Employer Experiences and Expectations:
Finding,
Training,
and Keeping
Qualified
Workers
D19555
COPYRIGHT © 2011
AARP
Research & Strategic Analysis
All Rights Reserved
601 E Street, NW
Washington, DC 20049
www.aarp.org/research
Report Prepared by:
Rebecca Perron, PhD
May 2011
AARP Foundation is AARP’s affiliated charity. The Foundation is dedicated to serving vulnerable people 50+ by creating
solutions that help them secure the essentials and achieve their best life. AARP Foundation focuses on: hunger, housing,
income and isolation as our key mission areas. The Foundation envisions: ‘a country free of poverty where no older
person feels vulnerable.’ Foundation programs are funded by grants, tax-deductible contributions and AARP. For more
information about AARP Foundation, please log on to www.aarp.org/foundation.
This research was funded by a grant from The Bill and Melinda Gates Foundation.
The author would like to acknowledge the following AARP staff for their input: Deborah Russell, Sara Rix, David
Whitehead, Jennifer Leslie, Jeff Love, and S. Kathi Brown. All media inquiries about this project should be directed to AARP’s Media Relations at (202) 434-2560. Inquiries about
the survey instrument or additional information about the report should be directed to Rebecca Perron at (202) 434-6324
or rperron@aarp.org.
Employer Experiences and Expectations:
Finding, Training,
and Keeping
Qualified Workers
Report Prepared by:
Rebecca Perron, PhD
May 2011
COPYRIGHT © 2011
AARP
Research & Strategic Analysis
All Rights Reserved
601 E Street, NW
Washington, DC 20049
www.aarp.org/research
D19555
Table of Contents
Executive Summary
3
Key Findings
4
Finding Qualified Workers: Past, Present…
6
…and Future
9
Employee Skill Sets 12
Employee Degree Requirements
16
Training and Recruiting Workers
20
The Effect of Baby Boom Retirees
28
Conclusion
32
Appendix 1: Survey Methodology
33
Appendix 2: Annotated Survey 35
Executive Summary and Key Findings
The graying of the labor force, together with the recession of 2008-2010,
has forced employers and prognosticators to take a hard look at workforce
preparation, training, and planning.
This employer research survey is one component of a larger project that explores the workforce, labor
force projections, and employer views on training, preparedness, and recruiting workers. Survey
questions were developed after qualitative research with employers. An in-depth employer bulletin
board was conducted in early 2010 to determine what employer experiences were in relation to these
issues, which then guided us to the survey items on this questionnaire.1 The bulletin board, together
with this survey, aimed to put the objective data on labor force projections in a “real world” context,
highlighting what human resource managers say they experience.
Given that previous studies related to labor force projections indicate potential for workforce
shortages and that education projections showed a potential shortage of educated persons by
degrees, we expected that employers would indicate a difficulty finding well-prepared workers.
Further, we expected that some of the effects of the recession would lead to fewer training
opportunities for incumbent workers. Results from the survey, however, using the day-to-day
experience of human resources managers, do not support these hypotheses.
The questionnaire covers a number of areas related to workforce planning, qualifications,
recruitment, and maintenance of a skilled labor force. Results show that employers are not overly
concerned about finding qualified workers. They have not had a great deal of difficulty in the past
and do not foresee a problem in the future. Although they place an emphasis on basic and industryspecific skills, they have not seen a large drop in the quality of workers with these skills in the past
5-10 years. Employers are cognizant of and concerned about the institutional knowledge loss that
may happen when their older workers retire, but they appear to be prepared to offset this loss with
knowledge transfer programs and by retaining older workers.
Training opportunities for incumbent workers are at levels similar or greater than five years ago, yet
these trainings are more related to legal requirements, certification, and licensure than 5-10 years
prior. In order to develop and recruit a qualified workforce, employers are turning to traditional and
community colleges, as well as vocational schools.
Smaller employers (fewer than 500 employees) indicate less difficulty in finding skilled workers, more
dissatisfaction with current new hires, fewer training opportunities, and fewer relationships with
outside schools to train and recruit workers.
This survey of 1003 human resource directors was fielded from May through July 2010. Responses
were equally distributed across four company sizes: 20-99 employees, 100-499 employees, 500-999
employees, and 1000+ employees and results were weighted to national data by size of company.
Respondents were asked about their company’s hiring practices, training, skill needs, and quality of
job applicants, both before and since the recession. We also explored their expectations for the future.
1
A bulletin board is designed with a small group of employers (approximately 30) and allows them to answer
general questions in-depth and to respond to other bulletin board discussants.
3
Key Findings
nn Finding skilled workers is not a problem for the majority of employers. Approximately one-fifth of
the respondents have had difficulty finding sufficient numbers of skilled workers both before and
after the start of the recession (21 percent and 17 percent, respectively). Although slightly more
employers had difficulty before the recession started, this difference is not significant. Further, it
appears that smaller employers (20-99 employees) had less trouble than larger employers finding
skilled workers before the recession started (19 percent versus 30 percent for employers of both
500-999 and 1000+ employees). Since the start of the recession, employers of 500-999 employees
have had the most trouble finding skilled workers (25 percent versus 17 percent for employers of
20-99, 100-499, and 1000+ employees).
nn Among the skills most important to employers are communication; people skills; basic reading,
writing, and arithmetic; and industry-specific skills. In fact, more than nine in ten respondents
indicate that the above-mentioned skills are very or somewhat important to their organization.
Moreover, employers also say that they do not have great difficulty finding applicants with these
important skills. Larger businesses (those with more than 500 employees) are more likely to say
that these skills are very or somewhat important to their companies than smaller businesses (20499 employees) and more likely to say it is very or somewhat difficult to find applicants with these
skills.
nn As might be expected, across all industries there is not one particular level of degree that is most
preferred or required for positions (high school diploma, bachelor’s degree, master’s degree, etc),
though 81 percent say that a high school diploma or GED is required for all or most positions.
Employers do indicate, however, that they are still likely to hire workers who may lack the level
of degrees typically required for the position, provided their experience or other training makes
them suitable for the job. Only 21 percent indicate that the applicant must have the required level
or type of degree. Smaller companies (20-99 employees) are most likely to say that they sometimes
or often waive the required level of degree.
nn Seven in ten of the employers surveyed have “no preference” between traditional and online
college degrees, while 27 percent say that their organizations prefer traditional college degrees,
and none say online degrees are preferred. For those who do prefer traditional degrees, reasons
include that requirements and standards for traditional degrees are well-known, traditional
colleges require interaction, and traditional colleges produce students with needed qualifications.
Larger companies (500-999 and 1000+ employees) were more likely to state a preference for
traditional degrees.
nn Employers do not expect to have much difficulty finding qualified workers in the future. More
than half say that they expect it will be not very or not at all difficult. Those employers who
expect to have difficulty finding qualified workers attribute it to inability to offer competitive
salaries, difficulty luring qualified applicants from their current jobs, and competition from other
employers when the economy fully rebounds. Larger employers (500-999 and 1000+ employees)
expect more difficulty finding qualified workers over the next 5-10 years (versus smaller employers
of 20-99 and 100-499 employees).
4
AARP Foundation
nn When asked to compare new hires today versus those from five years ago, employers primarily say
that new hires are similar in turnover, qualifications, preparation, and communication skills. New
hires are more technologically savvy, but 40 percent of employers say they have a worse work ethic
than their counterparts from five years ago. Small employers (20-99 employees) are more likely to
say that current new hires are less qualified, less prepared, and have a worse work ethic than new
hires from five years ago.
nn Almost two-thirds of employers are very or somewhat concerned about losing critical knowledge
and experience as older workers retire. Smaller companies (20-99 employees) are less concerned
(41 percent) than companies with more than 100 employees. Businesses plan to mitigate this loss
by employing several tactics, including keeping retirement-aged workers on staff in a part-time
or consulting capacity, using a knowledge transfer program, having a formal succession plan for
critical positions, and enticing older workers to remain longer as full-time employees. Larger
companies (500+ employees) are more likely to use a knowledge transfer program or formal
succession program than companies with fewer than 500 employees.
nn Employers continue to offer training to employees at levels at least similar to, if not greater, than
they did in the past. However, this training is more likely to be needed for required professional
training, occupational safety, and certifications than for basic skills. Approximately seven in ten
businesses offer specific technical or professional skills training and supervisory skills training
and eight in ten offer occupational safety training.
nn Where training has decreased in the past 5-10 years, the primary reason has been due to a
decrease in funding (77 percent). The primary reasons given for increased training have been
regulatory and compliance requirements, rapid technological change, and as a benefit to retain
employees. Smaller companies (20-99 employees) are less likely to offer any on-the-job or other
training to their workers.
nn Employers are using relationships with various entities to help train and recruit qualified workers.
Businesses are most likely to have relationships with traditional colleges, community colleges,
and vocational schools in order to help train workers or develop courses that produce skilled
workers. Similarly, more than three in ten businesses also use these sources to recruit qualified
workers, although employers are most likely to have relationships with job-listing websites for
recruiting workers (61 percent). The smallest employers (20-99 employees) are less likely to have
any relationships for training and recruiting qualified workers.
