worries about decreased economic growth. Askar Sheibani, CEO of Comtek, chairman
of the Deeside Industrial Park, and Entrepreneurship Champion for Wales, warns:
"The UK is suffering a severe mismatch in the skills required by employers
and those held by potential employees leaving education…. This skills shortage
is particularly acute in the manufacturing sector: students aren't being incentivized
to take up technical subjects and businesses are failing to provide suitable
training to bring employees up to standard…. Failing to do so has the
potential to cripple UK economic growth." (http://www.dailypost.co.uk/incoming/skills-gap-putting-growth-risk-5908431)
In
Ireland, organizations are aware
that they need to develop or up-skill their current employees to remain
competitive but half of the employees surveyed stated that their organization
does not have, or they are not aware of, a learning and development agenda.
Accenture’s study for
Ireland found that
- Over 70% of employers are
concerned the skills gap will impact their ability to grow business.
- The main occupations
experiencing skills shortages include software developers, project
managers and engineers (electronic, mechanical and design).
- 17% of people cite lack of
qualifications as a barrier to re-employment while 16% cite their skills
are not required in the marketplace.
- 40% intend on taking training
to develop their skills.
- 56% of employers cite
technology as a skill needed for the future.
- 32% of employers believe they
are responsible for employee skill development.
One source of this problem is the disconnection between
how educators and employers perceive it: 72 percent of educational institutions
consider their graduates ready for work, while only 42 percent of employers
agree, according to a McKinsey study. Similarly, employers and the government
differ on the dimensions of this gap, and who bears responsibility for it (http://www.usnews.com/news/articles/2013/06/19/is-there-really-a-skills-gap).
Organizations
and employees alike conclude that the lifetime of skills is extremely short
these days. To stay relevant, workers must train non-stop. A number of leading
companies stepped in and established innovative training programs, choosing
graduates for their aptitudes and addressing their missing skills (http://www.forbes.com/sites/groupthink/2013/08/02/can-we-fix-the-skills-gap/). As SurveyMonkey CEO, Dave Goldberg,
points out, training less experienced employees can be less costly than hiring
more experienced employees. Companies should also include in job definition the
courses required to prepare for it. Such approach would help equally students
trying to choose an educational path and employed, experienced individuals
looking to advance in their organizations.
Finally, a short-list for organizations, compiled by
Accenture, of skill-building levers:
- Identify your organization’s
skills gaps now and in the future through rigorous skills analysis.
- Clearly define career paths and
succession plans to manage and mine talent within your organization.
- Create a learning and
development strategy that underpins and supports your growth strategy.
- Tap into learning innovations
such as employee swapping, academies and collaboration.
- Help line managers become
effective talent managers.
(www.accenture.com)
Keywords: skill gap, unemployment,
underemployment, re-employment, talent shortage, training, vacancies,
qualifications, STEM, technology, academic institutions, missing skills, skill
development, lifetime of skills, education, economic growth, management.
