Workforce Development Continuum Assessing Charlotte’s Workforce Needs in the Year 2000 Workforce Continuum Committee • • • • • Jane Cooper, Chair Elaine Lyerly, Marketing Becky Paneitz, Service Delivery Rick Vignos, Research Kit Cramer, Staff The Survey of the Workforce • In August 2000 a Survey of the Workforce was developed: – Focus groups were held – The 1996 survey was reviewed and major revisions were made – New questions were developed Advantage Carolina Data • Method – 1,000 paper copies were mailed to businesses – the URL was emailed to 3,000 businesses to complete the survey on-line – follow-up postcards were mailed to 10,000 businesses – 333 completed surveys were returned (138 paper copies, 195 via online data base) Size of Businesses Responding 1 4 .3 % 4 5 .3 % < 1 0 0 e m p lo y e e s 1 00 -4 9 9 e m p lo y e e s > 5 0 0 e m p lo y e e s 4 0 .4 % Respondents came from a wide variety of zip codes and businesses Employers were asked to identify the need for workers by type – Low-skilled such as laborers and dishwashers – Skilled such as secretaries, computer technicians – Professional such as managers and nurses Availability of and Need for Workers by Type Type Somewhat to Very Available Some need to Great Need Low Skilled 69.8% 45.7% Skilled 64.3% 86.1% Professional 64.5% 76.5% Summary: Change in Need • In 1996, the need was for: – low-skilled workers (1st) – professional workers (2nd) – skilled workers (last) • Today, the need is for: – skilled workers (1st) – professional workers (2nd) – low-skilled (last) Educational Needs • Employers were asked – “thinking about employees your firm is likely to hire locally within the next five years, please indicate the highest completed education level future new hires will need to have.” – high school degree or less • certificate or diploma • 2-year degree • 4-year degree • post-baccalaureate degree Educational Requirements of Current and Future Workforce Education Level 41-100% 41-100% of of future workforce workforce today has: will need: Less than HS degree HS degree only Certificate or diploma 2-year degree 4 year degree Post-bac. degree 10.6% 49.3% 14.7% 14.8% 43.1% 14.2% 7.2% 48.7% 26.3% 24.1% 49.5% 17.2% Summary: Change in Education • Employers feel the need for education is increasing: – Fewer employees with HS degrees only (or less) will be needed in the future – More employees with certificates, diplomas, 2-year, 4-year and post baccalaureate degrees will be needed Changes from 1996 • The 1996 survey indicated that 47.6% of employers indicated that their employees needed a high school degree • Four year degrees were needed by 15.9% of employers • Community college degrees were needed by 10.7% of employers Hiring Decisions • Employers were asked to indicate how important the following areas were when making hiring decisions. Attitude and demeanor Communication skills Previous work experience Appearance/dress/grooming Demonstrated skills Longevity with previous employer Years of schooling completed 100% 98.4% 98.1% 97.2% 92.2% 89.1% 87.5% Recommendations from previous employers 86.9% Professional/technical certifications 79.9% Entry-level wage expectations 79.9% Recommendations from other employees 75% Scores on tests from interview 62.8% Grades earned in school 53.6% Military experience 21.9% Summary: What Influences the Hiring Decision • Soft skills! – Attitude, demeanor and communication skills were at the top of the list – Right behind that was demonstrated skills and previous work experience Perceptions of Change in the Skill Level of the Workforce Over the Past Ten Years low-skilled workers skilled workers professional workers recent HS graduates lower same higher 40% 15.9% 11.6% 38% 52.4% 27.9% 31.7% 41.2% 7.7% 56.2% 56.7% 20.8% Perceptions of Change in the Work Ethic of the Workforce Over the Past Ten Years low-skilled workers Skilled workers Professional workers Recent HS graduates lower same higher 60.3% 49.4% 27.8% 68.1% 26.1% 38.4% 50% 26.4% 3.5% 12.2% 22.2% 5.5% Summary • Skill levels are increasing among skilled and professional workers • Work ethic is decreasing Addressing the Major Issues Confronting Employers • Hiring and Retaining Qualified