Employer Experiences and Expectations
5
Finding Qualified Workers:
Past, Present, and Future
This survey explores how employers define qualified workers as well as their
level of difficulty finding and hiring these qualified workers. Is their level of
difficulty higher or lower now than it was before the recession? What qualities
are most important to employers? Further, in light of the recession and
potential retirements in their workforce, do they suspect that finding qualified
workers will be a problem in the future and, if so, why?
Past, Present,…
Approximately one in five employers had trouble finding sufficient numbers of workers with the skills
they needed both before and during the recession. Although slightly lower numbers of employers had
trouble finding workers since the recession started (17 percent since versus 21 percent before), this
difference is not significant (see Chart 1).
Smaller employers with 20-99 employees had fewer troubles finding skilled workers before the recession
started (19 percent versus 30 percent for employers of both 500-999 and 1000+ employees). Since the
start of the recession, employers of 500-999 employees had the most trouble finding skilled workers: 25
percent versus 17 percent for employers of 20-99, 100-499, and 1000+ employees (not shown).
Chart 1: Difficulty finding sufficient numbers of skilled workers pre- and post-recession
(In percent; n=1003)
90
81
77
80
70
60
50
Before recession
40
30
Since recession
21
17
20
10
0
Yes
No
Source question: “Before/Since the recession started, had/has your organization been having
trouble finding sufficient numbers of workers with the skills you need to do your business?”
6
AARP Foundation
Some comments from the respondent bulletin boards include:2
“We have actually been overwhelmed with candidates that were working in a
different industry and because of their current work situation are forced to fall
back on skills that they have not used in years.”
“Due to the current economic climate we have too many prospective employees
with the skills that meet and at times exceed our needs.”
“There is no shortage of applicants when we open a position, but you still have to work
to find the more qualified candidates with the appropriate skills and experience.”
As seen in Chart 2, employers also indicated that, when they were having difficulty finding sufficient
numbers of employees, the problem did not apply to all positions in the business. In fact, both before
and after the recession, employers overwhelmingly indicated (68 percent before the recession; 70
percent since the recession) that the problem only applied to some positions.
Chart 2: Positions affected by difficulty finding sufficient numbers of workers pre- and postrecession (In percent)*
80
70
68 70
60
50
40
Before recession (N=214)
30
Since recession (N=174)
20
14
11
13 12
10
0
Some
positions
Many
positions
Most
positions
5 6
All
positions
Source question: “And would you say that your organization has/had experienced these troubles for…”
*Base: Those who indicate difficulty finding skilled workers in previous question.
“It really depends on the position. For our more technical positions – engineering
positions that are specific to our industry – then yes. For more ‘run of the mill’
positions – HR, Accounting, Finance, Customer Management, Materials, etc – we
have not had issues.”
2
All quotes contained in the report are derived from the employer bulletin boards that were conducted in
advance of the employer survey.
Employer Experiences and Expectations
7
Employers for whom finding sufficient numbers of workers has not been a problem indicate that the
recession has impacted their need for new workers in general. Specifically, these employers cite the
following reasons for the lack of difficulty finding workers: the company has not been doing much
hiring due to slow business or for budgetary reasons (40 percent major reason; 20 percent minor
reason), the poor economy has resulted in a large applicant pool (39 percent major reason; 27 percent
minor reason), and the business has fewer job openings because the poor economy has resulted in
less turnover (39 percent major reason; 27 percent minor reason)(see Chart 3).
Chart 3:
Reasons why employers have not had difficulty finding sufficient numbers of workers since
the recession began (In percent; n=813)*
Organization has not been doing
much hiring
39
20
40
Organization has fewer job openings
27
The poor economy has resulted in a large
applicant pool
27
Organization has used more contract or
temporary workers
4
34
39
Not a reason
33
14
6
0.5
Organization has decided to offshore jobs
0
Minor reason
39
10 20 30 40 50 60
Major reason
82
94
70 80 90 100
Source question: “For each of the following, please indicate whether it is a major reason, a minor reason, or not a reason at
all that your organization has not had trouble finding qualified workers?”
*Base: Respondents who indicate they have not had trouble finding qualified workers since the recession started
“With all the people looking for jobs, I am finding that everyone
and anyone is applying for the positions that we have opened. It
is difficult to go through each and every application; it slows the
process down.”
“In our business, finding a sufficient number of workers hasn’t
been a problem. In our organization, top management has put
restraints on hiring because of the state of the economy, but still
wants production to outperform with less.”
8
AARP Foundation
…and Future
Employers do not anticipate having great difficulty finding qualified workers in the near future (5-10
years) (see Chart 4). Only six percent indicate that they think it will be very difficult to find qualified
workers, while 37 percent think it will be somewhat difficult. More than half of the sample (55
percent) think that it will be not very (29 percent) or not at all difficult (26 percent). Larger employers
(500+ employees) expect more difficulty finding qualified workers over the next 5-10 years than
smaller employers (20-499 employees) (not shown).
Those who thought they would have some difficulty expected it for both supervisory/management
positions (50 percent) and non-supervisory/management (59 percent) positions (Chart 5).
Chart 4:
Anticipated difficulty finding qualified workers over the next 5-10 years
(In percent; n=1003)
37
40
35
29
30
26
25
20
15
10
6
5
0
Very difficult
Somewhat
difficult
Not very
difficult
Not at all
difficult
Source question: “Would you say that it will be very difficult, somewhat difficult, not very difficult,
or not at all difficult to find qualified workers over the next 5 to 10 years?”
Chart 5: Difficulty finding qualified workers in the next 5-10 years by type of position
(In percent; n=430)*
60
58
56
54
52
50
48
46
44
59
50
Supervisory or management
positions
Non-supervisory and nonmanagement positions
Source question: “For which of the following types of positions do you anticipate problems?”
*Base: Respondents who indicate that it will be very or somewhat difficult to find qualified
workers in the next 5-10 years in the previous question.
Employer Experiences and Expectations
9
Although most employers do not anticipate having difficulty finding qualified workers over the next
5 to 10 years, Chart 6 shows that employers who foresee difficulty in finding qualified workers over
the next 5-10 years say it will be due to highly qualified employed persons not wanting to leave stable
jobs (38 percent major reason; 39 percent minor reason), difficulty offering competitive salaries (37
percent major reason; 40 percent minor reason), and competition from other employers when the
economy improves (34 percent major reason; 39 percent minor reason).
Chart 6:
Reasons that employers anticipate difficulty finding qualified workers in the next 5-10
years (In percent; n=1003)
50
45
40
42
40
38 39
39
37
36
34
35
35
31
30
25
Major
reason
45
44
27
23
Not a
reason at
all
26
23
18
20
Minor
reason
18
15
10
5
0
Qualified
workers do not
want to leave
stable jobs
Difficult to offer Competition for
Qualified
Insufficent
competetive
workers with
workers are not applicant pool
salaries
better economy interested in the
due to
jobs that your
retirements
organization offers
Applicant pool
is not very
qualified
Source question: “I’m going to read a list of possible reasons why it might be difficult to find qualified workers over the
next 5 to 10 years, for each, please indicate if you think it will be a major reason, a minor reason, or not a reason for finding
qualified workers.”
“Although we have a flood of applications, the employees we want are still working
and don’t want to leave a stable job for an unknown when the market is struggling.”
“I think in the very near future the issue we will have – as the market improves and
jobs become available – is not only multiple openings in our organization due to
growth, but also due to turnover from employees leaving for other opportunities.”
“…Not being able to offer new recruits a better salary in these tough economic times.
This is a current problem and it looks to be this way for the next couple of years.”
10
AARP Foundation
When considering future workforce needs, employers say that they plan to find the workers they
need through the traditional methods, such as retaining current employees (96 percent) and word-ofmouth (93 percent) (see Chart 7). At least two-thirds of the respondents also say that they would use
job websites (79 percent); recruit from colleges, universities, and vocational schools (68 percent); and
tap into professional associations (66 percent).
The smallest employers (20-99 employees) most commonly use the informal methods, such as wordof-mouth (93%) and retaining current employees (96%). Larger employers are much more likely than
the smallest employers to use more formal approaches, such as using professional associations,
recruiting from schools, and job websites (not shown).
Chart 7:
Plans to get needed workers (In percent; n=1003)
Attempt to retain current employees
96
Word-of-mouth
93
Job websites
79
Recruit from colleges, universities, and vocational schools
68
Professional associations
66
Newspapers and magazines
63
Social media and networking sites
59
Offer better benefits
41
Look internationally for talent
13
Offshore work
6
0
20
40
60
80
100
Source question: “What do you plan to do to get the workers you need?”
“We will continue to source from various resources: online boards, job fairs, networking
sites, professional groups, internal job postings, and industry recruiting websites.”
“Position the company as an attractive employer with competetive compensation.”
“We will continue our current recruiting from the local high schools and the
vocational schools.”
“We are already placing more emphasis in ensuring employee engagement in an
effort to retain employees.”
Employer Experiences and Expectations
11
Employee Skill Sets
Employers indicate that communication skills (81 percent); basic skills such as reading, writing, or
arithmetic skills (78 percent); and people skills (78 percent) are very important to their organizations
(see Chart 8). Almost seven in ten (68 percent) indicated that industry-specific skills are very important,
followed by computer/information technology skills (43 percent), and analytical skills (38 percent).
