This presentation was referenced at Oklahomas Career Ready Credential workshop on March 21, 2006

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This presentation was referenced at Oklahomas
Career Ready Credential workshop on March 21, 2006

• Glenda Owen, PHR
• Oklahoma Chair, SHRM
• Workforce Readiness
• http//www.shrm.org/wrc
• Area Manager, OESC
• [phone] Ext 11
• glenda.owen_at_oesc.state.ok.us

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Workforce Readiness

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Workforce Readiness

• SHRM realizes the importance and the growing
  impact of workforce readiness in all facets of
  business, industry, community and education.
• Over 70 million baby boomers will retire over
  the next decade. The economy is picking up and
  companies are hiring. HR professionals are seeing
  applicants with huge skill gaps trying to enter
  or re-enter the workforce.
• Workforce Readiness includes the preparation of a
  qualified workforce through the public schools,
  vocational and technical colleges, adult
  education opportunities, remedial employee
  training, and continuing professional
  development. Such efforts mandate collaboration
  between business/industry, local, state, and
  national government, educators, and the local
  community.
• Helping to facilitate the successful
  collaboration of these stakeholders is the focus
  of Workforce Readiness.

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The Workforce for the next 20 years has already
been born..., can we really afford to lose even
one?
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What Keeps CEOs up at night?

• 35 Reported
• Finding keeping skilled workers
• 33 Reported
• Changing organizational, cultural and employee
  attitudes.

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What We Do Know About Labor Force Availability
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As early as 2010, there will be MORE jobs than
employees to fill them, which will create a labor
shortage crisis in the United States. Bureau of
Labor Statistics
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Two-thirds of the 7,000,000 worker gap in 2010
will be a skilled worker shortage.
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As if the labor shortage alone isnt enough to
worry employers, there is a growing skills gap
that may create more woes for those trying to
hang on to good people and fill vacant
jobs. Craig R TaylorTalentkeepers,
Inc. Published by ASTD in TD, March 2004
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• Natl Assoc of Manufacturers
• Center for Workforce Success

• The top deficiency identified for both current
  hourly workers and applicants for hourly
  positions is a lack of basic employability
  skills, attendance, timeliness, work ethic, etc.

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US Chamber of Commerce

• 75 of todays workforce needs to be retrained
  to keep their current job.

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Alan Greenspan, Chairman US Federal Reserve
Board, July 2000
Workers must be equipped with technical
know-how the ability to create, analyze and
transform information and to interact effectively
with others learning will increasingly be a
lifelong activity.
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Technology Adoption Rate Yrs to Attain 25
Market Share
Carlene Ellis, Intel, NAWB, 3/2003
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Internet Access Climbing Dramatically
Residents Who Access Internet
Increase from 1998
Source Roper Reports Worldwide, Spring 2000
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US Chamber of Commerce

• 80 of todays jobs require some form of post
  secondary education and training.

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Secretarys Commission on Achieving Necessary
Skills (1991)

• More than 50 our young people leave school
  without the knowledge or foundation required to
  find and keep a good job.

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Crunch TimeDeparting Workers as well
as the New Workers

• In the public sector, countries such as
  Canada, Australia, and the US could lose more
  than 33 of their government employees by 2010.
• 40 of managers in the US auto manufacturing
  will be eligible to retire within the next five
  years.
• 2005 Delcoitte Research Study

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Deloitte National Association of
Manufacturers 2005 Skills Gap Survey

• Skill shortages are having a widespread impact
  on manufacturers abilities to
• Achieve production levels,
• Increase productivity, and
• Meet customer demands.

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American Nurses Association2005

• there is a growing disparity between the supply
  and demand of nurses that is leading to a
  potentially overwhelming nursing shortage and
  health care crisis.

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The Hudson Institute
In the 21st century 60 of all jobs will require
skills that only 20 of the current workforce
have.
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Why is ongoing skill development and education
important? REMEMBER Some of the fastest
growing occupations today did not even exist 15
years ago.
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What Does This Mean?

• Workers must be equippedwith technical
  know-howthe ability to create, analyze and
  transform information and to interact effectively
  with otherslearning will increasingly be a
  lifelong activity.
• Alan Greenspan, Chairman
• US Federal Reserve Board, July 2000

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Oklahoma Institute for Child Advocacy, 2004

• During 2001/02 2002/03 school year, annual
  average of more than 8,080 young Oklahomans quit
  school without graduating.
• 6,528 of those dropping out were age 18 or
  younger.
• 35.8 of all Oklahomans are under the age of 25.

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Oklahoma Institute for Child Advocacy, 2004

• 1 of every four (25) students in Oklahoma
  who start high school as a freshman disappear
  from the roster prior to graduation.
• While some may transfer out of state, switch to
  private schools, become incarcerated or even die,
  logic dictates dropouts comprise the large
  majority of OK students lost during this 4-year
  period.

