Lack of Skilled Trades

LACK OF Skilled Workers THREATENS ECONOMIC GROWTH For the third consecutive year, ManpowerGroup found that employers are facing a talent shortage in skilled trade positions. 54% of employers noted that it has a medium to high impact on their ability to meet client needs; a number that has only grown since 2012. Finding qualified applicants for skilled trade positions has proven to be the most difficult, with employers stating that they are having trouble filling jobs due to a combination of: LACK OF AVAILABLE APPLICANTS APPLICANTS LOOKING FOR MORE PAY LACK OF EXPERIENCE These factors directly contribute to a shortage of almost 2,000,000 SKILLED WORKERS, as reported by The Associated Builders and Contractors. What is causing the shortage of qualified skilled trade applicants, and what effect does it have on the economy? THE DECLINE AN AGING LABOR FORCE A decline in skilled trade workers means that the average age of skilled laborers in the United States is older than in Skilled Trades (1.9%) have 4.8% far fewer workers that are any other field of work. 65-and-older workers than the total labor force (4.8%) TOTAL LABOR FORCE 1.9% 53% SKILLED TRADES 65 AND OLDER of skilled trade workers in the United States are 45-years-and-older In some states, this number is higher than 60% This suggests that: • Skilled labor jobs are more physically demanding. • Physical laborers are less likely to 44% have the option of pushing retirement. of the overall labor force are 45+ at least 45-years-old. THE DOWNFALL OF VOCATIONAL EDUCATION For years, highly selective vocational schools placed applicants according to the amount of job openings that were available at local companies. Following the Vietnam War, however, there became a consensus amongst educators that it was morally wrong to have highly selective vocational schools that excluded a large number of applicants based on the demands of businesses. The percentage of graduates who earned credits in any occupational CTE area declined from Local school boards asked all high schools to provide vocational education to anyone that wanted it. 88% in 1990 to 85% in 2009. OCCUPATIONAL AREAS The increase in schools offering career and technical education (CTE) credits meant that companies could no longer afford to provide state-of-the-art equipment to help train the students. like repair/ transportation, business, and manufacturing saw declines. Areas like 7.1% Equipment in schools became obsolete, PUBLIC SERVICES 5.8% 動 affecting the quality of education HEALTHCARE all increased over the time period. From 1990 to 2009, the average number of CTE credits earned by U.S. public high school graduates declined from 4.2% to 3.6% THE SKILLS GAP Employers seeking to hire applicants with a more advanced set of skills are having a hard time finding qualified applicants needed for the position. Many industry experts are blaming a phenomenon called The Skills Gap for the shortage of qualified applicants. 33% Glassdoor found that 72% HELP WANTED of employees believe that being trained in a specific skill is more highly valued by their employer than having a college degree of small-business owners reported unfilled job openings in June of 2014 due to the lack of qualified applicants. 48% OF EMPLOYEES WITH A COLLEGE DEGREE BELIEVE THEIR SPECIFIC DEGREE IS NOT RELEVANT ТО THE. TO THE JOB THEY DO TODAY. As the popularity of four-year colleges grew amongst students, the flow of skilled trade laborers to the workplace slowed. As the workforce shrinks, so too does the opportunity for apprenticeship, meaning that future generations of skilled trade laborers will not be as qualified as their predecessors, unless they attend an intensive training program to help them meet the demands of their respective trades. SOURCES: http://press.manpower.com/press/2012/talent-shortage/ http://www.usnews.com/news/stem-solutions/articles/2014/10/30/lack-of-skilled-workers-threatens-economic-growth-in-stem-fields http://blogs.edweek.org/edweek/top_performers/2012/01/the_death_of_vocational_education_and_the_demise_of_the_american_middle_class.html http://www.npr.org/2014/08/06/338011367/construction-industry-missing-key-tool-skilled-workers http://money.cnn.com/2014/07/02/pf/worker-skills/ https://nces.ed.gov/fastfacts/display.asp?id=43 http://www.glassdoor.com/press/glassdoor-survey-reveals-employee-sentiment-higher-education-72-percent-skills-training-degrees AMERICAN TRAINCO"