Larger businesses with more than 500 employees are more likely to say that these skills very or
somewhat important than smaller businesses (20-499 employees) and are more likely to say that it is
very or somewhat difficult to find applicants with these skills (not shown).
Chart 8: Importance of selected skills (In percent; n=1003)
90
Very important
81
78
80
78
Somewhat important
Not very important
68
70
Not at all important
60
51
50
46
43
41
39
38
40
33
30
20
18
16
10
18
3
1 1
3
1
26
22
18
22
7
1
9
3
32
29
23
12
11
6
7
5
5
ge
ua
ng
la
n
ei
g
en
cy
Fl
u
en
ag
em
M
an
in
to
a
rs
fo
r
up
er
fic
er
ti
or
c
re
ns
u
ce
Li
ills
y
or
vis
io
at
ic
yt
al
An
sk
ills
sk
n
sk
al
Ts
/I
pu
te
r
m
st
ry
du
In
ills
lls
ki
ills
ills
sk
le
Pe
op
ills
sk
Ba
sic
sk
Co
Co
m
m
un
ic
at
io
n
sk
ills
0
Source question: “How important are the following skills to your organization?”
“A mixture of an operation skill set along with people skills…”
“People with everyday common sense…”
“We are all looking for life skills that enable employees to have tact, discernment,
and understanding of how to react to different situations and people. And we are
also looking for adaptability.”
12
AARP Foundation
Chart 9 (below) shows that most employers find it difficult to find applicants with specialized industry
skills. More than half of the respondents (52 percent) say it is very or somewhat difficult to find
these applicants. The chart also shows that more than two in five find it very or somewhat difficult
to find applicants with people skills (43 percent), analytical skills (43 percent), and management or
supervisory skills (41 percent).
Chart 9:
Difficulty finding applicants with selected skills (In percent; n=1003)
45
39
40
37
38
36
33
35
29
26
30
25
25
41
40
41
38
36
35
33
30
30
29
25
27
25
23
21
23
21
20
17
13
15
13
Very difficult
Somewhat difficult
Not very difficult
10
6
5
5
5
5
4
4
3
Not at all difficult
3
sk
sic
Ba
te
r
pu
m
Co
ic
un
m
Co
m
ills
lls
ki
Ts
/I
n
io
at
la
gn
ei
fo
r
a
in
M
an
Fl
u
en
cy
ills
sk
ua
ng
sk
e
pl
Pe
o
er
up
rs
to
en
ag
em
ge
ills
ills
y
or
vis
at
fic
rti
ce
or
e
ur
ns
ce
Li
sk
ills
sk
n
io
al
ic
yt
al
An
In
du
st
ry
sk
sk
ills
ills
0
Source question: “Would you say that it has been very difficult, somewhat difficult, not very difficult, or not at all difficult to
find job applicants with…”
“The most difficult thing for our company has been that we would like them to
have skills in all phases of mechanical contracting. Most of our recruits are
proficient in some areas, but need to train in other phases.”
“Some don’t have what it takes to do even a simple task such as keeping a security
log for their hours worked – a diary of their shift, if you will.”
Employer Experiences and Expectations
13
As seen in Charts 10 and 11, employers feel that the new hires today are more technologically
savvy (71 percent) than their counterparts from 5 years ago, yet most employers say new hires are
about the same in turnover (48 percent), qualifications (69 percent), preparation (51 percent), and
communication skills (61 percent). While 48 percent of employers feel that new hires have about the
same work ethic as five years ago, still 40 percent feel that their work ethic is worse than those hired
five years ago.
Compared to the larger employers (with more than 100 employees), small employers (20-99
employees) are more likely to say that current new hires were less qualified (10 percent), less prepared
(25 percent), and have a worse work ethic (41 percent) than new hires from 5-10 years prior (not
shown).
Chart 10: How new hires compare to hires from five years ago in selected characteristics (In
percent; n=1003)
80
71
69
70
60
51
48
50
More
Less
40
30
24
22
About the same
26
21
24
20
10
0
19
8
2
Techonological savvy
Turnover
Preparation
Qualified
Source question: “In general, how do your organization’s new hires today compare to those five years ago?”
14
AARP Foundation
Chart 11: How new hires compare to hires from five years ago in selected characteristics (In
percent; n=1003)
70
61
60
48
50
40
40
Better
Worse
30
20
About the same
17
19
9
10
0
Communication skills
Work ethic
Source question: “In general, how do your organization’s new hires today compare to those five years ago?”
“I think today’s workers are savvier than they have been in
the past. They seem to possess more than technical skills. I
have found this new crop of workers to be, for the most part,
prepared.”
“(Some) new hires come in with a sense that the company should
be constructed around their interests. What a lot of them have
not learned is a good work ethic.”
“People who were hired 5 to 10 years ago are more seasoned and
experienced employees. The skills and aptitudes of new hires
today are mediocre – most are still growing, living at home, and
have not had a lot of work experience.”
“The skill set is definitely more technologically inclined than
in past years but I feel that the grammar aptitude was much
higher 5 years ago than the new hires of today.”
Employer Experiences and Expectations
15
Employee Degree Requirements
Although it is understood that the level of degree (meaning high school diploma or GED, associate’s
degree, bachelor’s degree, etc.), would not be uniform across all job types and industries, we did
want to see what share of positions required certain degrees. Further, while a certain degree may be
required from a training and education perspective, we also wanted to determine if concessions are
made by substituting experience for those degrees.
With the proliferation of computer and internet use, online learning opportunities have become more
prevalent. We wanted the employers’ view on the value that they may place on a traditional college or
university degree versus an online degree.
Chart 12: Requirement of degrees or certifications for positions (In percent; n=1003)
70
65
59
60
57
56
50
50
38
40
31
30
20
10
0
24
16
12
8
High school
diploma/GED
23
6
5
Associate's
Bachelor's
degree/2-year degree/4-year
Most positions
Some positions
15
11
All positions
14
1
4
Advanced
degree (JD,
PhD,MA)
No positions
5
Certification
program
Source question: “As I read each of the following degrees or certifications, please indicate whether your
organization requires it for all, most, some or no positions.”
The most common level of degree required for most positions in an organization is a high school
diploma or GED (65 percent for all positions and 16 percent for most positions)(see Chart 12).
Results did show that, although certain levels of degrees are required for positions, employers are
willing to forego these requirements in favor of experience or other training. As seen in Chart 13
(below), only 21 percent of employers say that applicants must have the degree.
As shown in Chart 13, more than three-quarters of employers allow substitution of training or
experience, rarely (27 percent), sometimes (40 percent), or often (9 percent). Smaller companies (2099 employees) were most likely to say that they sometimes or often waived the degree requirement
(not shown).
16
AARP Foundation
Chart 13: Substitution of experience and training for required degrees (In percent; n=1003)
50
40
40
30
27
21
20
9
10
0
No, they must have Yes, but it is rare
degrees
Yes, sometimes
Yes, often
Source question: “Has your organization ever hired workers who lack the degrees you typically
require but whose experience or other training appears to make them well suited for the job?”
“Yes and no, because we are an academic environment, higher
education is favored. Many of our administrative positions
require a degree or an equivalent of work-related experience.”
“Yes, we have different licenses that set individuals apart from
each other and in different fields. Our industry has a lot of
different certifications that are needed…”
We are all hung up on degrees, but relevant experience,
intelligence, and the ability to play nice matter much more.”
“If I have 2 or 3 candidates with the same skills and aptitude, the
one with the degree is getting the position.”
Employer Experiences and Expectations
17
Although more than one-quarter (27 percent) of employers prefer that applicant and employee
degrees come from a traditional college or university, 71 percent have no preference between
traditional and online programs (see Chart 14). While no employers say they would prefer an online
to a traditional degree, it is encouraging for non-traditional learners that 71 percent show no bias
between the two.
Not shown in our chart is that smaller companies are more likely to state that they had no preference
between online and traditional degrees. Although 76 percent and 67 percent of smaller companies
(20-99 and 100-499 employees, respectively) state no preference, 51 percent and 58 percent of larger
companies (500-999 and 1000+ employees, respectively) have no preference. Conversely, 22 percent
and 30 percent of smaller companies prefer a traditional degree, while 46 and 38 percent of larger
companies prefer a traditional degree.
Chart 14: Preferred traditional college or university degree (In percent; n=1003)
80
71
70
60
50
40
30
27
20
10
0
2
0
Traditional colleges Online colleges and
and universities
universities
No preference
It depends
Source question: “And now, thinking only about college degrees, in general, which of the following
types of institutions does your organization prefer that job candidates have college degrees from?”
“…Online degrees cause me to pause because of the lack of face-to-face contact and
the inability for a student to work in a team environment.”
“In our line of work, it has to be hands on. Online degrees are not going to work;
they do not have the hands-on experience.”
“I do not have a preference over one or the other. People have different learning
styles and as long as they have the education and can communicate that, I am
satisfied.”