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Oklahoma Institute for Child Advocacy, 2004

• During school year 2001/02 2002/03, the
  proportion of high school dropouts
• 46.1 females
• 53.9 males
• 17 year-olds was most common age an Oklahoma
  dropout leaves high school.
• Compared to another grade, largest numbers
  currently leave school during the 10th grade.

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Oklahoma Institute for Child Advocacy, 2004

• Failing to complete High School
• 56 Whites
• 15.6 African American
• comprise 9.5 population
• 15.5 American Indian
• comprise 11 population
• OK 24th in US for High School drop-outs

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Oklahoma Institute for Child Advocacy, 2004

• Disconnected Youth
• Almost 20,000 Oklahoma youth between ages of
  16-19, or 9.3 (19,758) are not engaged in either
  school or work.

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2003 Program for International Student Assessment
(PISA)

• American 15-year-olds performed below the
  international average in mathematics literacy and
  problem-solving.

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Proposed Lifelong Education Opportunities Act of
2005
Jobs requiring a bachelors degree will grow by
25 by the year 2008, while those requiring an
associate degree will grow by nearly 33.
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Daniel Pink, Futurist 2002
Employers are practically begging for young
workers who can Think, Collaborate, Communicate,
Coordinate, and Create.
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Why get involved in Workforce Readiness?
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Helen Hankin The New Workforce
Overcoming this lack of skilled workers will
increasingly become the responsibility of
companies themselves.
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SAS Jim Goodnight, CEO

• All corporations should get involved in the
  school system. The future of our country is in
  producing highly educated people. Otherwise we
  will lose our high-tech jobs to India and China.

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Deloitte National Associations of
Manufacturers, 2005 Skills Gap Survey
Employers want more highly skilled employees
that are exceptionally engaged and innovative
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Dr Andy Sum Center for Labor Market Studies
The average male high school drop out will earn
800,000 over the course of his lifetime (18 to
65 years of age), a diploma adds 350,000 to that
average. Find me another three year investment
that nets me that kind of return and Ill call my
stock broker today.
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Some Troubling Facts about High School

• HS completion rates have remained constant for
  nearly 30 years.
• The of students whose HS diploma is
  non-traditional has doubled in the past decade.
• After decades of leading the world in HS
  completion, the US currently ranks 17th.
• Almost 1 in 20 drop out of HS annually.

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Some Troubling Facts about High School

• We lose 1 in 30 whites, 1 in 20 African Americans
  1 in 10 Latinos.
• Students from poor families are almost twice as
  likely to leave HS.
• Only 83 of 18 24 year old males have a HS
  credential.

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Student Math Achievement at end of HS

• 1 in 17 of all 17 year-olds can comfortably do
  multi-step problem-solving and elementary algebra
  (although 91 of those students took at least 1
  Algebra course).
• Only 7 in 10 whites have mastered the usage and
  computation of fractions, commonly used percents,
  and averages, compared to only 3 in 10
  African-Americans and 4 in 10 Latino 17 year
  olds.
• NAEP Trend Assessments

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What about Literacy?

• In reading, achievement declined among 17
  year olds on the NAEP reading exam, but troubling
  because these students actually entered high
  schools with somewhat better reading skills than
  did their predecessors. Over the same period,
  scores on the verbal SATs has been flat.
• The Education Trust, 2001

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Student Reading Achievement at end of HS

• By age 17, only 1 in 17 students can read and
  gain information from specialized textsomething
  like the science section in your local newspaper.
• The numbers are worse for minority students.
  Only 1 in 50 Latinos and 1 in 100 African
  American 17 year-olds can read at this level.
• NAEP Trend Assessments

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African-American Latino Reading Levels

• By the end of HS, African American and Latino
  students have reading skills that are virtually
  the same as those of white students in the 8th
  grade.
• NAEP Trend Assessments

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Academic Growth in Reading

• In reading, youngsters during the mid 90s,
  actually entered HS better prepared and left
  reading at slightly lower levels than their
  earlier counterparts.
• NAEP Trend Associates

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Post-Secondary Education
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THE PIPELINE - U.S. High School StudentsOnly 10
Attain Technical College Degrees of Any Kind

Population Entering High School
Graduates In Technical Field
High School Graduates
Continue on to College
College Graduates
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College Readiness

• Almost 50 of entering freshmen at 4 year
  colleges and universities enroll in 1 or more
  remedial course.
• That number dramatically increases for those
  students enrolling in 2 year schools.
• 26 of freshmen in 4 year colleges dont return
  for their sophomore year.
• 45 of those in 2 year colleges dont return for
  their sophomore year.
• USDOE June 1999

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College Readiness

• Within 2 years of HS graduation, 75 of those who
  obtain a HS diploma enter some form of
  post-secondary education, albeit at differing
  rates.
• USDOE June 1999

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What about Workforce Readiness?

