Is The Tech Skills Gap Growing Or Shrinking?

The global information technology industry is on pace to be worth more than $5.2 trillion by the end of 2020. About a decade ago, the tech industry skyrocketed. This was fueled by the combination and leveraging of big data, mass automation, artificial intelligence, and of course, smartphones. The demand for employees trained in advanced and emerging tech was overwhelming. It was so great that a gap developed between available workers without advanced tech skills and open or new positions requiring in-demand tech skills.

This situation proved to be a major issue for employers, one that many are still grappling with. To keep up with the demand for cutting edge technology, employers need skilled workers, which means they need to find a way to narrow the skills gap.

Attempts At Narrowing The Skills Gap

Employers quickly realized that bridging the gap is no small job, and the gap will likely never be eliminated entirely, but that doesn’t stop them from attempting to narrow it. Here are some methods being used by employers:

Reskill and Upskill Employees

For most employers, hiring a slew of new employees isn’t ideal. Hiring and onboarding costs are high, and they don’t want to lose their loyal and hardworking employees. To stay competitive, they’ve opted to train employees in new skills while on the job. While reskilling sounds like an obvious solution, it can be costly, time-consuming, and some employees may not be interested in learning new skills.

Identifying and Hiring from Overlooked Talent Pools

Many employers battling the skills gap believe there aren’t enough skilled workers to fill positions. Consider the possibility that they aren’t looking in the right locations. Formerly incarcerated individuals often gain skills during their incarceration that can be extremely marketable to future employers. And, the talent pool is large. If the U.S. prison population were a city, it would be the fifth-largest city in the country. At that size, overlooking the potential talent is a disservice to an organization.

Sadly the unemployment rate for veterans is almost twice the national rate. Servicemen and women often lack certain types of previous job experience. Recruiters should factor in veterans’ unique experiences and skills while keeping in mind that research shows veterans outperform other employees and stay at an organization longer than the median length of time.

Partnering with Schools and Technical Colleges

Educators need to know what specific skills employers seek so they can include most-needed skills in curriculum. Students also need to know what their career options are. Only 35% of jobs require a bachelor’s degree, but almost 70% of high school graduates attend college, making college a risky investment for many young people. When students and educators understand what skills are in high demand, they can make more informed decisions.

Many employers are partnering with high schools and technical colleges to encourage STEM education and expose students to vocational career opportunities. Some of these partnerships include apprenticeship programs in which students are paid to learn a trade and even given academic credit. For students who cannot afford technical college, this is a pretty sweet deal.

Is Progress Being Made?

Recruiters and employers have been on the front lines of fighting to narrow the skills gap for years now, but are they moving the needle? There’s quite a bit of diversity of thought.

Some research says the skills gap is shrinking. One study, which used data from Indeed job postings and resumes, added between 2014 and 2108, found that it’s getting easier for tech firms to find workers with the in-demand tech skills they need. Another study, which used survey data from resume service Enhancv found there’s no evidence a tech skills gap even exists anymore.

But it might not be that simple. 46% of employers report having trouble filling jobs last year. The National Association of Colleges and Employers suggests the root issue is the lightning-fast speed of change in the tech industry. They suggest students are learning skills that won’t be in high demand by the time they get into the workforce and that employees are continually getting lapped by the demand of another new skill.

What Comes Next For Recruiting Teams?

Regardless of the status of the skills gap, employers and recruiters can acknowledge difficulty in sourcing and hiring qualified talent. So, what are some next steps to overcome this barrier?

1. Challenge employers’ must-have job requirements. Is it absolutely necessary that candidates have a master’s or even a bachelor’s degree? Would relevant experience suffice?
2. Encourage employers to create a culture of upskilling. Employees who are constantly learning are less likely to be lapped by the need for new skills. Make on-job learning a priority at all levels of the organization by carving out time and budget for training courses and tools.
3. Work to establish a strong pipeline by investing in local young professionals. Recruiters and employers should be in communication with high school and colleges about what skills are needed as well as upcoming career opportunities. Volunteering to speak in a classroom, judging a competition ,or answering questions on a panel are good ways to maintain this connection.

This article was originally published on the IQTalent Partners blog.