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AARP Foundation
When they did prefer traditional colleges or universities, employers indicated that the most common
reasons were that traditional colleges and universities produce students with the qualifications that
the business needs (93 percent), they require interaction and communication (92 percent), they have
requirements and standards that are well known (91 percent), and that individuals gain people skills
at traditional institutions (90 percent) (see Chart 15).
Small companies with 20-99 employees that prefer traditional colleges (not shown) are far more likely
to attribute this preference to the higher admission standards relative to online programs (91 percent
versus 67 percent for companies of size 100-499; 65 percent for companies of size 500-999; and 68
percent for companies of size 1000+) (not shown).
Chart 15: Reasons why employers prefer traditional colleges or university degrees to online degrees
(In percent: n=266)*
95
93
92
91
90
90
85
80
78
75
70
Produce students
with the
qualifications you
need
Require
interaction and
communication
Requirements
and standards
are well-known
Individuals gain
people skills
Admission
standards are
higher
Source question: “Why does your organization prefer degrees from traditional colleges/universities?”
*Base: Respondents who indicate that their business prefers traditional college degrees in previous question.
“There is no interaction in person with others. Verbal communications are shared
and therefore are an attribute when dealing with customers. In addition, answers
may be easily checked online versus traditional college, [where] you have to think
on your feet.”
“Degrees from traditional colleges have a much higher perceived value because
they are known entities. We want achievers in our company and achievers
successfully attend traditional colleges.”
“Because colleges and universities offer good educations and off-campus people skills.”
“…There are a lot of fly-by-night programs out there where the curriculum is less than
rigorous and you’re essentially paying a fee in exchange for the granting of a degree.”
Employer Experiences and Expectations
19
Training and Recruiting Workers
Workers may be offered a myriad of training opportunities that range from full-semester college
courses to regulated safety training in-house. This section explores the types of training offered to
workers and poses some questions: Has it increased or decreased from past levels and why? Also,
what motivates a company to offer a certain type of training? Do companies have relationships with
learning centers to train or recruit well-qualified employees?
Employers still offer various types of training to their workers, both for basic skills and professional
development. The most common types of training for workers are occupational safety training (80
percent), technical or professional skills (72 percent), and supervisory or management training skills
(69 percent)(see Chart 16). Still, more than half of those employers surveyed also offer computer or IT
training (62 percent), required professional training (58 percent), formal courses toward a degree or
certification (55 percent), and communication skills training (51 percent).
Chart 16: Job training offered to workers (In percent; n=1003)
80
Occupational safety training
72
Technical or professional skills
Supervisory or management skills training
69
62
Computer or IT training
58
Required professional training
55
Formal courses toward a degree or certification
51
Communication skills training
38
Project management training
37
Basic skills (arithmetic, reading, etc.)
23
Career counseling
20
Negotiation skills training
11
English as a second language (ESL) classes
7
Foreign language training
0
10
20
30
40
50
60
70
80
90
Source question: “Does your organization provide the following on-the-job or other training to your workers?”
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AARP Foundation
“We do much of our training in-house. We have provided funding
for more specific training, such as supervisory workshops. We
are open to funding training that applies to the individual’s job.”
“We have an internal learning and development organization
that has put together a great catalog of courses, ranging from
management and leadership development to specific product
training, as well as training to prepare our reps for their
licensing exams.”
“Some of the training cannot be done in-house because it is state
mandated. These classes are paid for by the company.”
Employer Experiences and Expectations
21
Most companies indicate that they had either increased training (46 percent) or kept about the same
amount of training (41 percent) as in years past (Chart 17). For those employers whose organization
had decreased training, the most common reason is that funding had been decreased or completely
cut (77 percent major reason; 18 percent minor reason), followed by the expectation that newly hired
employees were expected to have most of the skills needed (44 percent major reason; 32 percent
minor reason) (Chart 18).
Chart 17: Change in number of training opportunities over the past 5-10 years (In percent; n=1003)
50
41
46
40
30
20
11
10
0
Has not changed
Has increased
Has decreased
Source question: “Have the number of training opportunities your organization provides to
workers changed over the past 5-10 years?
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AARP Foundation
Chart 18: Reasons why training has decreased in the past 5-10 years (In percent; n=105)*
5
18
Funding has decreased
77
25
32
New hires are expected to have most skills
44
Not a reason at all
Minor reason
61
Organization does not see a need for
training
Major reason
22
17
68
25
Employees are not interested in training
7
0
10 20 30 40 50 60 70 80 90
Source question: “For each of the following, please indicate if it is a major reason, a minor reason, or not a
reason at all that the number of training opportunities your organization provides has decreased.”
*Base: Respondents who indicate that their training opportunities have decreased in the previous question.
“For the most part, it hasn’t changed nor will it change. I was
always big on training and continued training to maintain focus
and get better.”
“Our training and funding has decreased over the last
three years. We were putting a lot of resources into it, but
unfortunately it was one of the first things that was cut.”
Employer Experiences and Expectations
23
Although more employers indicate that training has increased rather than decreased in the past 5-10
years, their reasons for increasing training relate to the needs associated with legal requirements
and technology (Chart 19) rather than a fringe benefit to employees. Almost two-thirds of employers
(65 percent) state that a major reason their training increased was that regulatory and compliance
requirements have resulted in training on more topics, such as sexual harassment, occupational
safety, and/or age discrimination. An additional 23 percent say it was a minor reason.
Fifty-four percent indicate that a major reason was that rapid technological change requires more
frequent training (an additional 28 percent selected this as a minor reason). Employers have also
increased training as another benefit to retain employees (46 percent major reason; 30 percent minor
reason). Finally, 44 percent of employers say a major reason for more training was that there are more
requirements for certifications and qualifications than in the past (31 percent minor reason).
Smaller companies (20-99 employees) are less likely to offer any on-the-job or other training to their
workers, relative to businesses with more than 100 employees (not shown).
Chart 19: Reasons why training has increased in the past 5-10 years (In percent; n=463)*
11
Regulatory and compliance requirements
result in more training
23
65
18
Rapid technological change requires more
frequent training
28
54
24
Organization uses it as another benefit to
retain workers
30
46
Not a reason at all
Minor reason
25
More requirements for certifications/
qualifications
Major reason
31
44
51
31
Training is less expensive now
18
53
New hires are not as skilled as they were in
the past
30
16
0
10
20
30
40
50
60
70
Source question: “ For each of the following, please indicate if it is a major reason, a minor reason, or not a
reason at all that the number of training opportunities your organization provides has increased.”
*Base: Respondents who indicate that their training opportunities have increased in the previous question.
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AARP Foundation
”Our training will change depending on the new technology that we are presented
within our industry.”
“For the most part, the proliferation of technology has caused us to increase the
amount of training.”
“The increase in training has been mostly in the compliance area. This is due to the
many new government regulations, federal and state.”
“…We may have to provide more individuals with time off and funds to get all
appropriate licenses and certifications.”
The past 5-10 years have changed the way in which businesses conduct and offer training (see Chart
20). Three in five employers say that technology has led to more self-paced training opportunities,
such as computer-based training programs that individuals complete at their own pace. A similar
percent indicate that more training is offered on the internet (59 percent).
Chart 20: Ways in which training has changed in the past 5-10 years (In percent; n=1003)
100
90
80
70
60
50
40
30
20
10
0
60
59
Technology has led to
more self-paced training
opportunities
More training offered on
the internet
Source question: “In which of the following ways, if any, has the training offered by your
organization changed in the past 5 to 10 years?”
“In the past, meetings were held which took valuable time away from both
management and lower-level personnel. Nowadays, online training is a must as it
offers the opporutnity for the employees to work at their own pace.”
“We’ve added some web-based training for some of the ongoing training that we do
[related to] safety, quality, etc.”
Employer Experiences and Expectations
25
The focus of the training that organizations offer has changed in the past 5-10 years (see Chart 21).
Employers say that training has become more focused on specific professional skills (71 percent);
more focused on regulatory and compliance requirements, such as age discrimination, sexual
harassment, and occupational safety (71 percent); more focused on new technologies (67 percent);
and more focused on skills related to certification (54 percent). Only 19 percent indicate that training
today is more focused on the basic arithmetic, reading, and writing, skills. This could mean that
the employees are less in need of these trainings, or that businesses no longer have the time and
resources to train for these basic skills.
Chart 21: How the focus of training opportunities has changed in the past 5-10 years (In percent;
n=1003)
More focused on regulatory and
compliance requirements
71
More focused on specific
professional skills
71
More focused on new
technologies
67
More focused on skills related to
certification
How focus of training has changed in
the past 5 to 10 years
54
More focused on basic skills, such
as arithmetic, reading, and writing
19
0
10 20 30 40 50 60 70 80
Source question: “In which of the following ways has the focus of your organization’s training opportunities
changed in the past 5 to 10 years?”
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AARP Foundation
Employers indicate that they have relationships with various schools for the purposes of training
and recruiting qualified employees (see Chart 22). Most commonly, organizations have training
relationships with traditional colleges or universities (36 percent), community colleges (32 percent),
and vocational schools or centers (30 percent). In order to recruit qualified workers, employers most
commonly utilize relationships with job websites (61 percent). They also rely on their relationships
with traditional colleges and universities (45 percent), community colleges (34 percent), and
vocational schools (32 percent) to recruit qualified workers.
