Indiana Grantmakers Alliance Fall Forums November 2011 Jessica Fraser jfraser@incap.org Senior Policy Analyst 1 Indiana’s Forgotten Middle Skills Jobs Full report available at: www.incap.org/indianaskills2compete.html. 2 What is a Middle Skill Job? Middle-skill jobs represent the largest share of jobs in Indiana—some 55 percent—and a substantial share of future job openings. Who are Middle Skill Workers? • Construction Workers • High-tech Manufacturing Workers • Nurses • Health Care Technicians • Truckers • Biotech Workers • Police • Firefighters 3 What is a Middle Skill Job? Job Title Education or Training Requirement Projected 2012 Openings Projected 2018 Openings Management Analysts Bachelor's Degree 439 2595 $ 39,563.00 Construction Laborers Moderate On the Job Training 107 419 $ 37,077.00 Boilermakers Long Term On the Job Training 21 132 $ 60,061.00 Registered Nurses Associate's Degree 482 2636 $ 48,349.00 Heating, Air Conditioning, and Refrigeration Mechanics and Installers Long Term On the Job Training 88 510 $ 38,589.00 Operating Engineer and Other Moderate on-the-Job Construction Equipment Operators Training 342 1202 $ 52,271.00 First-Line Supervisors/Managers of Construction Trades and Extraction Workers 96 584 $ 53,194.00 1803 7128 $ 38,848.00 64 603 Work Experience Truck Drivers, Heavy and Tractor- Moderate On the Job Trailer Training Accountants and Auditors Bachelor's Degree 2009 Wage $53,363.00 4 What is a Middle Skill Education or Training? In short, middle-skill training is more education than a high school diploma but less than a fouryear degree 5 The Demand for Middle Skill Jobs in Indiana Share of Indiana Jobs by Skill Level, 2009 25% Share of Indiana Jobs by Skill Level, 2006-2016 High-Skill Jobs Low-Skill Jobs 26% High-Skill Jobs Low-Skill Jobs 50% 55% 20% Middle-Skill Jobs 24% Middle-Skill Jobs Share of Indiana Jobs by Skill Level, 2009 6 Projected Indiana Demand for 30 Middle-Skill Occupations, 2006-2016 Employment 2006 Net Change 2016 Number Job Openings % Median Earnings 2009 Computers Support Specialists 8,344 9,161 817 9.80% 3,400 $38,240 Specialists, Other 1,427 1,498 71 5.00% 450 $67,920 Carpenters 34,163 35,424 1,261 3.70% 5,880 $38,120 Electricians 16,656 17,313 657 3.90% 4,950 $51,830 8,301 9,147 846 10.20% 2,330 $34,010 Operating Engineers 10,263 11,044 781 7.60% 2,770 $47,530 Plumbers 12,407 13,460 1,053 8.50% 3,610 $50,160 Dental Hygienists 3,946 4,994 1,048 26.60% 1,800 $65,840 Diagnostic Medical Sonographers 1,030 1,228 198 19.20% 340 $61,010 18,840 21,526 2,686 14.30% 7,830 $37,410 Medical Lab Technicians 3,621 4,201 580 16.00% 1,130 $36,910 Radiology Technicians 4,858 5,627 769 15.80% 1,430 $50,290 Respiratory Therapists 2,801 3,508 707 25.20% 1,120 $50,700 Surgical Technologists 2,292 2,909 617 26.90% 1,320 $38,940 Construction Painters Healthcare Licensed Practical Nurses 7 Projected Indiana Demand for 30 Middle-Skill Occupations, 2006-2016 Employment 2006 2016 Net Change Number % Job Openings Median Earnings 2009 Installation, Maintenance, and Repair Aircraft Mechanics Auto Mechanics Bus/Truck Mechanics Heating and AC Installers Heavy Equipment Mechanics 1,266 15,545 7,719 6,627 2,778 1,464 17,146 8,556 7,289 3,068 198 1,601 837 662 290 15.60% 10.30% 10.80% 10.00% 10.40% 330 4,720 2,520 1,820 830 $57,280 $34,040 $38,140 $40,220 $40,850 Industrial Machinery Mechanics 10,366 10,981 615 5.90% 2,350 $44,760 Transportation Air Traffic Controllers Heavy Truck Driver 672 59,452 764 66,052 92 6,600 13.70% 11.10% 270 17,150 $126,550 $37,590 5,023 5,890 867 17.30% 1,440 $28,540 Fire Fighters Police Officers 5,751 10,679 6,465 11,781 714 1,102 12.40% 10.30% 2,810 3,960 $43,800 $45,530 Other Civil Engineering Technicians Claims Adjusters Legal Secretaries Machinists Paralegals 735 3,997 4,330 14,850 3,069 804 4,201 4,775 15,083 3,721 69 204 445 233 652 9.40% 5.10% 10.30% 1.60% 21.20% 210 1,220 1,140 2,530 1,050 $45,690 $58,470 $33,410 $37,170 $36,720 8 Public Safety Emergency Medical Technicians Indiana’s Middle Skills Gap Indiana has been experiencing a shortage of middle-skill workers . In 2009, about 55 percent of all jobs were classified as middle-skill, but only 49 percent of Indiana workers had the education and training required to fill those positions. 9 Indiana’s Middle Skills Gap Nearly two-thirds of the people who will be part of Indiana’s workforce in the year 2020, were already working adults in 2005—long past the traditional high school-to-college (K-12) education pipeline! 10 What are We Doing to Close the Middle Skills Gap? The Indiana Skills2Compete Coalition 11 The Indiana Skills2Compete Coalition • The Skills2Compete Coalition is generously funded by the Joyce Foundation located in Chicago, IL. • It was created to promote effective state strategies for improving the skills of the state’s workforce through sector partnerships, pathways, public-business partnerships, and public policy. • The Coalition released its policy recommendations in December of 2010 and is actively working with members of state government to pass related legislation and bring further attention to the skills gap in Indiana. 