Staff • Hiring Practices in a Competitive Labor Market • Competition in the Labor Force • Issues of Training Obstacles to Recruiting and Retaining Qualified Employees competitive wages from other companies entry wage expectations commuting time and distance lack of affordable child care lack of transportation lack of affordable housing 84.4% 73.5% 58.9% 46.6% 37.4% 32.7% Summary: Major Issues in Hiring • Competition from other companies was the highest ranked factor -- companies are hiring employees right out from under businesses with competitive wages and benefits • Expectations - employees expect too much for entry level jobs -- they want to be rewarded with wages and benefits even if they bring nothing to the table Most Common Hiring Practices Used in a Competitive Labor Market • • • • • • casual dress codes recognition programs tuition reimbursement free parking vacation packages flextime 73.4% 69.4% 66.7% 61.4% 54.7% 51.7% Considering the competitive local labor market, to what extent is your company doing the following? • doing more training once employees are hired • using creative hiring practices • leaving jobs unfilled • advertising in different regions of the country • hiring lower skilled employees • hiring ESL employees • using co-op and internship students 91.9% 81.7% 59.6% 56.4% 48.1% 44.9% 40.5% Perceived Factors Impacting the Training Needs of the Local Workforce • • • • • • • • • • competition with other companies technology specific to the industry technology changes growth in the knowledge base in the field low skills of new hires low skills of current workforce organizational structure/process change required continuing education cultural diversity of the workforce non-English speaking employees 85.4% 78.7% 76.6% 73.4% 70.6% 64.8% 64.7% 51.9% 45.0% 34.8% Summary: Contributions to Training Needs • Remaining up-to-date to compete • Workforce issues are rapidly changing: – technology – knowledge base in field is increasing – technologies specific to industries are increasing Training Needs More than 50% of Employers Perceived the Following List of Subjects to be Training Needs of Their Current Workforce Soft Skills teamwork ability communication interpersonal skills professionalism punctuality attitude toward supervisors self-initiative perseverance listening physical appearance Basic Job Skills learning new skills problem-solving reading phone skills writing basic arithmetic speaking/communication Management Skills using time, money, materials, space and staff wisely decision-making leadership ability Technical Skills acquiring/using information performing technical tasks understanding graphs/charts computer literacy Diversity Skills working with diverse cultures English language skills Employers Considered the Need for Training in the Following Areas Would Significantly Increase Over the Next Five Years acquiring/using information problem-solving attitude toward supervisors performing technical tasks working with diverse cultures understanding graphs/charts English language skills learning new skills reading decision-making computer literacy physical appearance basic arithmetic Top Computer Skills Needed by Employees Percent indicating some need to great need…. • • • • • • e-mail data base management spreadsheets word processing data entry desktop publishing 84.2% 83.3% 78.9% 75.9% 72.6% 53% Greatest Computer Skills Training Need • Email – aging workforce – training not only on email use but on etiquette and ethics – spelling, grammar and language skills – truckers, machinists and plant workers now need to know email for communication Will your firm do training in the next few years? 