Smaller employers (20-99 employees) were less likely to have any of these relationships for training
and recruiting qualified workers (not shown).
Chart 22: Relationships with training centers or schools for purposes of training or recruiting workers
(In percent; n=1003)
70
61
60
50
45
Online colleges or universities
40
36
30
30
20
18
32
32
34
24
21
Local high schools
Vocational schools or centers
Community colleges
Traditional colleges or universities
Websites that list job openings
11
10
0
For training
For recruiting
Source questions: “Does your organization have relationships with any of the following training centers or schools to help
train workers or develop courses that produce workers with the skills your organization needs?”
“Does your organization have relationships with any of the following training centers or schools to help recruit workers?”
“We do not anticipate any problems with finding the right people with the right
skills as we have a great source from the local vocational schools, which has really
created a good beginning for those who want to try our industry.”
“We work with a lot of the local colleges to recruit graduates. We have also partnered
with local community colleges to provide trainers for the courses we offer.”
Employer Experiences and Expectations
27
The Effect of Baby Boom Retirees
As baby boomers reach age 60 and beyond and traditional sources of retirement income become
available to them, will they create a knowledge vacuum in their wake? This section explores how
concerned employers are with the impending retirement of the baby boomers. What plans do they
have in place for when the older worker retires?
As shown in Chart 23, employers appear to be concerned about losing knowledge and critical
experience as their organization’s older workers retire. In fact, 24 percent said they are very concerned
and an additional 39 percent said they are somewhat concerned.
Smaller companies with 20-99 employees are less concerned (41 percent not very concerned or not at
all concerned) than companies with more than 100 employees (versus 33 percent for companies with
100-499 employees; 28 percent for companies with 500-999 employees; and 25 percent for companies
with 1000+ employees) (not shown).
Chart 23: Concern about losing knowledge and critical experience as older workers retire (In percent;
n=1003)
45
39
40
35
30
25
24
22
20
15
15
10
5
0
Very concerned
Somewhat concerned
Not very concerned
Not at all concerned
Source question: “How concerned are you about losing knowledge and critical experience as your organization’s older
workers retire?”
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AARP Foundation
“As older workers retire there is real concern about losing a great
deal of knowledge. But what concerns me (as much) is finding
the right individual who has the same work ethic as the older
person.”
“This is definitely a concern for us. We have many older workers
who have great institutional knowledge and we are looking for
ways to transition this knowledge.”
“This is a huge concern. The aging workforce and the potential
hemorrhaging of knowledge as a result will pose a significant
challenge to our business.”
“We generally have a young workforce. Our senior management
team are mostly in their 40s so this is not a major issue for us.”
Employer Experiences and Expectations
29
In considering how to mitigate this potential loss of knowledge, employers plan to take certain steps
to stem the loss of critical experience (see Chart 24). More than half of the employers in this survey
say that they will try to keep older workers on as part-time workers or consultants (69 percent),
they will use a knowledge transfer program to allow workers who are approaching retirement age to
mentor or transfer knowledge to younger workers (53 percent), and they will use a succession plan for
critical positions (51 percent).
Larger companies with 500 or more employees are more likely to use a knowledge transfer or formal
succession program versus smaller companies (not shown).
Chart 24: Plans to address the knowledge and experience gap created by retiring workers (In
percent; n=1003)
80
69
70
60
50
53
51
Training or knowledge
transfer program
A succession plan for
critical positions
46
40
30
20
10
0
Try to entice older workers Keep older workers on as
to remain as full-time
part-time employees or
employees
consultants
Source question: “How do you plan to address the knowledge and experience gap that your organization may face as older
workers retire?”
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AARP Foundation
“My idea is to keep some of the older workers around for
consulting on a part-time basis as needed.”
“We have a succession plan in place so that a transfer of
knowledge can take place…”
“…I am hoping that there will be enough around through
consultancy work that they can quickly mentor the younger
workers enough so that the large exodus doesn’t reduce business
effectiveness.”
“We have introduced a part-time status for those who want semiretirement that is flexible to their needs and wants, but still
provides us with access to their skills and knowledge.”
Employer Experiences and Expectations
31
Conclusion
At the outset of this research, we expected that employers would have some concerns about finding
skilled workers, now and in the future, and that most would indicate cuts in training. Most employers
report that they have not had a high level of difficulty finding skilled applicants and do not expect
a problem in the future. They are somewhat concerned that they will lose critical knowledge when
workers retire but plan to mitigate that loss by keeping older workers on as part-time employees
or consultants and by developing knowledge transfer programs. Despite recent problems in the
economy, most employers have not cut training for their employees, but this may be in part due to
the need for training to satisfy the high level of regulatory and licensing requirements.
Although most employers do not express anxiety about finding qualified workers in the future,
this may be because they are seeing the issue through the lens of the recession, where workers are
applying for open positions in droves and may be willing to make concessions in accepting a job. It
is possible that employers are being somewhat short-sighted, both in their relatively low concern at
finding skilled workers and in judging the impact of the retirement of a generation of workers.
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AARP Foundation
Appendix 1: Survey Methodology
The AARP Human Resource Survey involved telephone interviews with a random sample of 1003
human resource directors of companies with 20 or more employees. The telephone interviews were
conducted in English by Woelfel Research, Inc. (WRI) from May 17 to July 7, 2010. The results from the
study were weighted by company size. The margin of sampling error for the sample was ±3.1 percent.
Details on the design and execution of the survey are discussed below.
Design and Data Collection Procedures
Sample Design
Woelfel Research, Inc. acquired a random sample of businesses drawn from the Dun & Bradstreet
population of all companies in the United States with 20 or more employees. Respondents from the
businesses were screened for the following characteristics:
nn
nn
nn
nn
nn
Head, manager, or high level human resources executive
Been with the organization at least six months
Respondent worked at headquarters, a subsidiary headquarters, or the company’s sole location
Had a high degree of influence over recruiting and workforce planning
Had a high degree of knowledge and/or decision-making responsibility for training and
development programs for employees
The sampling plan was to conduct an even number of interviews in each of four size segments:
nn
nn
nn
nn
20-99 employees (n=251)
100-499 employees (n=250)
500-999 employees (n=250)
1000+ employees (n=252)
Questionnaire Development and Testing
The questionnaire was developed by AARP staff. In order to improve the quality of the data, the
questionnaire was pretested with a small number of respondents. The pretest interviews were
monitored by WRI and AARP staff, and conducted using experienced interviewers who could best
judge the quality of the answers given and the degree to which respondents understood the questions.
Contact Procedures
Each telephone number in the sample was called an average of four times. The sample was released
for interviewing in replicates, which were representative subsamples of the larger sample. Using
replicates to control the release of the sample ensured that completed call procedures were followed
for the entire sample. It also ensured that the geographic distribution of the numbers called was
appropriate. Calls were staggered over times of day and days of the week to maximize the chance
of making contact with potential respondents. After four calls a message was left on the answering
machine of the respondent informing him or her of the purpose of the survey along with an 800
number to call to be interviewed.
Employer Experiences and Expectations
33
Weighting
The total sample was weighted by number of employees. The table below contains information about
the weighting.
The table explains the percent of the population for all companies in each size category based on Dun
& Bradstreet; the percent of each type of business in the sample; and the percent of each company
after applying the weights.
Table 1. Weights
Number of Employees
50-99
100-499
500-999
1000+
Population
58.0 percent
30.1 percent
5.4 percent
6.4 percent
Sample
25.0 percent
25.0 percent
25.0 percent
25.0 percent
Weighted Sample
58.1 percent
30.1 percent
5.4 percent
6.4 percent
Statistical Testing
The significance testing reported in this study used the “effective” base size as opposed to either the
weighted or unweighted base size. The effective base size was calculated simply as the (sum of the
weight factors) squared/sum of the squared weight factors. The formula was as follows:
n
n
(Sw1)2
__i=1___
Sw12
i=1
Where:
w was the magnitude of the weight
n was the number of cases in the sample
i was the first case
Response Rate/Cooperation Rate/Refusal Rate
The response rate for this study was measured using AAPOR’s response rate 3 method. The
cooperation rate was measured using AAPOR’s cooperation rate 3 method. The refusal rate was
measured using AAPOR’s refusal rate 3 method.
Telephone
Response Rate
10 percent
Cooperation Rate
95 percent
Refusal Rate
3 percent
Source: AAPOR Outcome Rate Calculator Version 2.1, May 2003, www.aapor.org.
34
AARP Foundation
Appendix 2: Annotated Survey
June 2010
n=1,003, Sampling Error =±3.1 percent, RESPONSE RATE 10 percent
Quotas:
Group 1 (20-99 employees):
Group 2 (100-499 employees):
Group 3 (500-999 employees):
Group 4 (1000+ employees):
250 Respondents
250 Respondents
250 Respondents
250 Respondents
Screener Questions
S1.
[BEGIN ONLY AFTER IT APPEARS YOU MAY HAVE THE RIGHT PERSON ON THE PHONE]
Hello, my name is _________. I am calling from [vendor] regarding a National Human
Resources Survey of Employers. I am trying to reach [CONTACT NAME FROM SAMPLE OR, IF
NO NAME SUPPLIED, “the head of your human resources department”].