12 The Indiana Skills2Compete Coalition Members State Senator Dennis Kruse (Co-Chair) Senator Karen Tallian Representative Bill Davis A Democratic Representative, to be determined The Following Organizations are represented on the Coalition: • Indiana Labor Institute for • Indiana Education Roundtable Training • REACH, Inc. • Conexus • Ready Indiana, Inc. • Indiana Department of • Indy Reads Workforce Development • Indiana Department of Education • Central IN Community Action • Indiana University SPEA Program • RecycleForce • Training, Inc. • Local Initiatives Support • Indiana State AFL-CIO Corporation • Community Action Program, Inc. • Ivy Tech Community College • Indiana Chamber of Commerce Western Indiana • Indiana Community Action Association 13 The Indiana Skills2Compete Coalition 2010 Policy Platform: • Encourage the development of additional regional sector or industry partnerships; • Form an interagency council on middle-skill credentials; – Senate Resolution 85 passed during the 2011 Indiana General Assembly session urged each individual agency involved in issuing credentials to incorporate a regular assessment of those credentials in into their state plans or by-laws. The State Workforce Innovation Council is expected to be the first to formalize this work by amending their by-laws at its December 2011 meeting. • Make Lifelong Learning Accounts (LiLAs) available to all Indiana workers; • Build on existing workforce education initiatives; • Maximize on-the-job training (OJT) opportunities; • Create a scholarship or tuition assistance program geared to Adult workers. • Continue to explore financing mechanisms to fund supportive services for non-traditional students. 2011 Policy Priorities will be finalized at the November 10, 2011 meeting. 14 What Foundations Can Do: • Pilot a Lifelong Learning Accounts (LiLAs) program with employers in your community • Support Individual Development Accounts (IDAs) • Support a local organization that administers IDAs • Partner with a bank and purchase tax credits • Workforce Contingent Scholarships • Change an existing scholarship program to focus on high-demand middle skill jobs in your region. • Create a scholarship program focused on high-demand middle skill jobs. • Community Based Training • Supporting programs with proven success. • Staff Development • Upgrading equipment • Funding Computer Skills Training for low-skill adults 15 What Foundations Can Do: • Community Literacy Groups – Support existing programs with proven success – General operating support – Pilot a literacy program if there isn’t one in your community • Sector Partnership Work – Sector partnerships organize the stakeholders connected with a specific local or regional industry—multiple firms, labor groups, education and training providers, and workforce and education systems to develop workforce development strategies within the entire industry – Sector partnerships are active in nearly forty states and the District of Columbia. Most Sector partnerships have been organized locally, but some states are organizing state efforts as well. 16 What Foundations Can Do: • Work with local community college to set up a Gap Tuition Assistance Fund – Provides tuition support for students enrolled in non-credit certifications, which are not eligible for federal financial aid. – Foundation and College can collectively decide the eligibility parameters, allowing the foundations to serve the constituencies they choose. • Work with local community college to set up a supportive services assistance fund – State financial aid cannot be used for expenses such as child care, transportation, lost wages, etc. – Working Adults experience a significant need for supportive services while trying to pursue higher education. 17 What Foundations Can Do: • Join the National Fund for Workforce Solutions by setting up a Regional Collaborative – The National Fund is dedicated to preparing jobseekers and employees for a career, not just a job. The National Fund brings together local and regional leaders from the private, public, and nonprofit sectors to spark and drive innovation. They work hand-in-hand to create practices and systems that can help employers and employees succeed in a postrecession economy. – Five Strategies are to: • • • • • Create regional funding collaborative; Organize workforce partnerships; Develop strategies for specific industry sectors; Build career pathways; and Coordinate local workforce programs. 18 What Foundations Can Do: • Support Research Reports – The Institute has written several research reports regarding education and workforce development, among other topics. Our research is funded by foundations such as; Lumina Foundation for Education, the Joyce Foundation, as well as the Indianapolis Foundation, a CICF affiliate, and Duke Energy Foundation. • Support Public Policy – Skills2Compete Coalition is an example of how public policy work can be supported through a Foundation. 19 ? Questions and Answers 20 For More Information Jessica Fraser 1845 W. 18th St. Indianapolis, IN 46202 317-638-4232 jfraser@incap.org www.incap.org/iiwf.html 21