7.5% % yes % no 92.5% Employers were asked…. • If you said “yes”….. to what extent do you anticipate your company using the following sources for training? Sources of Training Employers Will Use in-house training private consulting firms two-year colleges four-year colleges/universities government resources union resources 98.7% 58.7% 39.7% 35.2% 24.5% 3% Methods Employers Plan to Use on-site training workshops, seminars or conferences one-on-one training traditional class room off-site training outside experts self-paced tutorials internet or on-line training distance education 94.5% 87.5% 87.3% 82.2% 71.1% 65.8% 58.6% 58.1% 30.6% Summary: Training Methods • Businesses are still most interested in: – on-site, one-on-one training – or -- on-site traditional classroom style training – sending people to seminars and conferences • They seem less interested in: – on-line training – distance education – self-paced training Open-ended Questions Employers were asked to list... • the jobs that their company is having difficulty filling locally. • the technical/job specific skills/needs their company is having difficulty recruiting. Technical/Job Specific Skills Needed (top 20) Computer Mechanical Customer service Data entry Communication Engineering Machine operation Welders Sales Electrical Cashiering Web design Telephone Filing AutoCAD Carpentry Managerial/organizational Maintenance/electrical & mechanical Accounting/bookkeeping Database management/design Difficult Jobs to Fill Locally (top 20) Customer Service Representatives Sales (associates/managers) Administrative Assistants Clerical Workers Project Managers Engineers Nurses (LPN&RN) Warehouse Employees Welders (qualified) IT Professionals Difficult Jobs to Fill Locally (top 20) Machine Operators Maintenance/Technical Workers Production Managers Receptionists Supervisors/managers Accountants Marketing Service Technicians Machinists Systems Analyst The Cluster Groups Six Identified Cluster Groups • • • • • • Cluster # respondents High Growth Manufacturing 77 Financial Services 41 Travel & Entertainment Services 39 Professional Services 38 Innovative Technology 21 Transportation 17 Need Versus Availability of Low Skilled Workers by Cluster 9 0% 8 0 .0 % 7 8 .9 % 8 0% 7 0% 8 3 .3 % 7 7 .1 % 6 2 .2 % 6 0% 5 8 .8 % 5 0% 6 4 .9 % 6 4 .9 % 5 8 .8 % F in .S er. T r an s . H G M anu. 4 0% Pr o f.S erv . 3 0% T r av / E n te r In n o v .T e ch . 2 1 .6 % 2 0% 2 1 .5 % 1 0% 0 .0 % 0% % need % av a ilab le Difference in Need Versus Availability of Low Skilled Workers • Where need was low, availability was perceived as high (innovative technologies, financial services and professional services) • Where the need was high, perception of availability was low (travel and entertainment) • There was no true difference between need and availability in high growth manufacturing and transportation Need Versus Availability of Skilled Workers by Cluster 100% 95% 90% 85% 80% 75% 1 0 0 .0 % 9 5 .1 % 8 9 .5 % 8 5 .7 % F in .S e r . 8 1 .2 % Trans. 7 8 .4 % H G M anu. 7 6 .6 % 7 1 .1 % 70% P r o f.S e r v . I n n o v .T e c h . T r a v / E n te r 65% 5 8 .5 % 5 7 .9 % 60% 5 5 .8 % 55% 5 2 .9 % 50% % need % a v aila b le Difference in Need Verses Availability in Skilled Workers by Cluster • Availability was considered low and need high in five of six cluster (financial services, transportation, high growth manufacturing, professional services, and innovative technology) • In travel and entertainment, the need was not much greater than the availability Need Versus Availability of Professional Workers by Cluster 1 00 % 95 % 90 % 85 % 80 % 75 % 95 . 2% 87 . 5% 8 0% 78 . 4% 73 . 7% 70 % 65 % Fin .S e r . 7 6 . 2% 73 . 7% T r a n s. H G M an u . P r o f .Se r v. I n n o v.T e c h . 6 4 .5 % 6 4. 7 0% 64 . 5% 60 % 57 . 9% 55 % 5 0. 0 % 50 % % need % a v a ila b le T r a v / E n te r Difference in Need Versus Availability of Professional Workers by Cluster • Need was considered high and availability low in five clusters (financial services, transportation, professional services, innovative technology and travel and entertainment) • Need and availability for professional workers was equal for high growth manufacturing Cluster Group Employers were asked: • What percentage of your future workforce will need the following educational credentials: – high school degree or less – certificate, diploma or 2-year degree – 4-year degree or greater Percent of Future Workforce Needing a High School Degree or Less 80% 70% 7 3 .3 % 60% 6 5 .3 % 50% 60% Fin .Se r. T ra n s. 40% HG M anu. 46% P ro f.Se rv. 30% 20% I n n o v.T e c h . T ra v/E n te r 2 0 .7 % 10% 0% 0% p e rc e n t Percent of Future Workforce Needing a Certificate, Diploma or 2Year Degree 40% 35% 3 8 .5 % 30% 3 5 .3 % 25% 2 6 .7 % 20% 15% 10% 2 2 .6 % 2 0 .0 % 1 7 .2 % Fin .Se r. T ra n s. HG M anu. P ro f.Se rv. I n n o v.T e c h . T ra v/E n te r 5% 0% p e rc e n t Percent of Future Workforce Needing a 4-Year Degree or Greater 100% 90% 95% 80% 70% 75% 60% 50% T ran s . H G M an u . 