[IF NO HUMAN RESOURCES DEPARTMENT OR PERSON FROM SAMPLE IS NO LONGER
WITH ORGANIZATION, “Then may I speak with the person who makes decisions regarding
recruiting, training, and other decisions related to human resources.”
[PROCEED ONCE CORRECT PERSON IS ON THE PHONE]
[IF PERSON NOT AVAILABLE, RECORD NAME AND CONTACT NUMBER FOR CALLBACK.]
NEW HR CONTACT NAME: _______________________________________
NEW HR CONTACT PHONE: ______________________________________
[INTERVIEWERS: IF NECESSARY CALLBACK IMMEDIATELY TO GET THE ABOVE
INFORMATION.]
S2. We are conducting a national study among HR executives across the country. Your
organization has been randomly selected to participate and we would very much like to
include your views.
Is now a good time to do this?
[IF NOT: Can we schedule another time that is more convenient? [IF NECESSARY: “In all, the
survey will take 15 to 20 minutes depending on your answers.”]
1
Yes, Now is a Good Time è [PROCEED]
2
No, Now is NOT a Good Time è [SCHEDULE CALLBACK]
3
REFUSED è TERMINATE
INTERVIEWER & PROGRAMMER NOTE: PLEASE ASK FOR PHONE NUMBER FIRST, THEN
CONTACT NAME. HOWEVER, ALLOW INTERVIEWERS TO RECORD THEM IN EITHER
ORDER IN CASE RESPONDENT OFFERS ONE BEFORE THE OTHER.
Employer Experiences and Expectations
35
IF NECESSARY:
“I assure you that we are not selling anything and you will not be contacted by anyone as a
result of your participating in this survey.”
“All of your answers would remain completely confidential. Neither you nor your organization
would be specifically identified in the data.”
S3. Let’s get started. First, are you the head of human resources for your organization?
1
2
98
99
Base: Total respondents
Yes è [SKIP TO S6]
No
DON’T KNOW / NOT SURE
REFUSED è [TERMINATE]
n=1003
percent
96
4
-
S3a. Are you a manager or higher-level executive with responsibilities for human resources policies
for your organization?
1
Base: Total asked
Yes
n=44
percent
100
S4a. When it comes to making decisions about human resource policies that include recruiting and
workforce planning, would you say you…
1
2
3
Base: Total asked
Make decisions by yourself and have a high degree of influence
over recruiting and workforce planning for your organization
Make decisions by yourself and have some degree of influence over
recruiting and workforce planning for your organization
Make decisions with others and have a high degree of influence over
recruiting and workforce planning for your organization
n=44
percent
33
5
62
S4b. Would you say that you have a high degree of knowledge or have decision-making
responsibility in your organization for training and development programs for employees?
[INTERVIEWERS: NOTE THAT THE RESPONDENT DOES NOT NEED TO HAVE PRIMARY
RESPONSIBILITY OR DIRECTLY HANDLE TRAINING AND DEVELOPMENT PROGRAMS.
HAVING A “HIGH DEGREE OF KNOWLEDGE” ABOUT THE AREA IS ALSO ACCEPTABLE.
VERIFY ‘NO’ TO BOTH BEFORE ENTERING ‘NO’]
1
2
98
99
Base: Total asked
Yes
No
DON’T KNOW / NOT SURE
REFUSED è [TERMINATE]
n=44
percent
100
-
{Continue with survey only if respondent answers “yes” to S4b. Otherwise, terminate.}
{If correct person on phone based on screening criteria above, continue to S6}
{If not the correct person on the phone, based on responses above, continue to S5a and S5b}
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AARP Foundation
S5a. Can you please tell us the name and contact information for the head of your Human
Resources department or a person with a primary decision–making responsibility in the areas
of benefits, workforce planning, and employee training?
NEW HR CONTACT NAME: _______________________________________
NEW HR CONTACT PHONE: _______________________________________
S5b.
May I speak to him/her?
1.
Yes, Coming to Phone è [SKIP TO S2]
2.
No, Not available è [SCHEDULE CALLABCK]
3.
REFUSED è [TERMINATE]
S6. Have you been with your current organization for at least six months?
1
S7.
Base: Total respondents
Yes
n=1003
percent
100
Which of the following best describes your organization?
(READ LIST. ACCEPT ONLY ONE ANSWER)
1
2
3
4
5
97
Base: Total respondents
Federal, state, or local government
Public school system or public university
Private school system or private university
Non-profit organization other than government
For-profit organization
Other (Please specify: ______________________)
n=1003
percent
1
9
2
17
71
1
If S7=public school system or pubic university, or private school system or private university:
S7a.
Which of the following best describes the location of your offices? Are your offices located at
your school system’s or university’s headquarters or main office, at the sole location for your
school system or university, or are they located somewhere else?
1
2
Base: Public/private school system or public/
private university
Headquarters or main office
Sole location
n=102
percent
89
11
If S7 does NOT equal public school system/university or private school system/university:
S7b. Which of the following best describes the location of your offices? Are they located at
your organization’s headquarters, a subsidiary headquarters, at the sole location for your
organization, or are they located somewhere else?
1
2
3
Base: Not public/private school system or
public/private university
Headquarters
Subsidiary headquarters
Sole location
Employer Experiences and Expectations
n=901
percent
79
9
12
37
S8. Excluding nonpermanent employees, such as contract or temporary workers, approximately
how many employees does your organization have TOTAL, in all locations in the United
States? [IF NECESSARY: “Just your best estimate is fine.”] [Record ACTUAL # and CHECK
QUOTA BASED ON categorIES BELOW]
1
2
3
4
Base: Total respondents
20-99 employees
100-499 employees
500-999 employees
1000+ employees
n=1003
percent
58
30
5
6
If S7= nonprofit, for profit, or other {auto fill for schools and government per instructions below}
S9. Which of the following best describes the industry or type of business your organization is
primarily involved in?
[READ LIST. ACCEPT ONE RESPONSE ONLY. IF RESPONDENT OFFERS MORE THAN ONE
ASK, “If you had to pick only one of these to represent your organization, which one do you
think best describes it?”]
1
2
3
4
5
6
7
8
9
10
11
98
S10.
n=1003
percent
17
9
14
6
18
6
6
8
3
2
11
1
In what U.S. state is your organization’s headquarters or home office in? [Please capture the
state’s two-letter abbreviation]
1
2
3
4
5
98
38
Base: Total respondents
Retail or wholesale trade
Healthcare / health services
Education and educational services {Auto fill for S7=2 or 3}
Construction
Manufacturing
Professional and business services (IF NECESSARY: “This includes services such as
legal services, marketing, advertising, consulting, bookkeeping, and engineering.”)
Technology, information, and information services (IF NECESSARY: “This includes
services such as publishing, media, telecommunications, and internet service
providers.”)
Finance/insurance/real estate
Hospitality/leisure
Government {Auto fill for S7=1}
Or is your organization involved in some other industry?
[Please specify: _______________________ ]­­­­­­­­­­­­­­­­­
[DO NOT READ] DD DON’T KNOW RR REFUSED
Base: Total respondents
Northeast
Southeast
Midwest
Southwest
West
DK/refused
n=1003
percent
68
9
12
7
5
<0.5
AARP Foundation
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
STATE
AK
AL
AR
AZ
CA
CO
CT
DC
DE
FL
GA
HI
IA
ID
IL
IN
KS
KY
n=1003
percent
0
1
<0.5
<0.5
3
<0.5
6
<0.5
<0.5
2
1
<0.5
1
<0.5
2
1
1
1
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
STATE
LA
MA
MD
ME
MI
MN
MO
MS
MT
NC
ND
NE
NH
NJ
NM
NV
NY
OH
n=1003
percent
<0.5
25
1
10
2
1
1
1
0
2
0
<0.5
8
7
<0.5
<0.5
4
2
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
98
STATE
OK
OR
PA
RI
SC
SD
TN
TX
UT
VA
VT
WA
WI
WV
WY
DK/REF
n=1003
percent
<0.5
<0.5
2
2
1
1
1
2
1
2
4
1
1
<0.5
<0.5
<0.5
Survey Questions
1.
Before the recession started, had your organization been having trouble finding sufficient
numbers of workers with the skills you need to do your business?
1
2
98
99
n=1003
percent
21
77
2
<0.5
1a. If yes: And, before the recession, would you say that your organization experienced these
troubles for {Read, and reverse order of response options for 50 percent of respondents}
1
2
3
4
98
2.
Base: Total respondents
Yes
No
Don’t know
Refused
Base: “Yes” in Q.1
Some positions
Many positions
Most positions
All positions
Don’t know
n=214
percent
68
14
13
5
<0.5
Since the recession started, has your organization had trouble finding sufficient numbers of
workers with the skills you need to do your business?