• Jobs for HS dropouts are shrinking as a
  proportion of all jobs and real income and
  benefits from these jobs is steadily declining.
• 70 of the 30 fastest growing jobs in the US
  require education beyond HS, 40 of ALL new jobs
  require an associate degree.
• College level job openings between 2000-10 will
  exceed the available number of applicants.

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HS Graduates are not ready for entry-level job
requirements

• More than 40 of employers test literacy and
  mathematic skills.
• Failure rate on these exams have climbed from
  18.9 in 1996 to 35.5 in 1998 (job requirements
  are going up)
• The number of companies providing remedial
  programs declined from 24 in 1993 to 14.5 in
  1999.
• American Management Association

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Focus on Delinquency

• If we want to hasten the pace at which
  delinquent youth mature into adulthood and
  terminate delinquent behavior patterns (as most
  eventually do), helping youth prepare for and
  enter the labor market is critical.
• Richard Mendel, American Policy Forum, 2001

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What about those in the workforce?
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The participation in the labor force of those age
65 and older has been rising over the last 10
years. John HilsenrathWall Street Journal
2001 Slightly more than 50 workers aged 55 and
older said they were not planning to retire
because they found their current jobs
interesting. The Conference Board, 2005 88 of
workers aged 45 74 said that the opportunity to
learn something new would be essential to their
ideal job. 2005 AARP Study
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Baby Boomers are more likely to be work-centric
while Generation X and Generation Y are more
likely to be family-centric and
dual-centric. More than twice as many people
aged 14 21 would prefer job mobility within a
single company rather than on the open
market. 80 of prime candidates for promotion
would like to work fewer hours than they
currently work. For
teenagers, work is something that gets done amid
instant messages, ringing cell phones, blaring
music, and incoming emails.
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In a poll by Junior Achievement 65 of
teenagers said theyd rather have a career that
gave them more time for family and fun and less
money than a career that gave them more money
and less time for family. The Herman Group
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What HR Can Do Now?

• Review current workforce demographics needs
  for the future.

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Review Now!

• How many employees are eligible to retire in the
  next 5 years? 10 years?
• How will this impact your turnover rate?
• What knowledge and skills are going out the door?
• How do you transfer that knowledge skill to
  replacement workers?
• What new skills will be needed due to changes in
  your business?

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Getting Started

• Determine the most Strategic use of all Internal
  and External Resources
• Develop a Strategic Alliance between all members
  of your Support Network

• Where can your program make the most
  significant impact
• How can you maximize the collaborative effort
  while minimizing
• redundancy and waste
• What are the goals and objectives of the
  program WHY are you
• choosing THIS effort

• Planning
• Communication Business vs. Educational
  culture and jargon
• Develop a Shared Mission and Vision Statement
• Expectations Everyone understands each others
  goals and
• objectives
• Determine your Alliance structure

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The Map

• Business and education must work together to
  share information and resources
• Our focus must be on ensuring we are preparing
  students with skills they can adapt for the
  future life-long learners
• We need to make our voices heard in the community
  and in legislative circles to help everyone
  understand the critical importance of investing
  in our schools

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Who Can Help Us?

• Potential and Willing Partners

School Boards Community Colleges
Universities Internal support network
volunteers, management, project
manager Community agencies Chambers, Economic
Development, PTA, etc. School Board,
Superintendent, Principals, Teachers (Unions),
Parents Other Businesses Workforce Development
Boards Economic Development Councils Chambers of
Commerce Local, State Federal
Government SHRM HR Oklahoma Businesses Nonprofit
Agencies Trade Associations Foundations

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What Are the Results of Our Involvement?
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Benefits for Business

• Improved interpersonal and entry-level skills
• Reduced training and remediation costs
• Increased productivity
• Reduced employee turnover
• Effect a better match between current and future
  job market needs and the career awareness and
  workforce skills of high school graduates

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Benefits for HR Professionals

• 83 of HR executives surveyed in 2004 listed
  recruitment, selection, and placement among
  their top three priorities for 2005.

• Tight labor markets, rapid business growth,
  and rising turnover have forced HR staffs to
  devote themselves to finding and attracting
  qualified employees.

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Benefits for Education

• Opportunity to share education successes
• Shared Community and Industry involvement in
  Education Reform
• Greater access to valuable teaching resources
• Development of curriculum that is directly
  relevant to career placement and employment
  success

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Benefits for the Student

• Connects students to the real world of work
• Promotes independent learning and higher-level
  skills such as interpersonal and team
  communications
• Offers student the opportunity to find employment
  in industry and service fields that require
  higher-level skills

• Bottom line Greater Opportunity

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Benefits for the Community

• Increase the quality of community life through
  school system improvement
• Higher standard of living
• Stronger economic and tax base
• Greater ability to attract and sustain industry
  and business
• Stronger community - education - industry
  relationships