58% 50% 40% 10% Pro f.S erv . In n o v .T ech . 30% 20% F in .S er. T rav / E n ter 2 3 .1 % 1 1 .8 % 0% p e rc e n t Factors Driving Training by Cluster 95% 85% F in .S e r . Tra n s. HG M anu. 75% P r o f .S e r v . I n n o v .T e c h . T r a v / E n te r 65% 55% C o m p e titio n w ith T e c h n o lo g y S p e c if ic c o m p a n ie s changes te c h n o lo g y to in d u s tr y Factors Driving Training by Cluster 90% 80% F in .S e r. 70% T ra n s . H G M a nu. P ro f.S e rv . 60% I n n o v .T e c h . T ra v / E n t e r 50% 40% g ro w t h in o rg a n iz a t io n a n d lo w s k ills o f n e w k n o w le d g e p ro c e s s c h a n g e h ire s Factors Driving Training by Cluster 90% 80% 70% 60% F in .S e r . Tra n s. 50% HG M anu. P r o f .S e r v . 40% I n n o v .T e c h . T r a v / E n te r 30% 20% 10% 0% lo w s k ills cu rren t w orkforc e c o n tin u in g e d d iv e r s ity ES L Top Ten Training Needs Financial Services % indicating somewhat to a great need • • • • • • • • • • Teamwork ability Professionalism Self-initiative Leadership ability Perseverance Listening Interpersonal skills Communication Phone skills Punctuality 92.7% 92.7% 92.5% 90.2% 90.0% 87.5% 87.2% 85.4% 85.0% 85.0% Top Ten Training Needs Transportation % indicating somewhat to a great need • • • • • • • • • • • Writing Teamwork ability Phone skills Professionalism Self-initiative Communication Listening Problem-solving Learning new skills Acquiring/using info Performing technical tasks 95.1% 94.1% 94.1% 94.1% 94.1% 94.1% 94.1% 94.1% 94.1% 94.1% 94.1% Top Ten Training Needs - High Growth Manufacturing % indicating somewhat to a great need • • • • • • • • • • Teamwork Ability Self-initiative Attitude toward supervisor Communication Interpersonal Skills Listening Leadership ability Perseverance Acquiring/using information Punctuality 98.7% 96.1% 94.7% 93.3% 92.1% 92.0% 90.8% 90.8% 90.7% 89.6% Top Ten Training Needs Professional Services % indicating somewhat to a great need • • • • • • • • • • Performing technical tasks Leadership ability Acquiring/using information Computer literacy Teamwork ability Listening Self-initiative Perseverance Interpersonal skills Using time, money, materials, space and staff wisely 81.1% 78.9% 78.9% 78.9% 76.3% 76.3% 76.3% 76.3% 75.7% 73.7% Top Ten Training Needs Innovative Technologies % indicating somewhat to a great need • • • • • • • • • • Teamwork ability Communication Leadership ability Interpersonal skills Working with diverse cultures and people Listening Phone skills Acquiring/using information Problem-solving Decision-making 81% 76.7% 76.2% 71.4% 71.4% 61.9% 61.9% 61.9% 60% 60% Top Ten Training Needs - Travel and Entertainment Services % indicating somewhat to a great need • • • • • • • • • • Communication Interpersonal skills Listening Teamwork ability Professionalism Self-initiative Punctuality Perseverance Problem-solving Decision-making 100.0% 100.0% 97.4% 94.9% 94.9% 94.9% 94.9% 94.9% 94.9% 94.9% Conclusions • Employers have high need for skilled and professional workers • Employers are experiencing a high degree of competitiveness • Employers are looking for educated employees with the need for education increasing over the next five years Conclusions • Employers felt that while skill levels had increased in some areas, work ethic had decreased over the past ten years. • Employers will be doing their own training over the next few years. • Greatest training needs are for soft skills. • Employers are finding it more difficult to hire qualified workers Research Team Members • • • • • • Rick Vignos - Harris Interactive David Belton - Charlotte Chamber Tony Crumbley - Charlotte Chamber Ashley James - Charlotte Chamber Cheryl Roberts - UNCC Urban Institute Terri Manning - Central Piedmont Community College For a Copy of This Presentation • Contact: Terri Manning terri_manning@cpcc.cc.nc.us 330-6592