1
2
98
99
Base: Total respondents
Yes
No
Don’t know
Refused
Employer Experiences and Expectations
n=1003
percent
17
81
1
<0.5
39
2a. If yes: And, since the recession started, would you say that your organization has experienced
these troubles for {Read, and reverse order of response options for 50 percent of respondents}
1
2
3
4
98
99
2b. If Q2=No: For each of the following, please indicate whether it is a major reason, a minor
reason, or not a reason at all that your organization has not had trouble finding qualified
workers ? {Randomize.}
Base: “No” in Q.2
n=813
a.The poor economy has resulted in a large applicant
pool
b.Your organization hasn’t been doing much hiring due to
slow business or for budgetary reasons
c.Your organization has fewer job openings because the
poor economy has resulted in less turnover
d.Your organization has used more contract or temporary
workers
e.Your organization has decided to offshore jobs to other
locations
3.
n=174
percent
70
11
12
6
1
1
Base: “Yes” in Q.2
Some positions
Many positions
Most positions
All positions
Don’t know
Refused
Major
reason
percent
39
Minor
reason
percent
27
Not a
reason at
all
percent
33
DK
percent
1
Ref
percent
<0.5
40
20
39
<0.5
<0.5
39
27
34
1
-
4
14
82
1
-
<0.5
6
94
<0.5
-
How important are the following skills to your organization? [For each, ask very important,
somewhat important, not very important, or not at all important] {Randomize}
Very
Somewhat Not very
Base: Total respondents
important important important
n=1003
percent
percent
percent
a.Skills that are specialized to your
68
22
7
industry
b.Computer and information
43
41
9
technology skills
c.Skills related to licensure or
33
26
22
certifications
d. Management or supervisory skills
29
51
12
e. Analytical skills
38
46
11
f.Basic skills, such as basic arithmetic,
78
18
3
basic writing, or reading skills
g.Fluency in a foreign language other
5
23
32
than English
h. Communication skills
81
16
1
78
18
3
i. People skills
40
Not at all
important
percent
3
DK
percent
1
Ref
percent
-
6
<0.5
-
18
1
-
7
5
1
2
1
<0.5
<0.5
-
39
1
<0.5
1
1
<0.5
<0.5
-
AARP Foundation
4.
Would you say that it has been very difficult, somewhat difficult, not very difficult, or not at
all difficult to find job applicants with {Read, and randomize. Record response for each. Allow
“not applicable,” but don’t read.}
Base: Total respondents
n=1003
a.Skills that are specialized to your
industry
b.Computer and information
technology skills
c.Skills related to licensure or
certifications
d. Management or supervisory skills
e. Analytical skills
f.Basic skills, such as basic arithmetic,
basic writing, or reading skills
g.Fluency in a foreign language other
than English
h. Communication skills
i. People skills
5.
Somewhat
difficult
percent
39
Not very
difficult
percent
25
Not at all
difficult
percent
21
3
27
38
30
2
<0.5
5
25
29
33
6
2
5
6
3
36
37
13
30
29
40
25
26
41
3
3
3
1
<0.5
-
4
17
21
41
13
4
4
5
35
38
36
33
23
23
1
1
-
DK
percent
2
Ref
percent
-
As I read each of the following degrees or certifications, please indicate whether your
organization requires it for all, most, some, or no positions.
1
2
3
4
5
6.
Very
difficult
percent
13
Base: Total respondents
n=1003
High school diploma or G-E-D
Associate’s degree, or 2-year
college degree
Bachelor’s degree, or 4-year
college degree
Advanced degree, such as
Master’s, Ph.D., law degree, etc.…
Completion of a certification
program
All
positions
percent
65
6
Most
positions
percent
16
11
Some
positions
percent
12
59
No
positions
percent
8
24
DK
percent
<0.5
<0.5
Ref
percent
<0.5
5
15
57
23
<0.5
<0.5
1
4
38
56
<0.5
<0.5
5
14
50
31
1
1
Has your organization ever hired workers who lack the degrees you typically require but whose
experience or other training appears to make them well suited for the job?
1
2
3
4
98
99
Base: Total respondents
No, applicants must have the degree
Yes, but it is rare
Yes, sometimes
Yes, this happens often
Don’t know
Refused
Employer Experiences and Expectations
n=1003
percent
21
27
40
9
4
<0.5
41
7.
And now, thinking only about college degrees, in general, which of the following types of
institutions does your organization prefer that job candidates have college degrees from?
{Read, and rotate top 2.}
1
2
3
4
98
99
Base: Total respondents
Traditional colleges and universities
Online colleges and universities
Your organization has no preference
It depends {allow, but don’t read}
Don’t know
Refused
n=1003
percent
27
71
2
<0.5
1
7a.
If traditional colleges/universities in above question:
Why does your organization prefer degrees from traditional colleges/universities? (interviewer
should read this list and capture yes/no responses) {Randomize}
Base: “Traditional colleges” in Q.7
n=266
a.Requirements and standards for graduation from traditional colleges and
universities are well known
b. Admission standards are higher for traditional colleges and universities
c. Traditional colleges and universities require interaction and communication
d. Individuals gain people skills in traditional colleges and universities
e.Traditional colleges and universities produce students with the qualifications
your organization needs
f. Other
8.
13
6
8
4
9
2
2
2
<0.5
<0.5
32
67
2
<0.5
Base: Total respondents
Very difficult
Somewhat difficult
Not very difficult
Not at all difficult
Don’t know
Refused
n=1003
percent
6
37
29
26
2
-
8a. If 8 = Very/somewhat for which of the following types of positions do you anticipate
problems? {read and rotate}
1
2
42
78
92
90
93
Would you say that it will be very difficult, somewhat difficult, not very difficult, or not at all
difficult to find qualified workers over the next 5 to 10 years?
1
2
3
4
98
99
Yes
No
DK
Ref
percent percent percent percent
91
8
2
-
Base: “Very/somewhat difficult” in Q.8
n=430
Supervisory and management
Non-supervisory and non-management
Yes
percent
50
59
No
percent
49
40
DK
percent
1
<0.5
Ref
percent
-
AARP Foundation
9.
I’m going to read a list of possible reasons why it might be difficult to find qualified workers
over the next 5 to 10 years, for each, please indicate if you think it will be a major reason, a
minor reason, or not a reason for finding qualified workers:
Base: Total respondents
n=1003
a.Competition for workers from other employers will increase
as the economy improves
b. It may be difficult to offer competitive salaries
c.The pool of applicants will be insufficient due to baby
boomer retirements
d. Applicant pool is not very qualified
e.Highly qualified employed people do not want to leave
stable jobs
f.It may be difficult to find qualified workers who are
interested in the types of jobs that your organization offers
10.
Major
reason
percent
34
Minor
reason
percent
39
Not a
reason
at all
percent
27
DK
percent
<0.5
Ref
percent
<0.5
37
18
40
36
23
44
<0.5
1
<0.5
<0.5
18
38
45
39
35
23
1
1
<0.5
<0.5
26
42
31
1
<0.5
What do you plan to do to get the workers you need? {Read these items and capture yes/no for
each. Randomize)
Base: Total respondents
n=1003
a. Use job websites
b. Advertise in newspapers and magazines
c. Utilize word-of-mouth
d. Use social media and networking sites
e. Tap into professional associations
f. Recruit from colleges, universities, and vocational schools
g. Offer a better benefits package
h. Look internationally for talent
i. Offshore work
j. Attempt to retain current employees
Employer Experiences and Expectations
Yes
percent
79
63
93
59
66
68
41
13
6
96
No
percent
21
37
7
39
33
31
56
85
93
4
DK
percent
<0.5
<0.5
<0.5
2
1
1
3
1
1
<0.5
Ref
percent
<0.5
<0.5
-
43
11.
In general, how do your organization’s new hires today compare to those five years ago? Would
you say new hires today {For each characteristic, indicate better/more or worse/less or about
the same): {Randomize}
Base: Total respondents
n=1003
a.Exhibit more turnover, less turnover, or is turnover about
the same as it was 5 years ago?
b.Are less qualified, more qualified, or are their qualifications
about the same as new hires 5 years ago?
c.Are more technologically savvy, less technologically savvy,
or just as technologically savvy as new hires 5 years ago?
d.Are more prepared, less prepared, or as prepared as new
hires five years ago to fill jobs at your organization?
e.Have better communication skills, worse communication
skills, or similar communication skills as new hires 5 years
ago?
f.Have a better work ethic, worse work ethic, or similar work
ethic to new hires 5 years ago?
12.
19
8
69
3
<0.5
71
2
24
2
1
21
24
51
3
<0.5
Better
17
Worse
19
About
the same
61
DK
3
Ref
<0.5
9
40
48
3
<0.5
n=1003
percent
24
39
22
15
1
-
Base: Total respondents
Very concerned
Somewhat concerned
Not very concerned
Not at all concerned
Don’t know
Refused
How do you plan to address the knowledge and experience gap that your organization may
face as older workers retire? (Read and capture yes/no for each. Randomize)
Base: Total respondents
n=1003
a. Try to entice older workers to remain as full-time workers
b.Your organization will keep older workers on as part-time
workers or consultants
c.Your organization is planning a training or knowledge
transfer program to allow workers who are approaching
retirement age to mentor or transfer knowledge to younger
workers
d.Your organization has a succession plan in place for critical
positions
e. Other: specify
44
DK
Ref
percent percent
4
<0.5
How concerned are you about losing knowledge and critical experience as your organization’s
older workers retire?
1
2
3
4
98
99
13.
