Companies are rethinking their approach to both recruiting and retaining employees.
The Employment Summary, more commonly known as the monthly jobs report, is a highly anticipated economic indicator. Compiled from two key surveys – the household survey and the establishment survey – the report, issued by the U.S. Bureau of Labor Statistics , provides the unemployment rate and the monthly change in nonfarm payrolls, as well as average earnings and hours worked. While both surveys complete the full picture, the data from the household survey of approximately 60,000 households look at employment status by race, gender, age, education, veteran status, disability status and several other categories.
As a Social Security-authorized Employment Network (EN), Allsup Employment Services (AES) is especially focused on the key takeaways from these and other important federal and state reports that relate to people with disabilities in the workforce.
Skills Gap Concerns Employers
While many concur the unemployment rate is generally trending in the right direction, and jobs are being added in various sectors, such as leisure and hospitality, retail trade, government and healthcare, a new concern has arisen. And that is the skills gap within organizations. According to a McKinsey report, lack of career development and advancement is the top reason for leaving a job. Eighty-seven percent of organizations "know they have a skills gap or will have one within the next few years." But in a study by PWC, only 40% of employees say their company is upskilling, and only 26% said their employer is automating or enhancing work through technology.
These findings signal the urgency for companies to reshape their workforce learning strategy to narrow the skills gap. The digital transformation, fueled even more by the pandemic, has impacted every sector requiring workers to learn new digital skills. These may include basic skills such as data handling and entry, online research and email/instant messaging, as well as more advanced skills, such as search engine optimization, data analysis, web development and programming.
The bottom line is that there simply aren’t enough well-trained or skilled workers to meet the capabilities an organization needs to be competitive. To address this issue, companies are rethinking their approach to both recruiting and retaining employees and would be wise to increase their upskilling and reskilling programs and retention strategies to retain talent.
Narrow Skills Gap With New Hiring Strategies
What should companies do to address this concern? When recruiting and hiring, consider these steps:
- Shift your hiring focus to skills rather than credentials and qualifications only. “By focusing on skills, employers can increase the size of their talent pools, allowing them to pinpoint quality applicants for hard-to-fill roles.” – Harvard Business Review
- Look critically at candidates who have disabilities. This is an untapped segment, and employers may be missing out on highly skilled workers. In a study published in the Journal of Occupational Rehabilitation, hiring people with disabilities led to improvements in profitability, customer loyalty and satisfaction, innovation, productivity and work ethic.
The National Governors Association, in its 2020 report Reimagining Workforce Policy in the Age of Disruption, explains that a truly resilient workforce requires vigilant protection of vulnerable workers, which can include those with disabilities. "Communities must target innovative, accessible, high-quality education and training and comprehensive support to these populations."
Support Employees With Commitment To Learning
But it’s more than just hiring people with certain skills. There needs to be a concerted effort to provide ongoing training and professional development opportunities. To compete and narrow that skills gap, businesses need to:
- Invest in skills development for employees. Not only is this essential, but it also creates a work culture based on growth and opportunity. Some examples of training include seminars, online training modules, coaching and mentoring. The Academy to Innovate HR also sees more nontraditional training methods ahead such as micro-mentoring and performance coaching.
- Accenture lays out a 3-step approach companies can deploy to transform learning in their organizations and begin to narrow the skills gap.
- Speed up experiential learning with more apprenticeships and on-the-job training. Apply new technologies and tools to improve decision-making and learning.
- Shift focus from institutions to individuals. Stimulate workers with new opportunities and methods for skills development.
- Empower vulnerable learners. Ensure that learning and skills development systems are accessible to all. Workers who are vulnerable to disruption from technological change must be identified for targeted interventions.
Employment Networks Add Value
As an EN, AES helps people with disabilities return to work through Social Security’s Ticket to Work Program (TTW). A common concern among those going back to work after a lengthy absence due to a disability or serious illness relates to their skill level. Many individuals have been out of the workforce for several months or even years. Will they have the skills to do what’s required for a job they once had? Or will they need to learn new skills or acquire certifications to perform well in another position at a new company?
Employment Networks and other service providers are vitally important not only in career planning and counseling or job search and placement but also for training opportunities. ENs can provide access to specialized training that is disability-friendly which can help ready people for work and narrow the skills gap.
Understanding the requirements of a job is the first step in determining what skills or additional training individuals need to be successful. AES case managers, working closely with clients, can help assess the job requirements and identify suitable training, skills development programs or necessary certifications.