About
the same
percent
48
More
Less
percent percent
22
26
Yes
percent
46
69
No
percent
52
27
DK
percent
3
4
Ref
percent
<0.5
<0.5
53
45
2
<0.5
51
46
3
-
9
90
1
-
AARP Foundation
14.
Does your organization provide the following on-the-job or other training to your workers?
{Read and randomize.}
Base: Total respondents
n=1003
a. Specific technical or professional skills training
b.Basic skills training (basic arithmetic, basic writing, or
reading skills)
c.Formal courses that lead to certification or degrees
applicable to the job
d.Required professional training (e.g., continuing legal or
accounting credits)
e.Computer / information technology and communication
technology skills training
f.Communication skills training (e.g., presentation or writing
skills)
g. Project management skills training
h. Negotiation skills training
i. Supervisory or management skills training
j. Career counseling
k. English as a Second Language (ESL) classes
l. Foreign language training
m. Occupational safety training
15.
No
percent
28
62
DK
percent
1
<0.5
Ref
percent
<0.5
55
44
1
-
58
41
1
-
62
38
1
-
51
49
1
-
38
20
69
23
11
7
80
61
79
30
77
89
93
20
1
1
<0.5
1
<0.5
<0.5
1
<0.5
Have the number of training opportunities your organization provides to workers changed
over the past 5-10 years?
1
2
3
98
99
Yes
percent
72
37
Base: Total respondents
Has not changed
It has increased
It has decreased
Don’t know
Refused
n=1003
percent
41
46
11
2
<0.5
15a. If 15=decreased: For each of the following, please indicate if it is a major reason, a minor
reason, or not a reason at all that the number of training opportunities your organization
provides has decreased. {Randomize}
Base: “Decreased” in Q.15
n=105
a. Funding has decreased or been completely cut
b. New hires are expected to have most of the skills needed
c. Employees aren’t interested in training
d. Your organization doesn’t see a need for training
Employer Experiences and Expectations
Major reason
percent
77
44
7
17
Minor reason
percent
18
32
25
22
Not a reason
at all
percent
5
25
68
61
45
15b. If 15 =increased, why? For each of the following, please indicate if it is a major reason,
a minor reason, or not a reason at all that the number of training opportunities your
organization provides has increased. {Randomize}
Base: “Increased” in Q.15
n=463
a.There are more requirements for certifications/
qualifications
b.Training is less expensive now, which enables you to offer
more training opportunities.
c.Regulatory and compliance requirements have resulted
in training on more topics, such as sexual harassment,
occupational safety, and/or age discrimination
d.Your organization uses it as another benefit to retain
employees
e. New hires are not as skilled as they were in the past
f. Rapid technological change requires more frequent
training.
16.
DK
percent
<0.5
18
31
51
1
65
23
11
1
46
30
24
1
16
54
30
28
53
18
1
<0.5
Yes
percent
No
percent
DK
percent
Ref
percent
60
59
39
39
1
2
1
1
Yes
percent
No
percent
DK
percent
Ref
percent
54
43
2
<0.5
19
67
71
79
32
27
2
2
2
<0.5
<0.5
<0.5
71
27
2
<0.5
Does your organization have relationships with any of the following training centers or
schools to help train workers or develop courses that produce workers with the skills your
organization needs? (Randomize)
Base: Total respondents
n=1003
a. Local high schools
b. Community colleges
c. Vocational schools or centers
d. Online colleges or universities
e. Traditional colleges or universities
46
Not a
reason at
all
percent
25
In which of the following ways has the focus of your organization’s training opportunities
changed in the past 5 to 10 years? {Read, randomize, capture yes/no for each.}
Base: Total respondents
n=1003
a.Training today is more focused on skills related to
certification
b.Training today is more focused on basic skills, such as
basic arithmetic, writing, or reading
c. Training today is more focused on new technologies
d.Training today is more focused on specific professional skills
e.Training today is more focused on regulatory and
compliance requirements (e.g., age discrimination, sexual
harassment, and occupational safety)
18.
Minor
reason
percent
31
In which of the following ways, if any, has the training offered by your organization changed in
the past 5 to 10 years? {Read, randomize, capture yes/no for each.}
Base: Total respondents
n=1003
a. Technology has led to more self-paced training
opportunities, such as computer-based training programs
that individuals complete at their own pace.
b. More training is offered on the internet
17.
Major
reason
percent
44
Yes
percent
21
32
30
18
36
No
percent
79
68
69
82
64
DK
percent
<0.5
<0.5
1
1
1
Ref
percent
<0.5
<0.5
<0.5
<0.5
<0.5
AARP Foundation
19.
Does your organization have relationships with any of the following training centers or schools
to help recruit workers? (randomize)
Base: Total respondents
n=1003
a. Local high schools
b. Vocational schools or centers
c. Community colleges
d. Online colleges or universities
e. Traditional colleges or universities
f.Web sites that list job openings (such as monster.com or
careerbuilder.com)
Yes
percent
24
32
34
11
45
No
percent
75
67
65
88
55
DK
percent
1
1
<0.5
1
<0.5
Ref
percent
<0.5
<0.5
<0.5
<0.5
<0.5
61
38
1
<0.5
Firmo-/Demographics
D1.
Finally I have just a few last questions. Does your organization have more than one location?
Base: Total respondents
1 Yes
2 No
98 DON’T KNOW / NOT SURE
99 REFUSED
D2.
Excluding contract and temporary workers, has the number of your organization’s total U.S.
employees increased, decreased, or stayed about the same over the past five years?
Base: Total respondents
1 Increased
2 Decreased
3 Stayed about the same
98 DON’T KNOW / NOT SURE
99 REFUSED
D3.
n=1003
percent
78
22
<0.5
<0.5
n=1003
percent
32
38
29
1
<0.5
What percentage of your total workforce in all your locations in the United States is age 50
years or older? [IF NEEDED, IF RESPONDENT SAYS HE/SHE DOES NOT KNOW: “If you are
not sure, your best estimate is fine.”]
RECORD EXACT PERCENTAGE [MUST BE BETWEEN 0 AND 100]: ___ percent
Base: Total respondents
1 Zero
2 1 percent - 10 percent
3 11 percent - 20 percent
4 21 percent - 30 percent
5 31 percent - 40 percent
6 41 percent - 50 percent
7 51 percent - 60 percent
8 61 percent - 70 percent
9 71 percent - 80 percent
10 81 percent - 90 percent
11 91 percent - 100 percent
98 DON’T KNOW / NOT SURE
99 REFUSED
Employer Experiences and Expectations
n=1003
percent
1
21
18
19
14
13
4
2
1
1
6
1
47
D4.
What is your current job title? [USE THE FOLLOWING RED ITEMS AS RESPONSES OPTIONS
AND THEN AN OTHER FOR ANYTHING THAT DOESN’T FIT]
[THE FOLLOWING IS FOR CODING PURPOSES ONLY]
Base: Total respondents
01 Vice President, Human Resources / Human Resources VP
02 Vice President, Personnel / Personnel VP
03 Personnel Director / Director, Personnel
04 Human Resources Director / Director, Human Resources
05 Human Resources Manager / Manager, Human Resources
06 Personnel Manager / Manager, Personnel
07 HR Specialist / HR Generalist
08 Human Resources Professional
09 Other Manager/Director/Officer
97 Other Title [SPECIFY]
98 DON’T KNOW / NOT SURE
98 REFUSED
n=1003
percent
5
2
1
21
24
1
5
3
15
21
<0.5
2
D5. What is your age?
____________ (RECORD RESPONSE) (range 18-96)
Base: Total respondents
1 21 - 34
2 35 - 49
3 50 - 59
4 60 +
98 DK/refused
n=1003
percent
12
37
32
13
7
D6. Record respondent’s gender:
Base: Total respondents
1 Male
2 Female
n=1003
percent
27
73
Thank you very much. Those are all my questions.
48
AARP Foundation
AARP Foundation is AARP’s affiliated charity. The Foundation is dedicated to serving vulnerable people 50+ by creating
solutions that help them secure the essentials and achieve their best life. AARP Foundation focuses on: hunger, housing,
income and isolation as our key mission areas. The Foundation envisions: ‘a country free of poverty where no older
person feels vulnerable.’ Foundation programs are funded by grants, tax-deductible contributions and AARP. For more
information about AARP Foundation, please log on to www.aarp.org/foundation.
This research was funded by a grant from The Bill and Melinda Gates Foundation.
The author would like to acknowledge the following AARP staff for their input: Deborah Russell, Sara Rix, David
Whitehead, Jennifer Leslie, Jeff Love, and S. Kathi Brown. All media inquiries about this project should be directed to AARP’s Media Relations at (202) 434-2560. Inquiries about
the survey instrument or additional information about the report should be directed to Rebecca Perron at (202) 434-6324
or rperron@aarp.org.
Employer Experiences and Expectations:
Finding,
Training,
and Keeping
Qualified
Workers
D19555
COPYRIGHT © 2011
AARP
Research & Strategic Analysis
All Rights Reserved
601 E Street, NW
Washington, DC 20049
www.aarp.org/research
Report Prepared by:
Rebecca Perron, PhD
May 2011