Fireside Chat, Panel, Interview
The Learning Gap: Creating the Workforce Industry Needs
Milken InstituteGiselle Fernandez, Felix Ortiz III, Eloy Ortiz-Oakley, Chris Romer, Raul Valentin, Judy Woodruff
Current Labor Market Discrepancies
- Over 75 million Americans lack the necessary skills for middle-skill employment.
- Manufacturing currently faces 500,000 open positions for welders, electricians, and robotics technicians.
- The trucking sector has consistently faced a shortage of 30,000 long-haul drivers over the last several years.
- Bloomberg reports Gulf Coast energy companies required 36,000 qualified workers by 2016.
- There are 18 million unemployed or underemployed individuals alongside 1 million unfilled job openings, driven by a skills mismatch rather than a lack of roles.
Demographic Challenges and Risks
- The workforce pipeline disproportionately involves underserved populations, single mothers, people of color, and Latinos due to demographic surges.
- Only 25% of the 2012 workforce possessed mid-level skills, despite 45% of new job openings over the next decade requiring them.
- Felix Ortiz III frames the skills gap as a national security threat, drawing parallels between youth unemployment fueling gangs/poverty in the U.S. and recruitment by ISIS abroad.
- Raul Valentin notes that while Latinos comprise 25% of the college population, they graduate into the workforce at a rate of less than 12%.
- Chris Romer highlights that low-income, high-ability students often possess the least "college knowledge," creating the most difficult path to credentials despite being the future employees.
Barriers in Education and Curriculum
- Bureaucratic rigidity prevents colleges from updating curricula fast enough to match technology, resulting in a 36-to-60-month lag in implementation.
- Chris Romer argues that the social contract for mobility broke down in 2008, necessitating a shift from income redistribution to opportunity redistribution via education.
- Felix Ortiz criticizes the current funding model for "putting asses in classes," arguing that institutions must be paid for outcomes (degrees/certificates) rather than enrollment.
- The "Carnegie Unit" (credits based on time) is cited as a rigid framework that fails to account for competency-based learning, contrasting it with FAA pilot certification which is strictly competency-based.
- Eloy Ortiz-Oakley warns against replacing the moral argument with a purely transactional one, emphasizing that community colleges must educate citizens, not just train workers for a specific quarter.
Corporate Engagement and Industry Responsibility
- Comcast reports a shift since 2008 from specific credential requirements toward hiring for core technical and soft skills (e.g., teamwork, office etiquette).
- Comcast's "Internet Essentials" program currently provides broadband access to over one million families to close the digital divide.
- Raul Valentin notes that many employers have historically failed to recruit directly from community colleges, focusing instead on four-year degrees and creating a misperception of available talent.
- Felix Ortiz points out a lack of employer presence at community college workforce panels, with trade associations often led by academics rather than business leaders.
- Industry leaders acknowledge that offshoring and hiring for immediate "launch" needs have shifted toward internal training and upskilling as technology cycles accelerate.
Proposed Solutions and Policy Shifts
- Funding Models: Panelists advocate for tying state funding to graduation and employment outcomes rather than input-based enrollment numbers.
- Concurrent Enrollment: Increasing AP or concurrent enrollment in high school is proposed to reduce the average $50,000 cost of a degree caused by low completion rates and extended timelines.
- Partnerships: A "employment triangle" is required, linking employers, educational institutions, and the workforce, with data analytics used to match student skills to local job pathways.
- California Innovation: The state's $50 million innovation reward program is cited as a positive step to incentivize public systems to meet graduation and efficiency goals.
- Lifelong Learning: Participants suggest a shift toward a "common framework" for lifelong learning, acknowledging that workers will change jobs 10–14 times, requiring flexible credentialing.
Social and Economic Framing
- Raul Valentin and Chris Romer argue that the narrative must shift from "social justice" to "economic imperative" to gain traction, as the current failure threatens future Social Security solvency.
- Felix Ortiz reframes immigration and the Latino demographic surge not as a problem, but as a "gift" and a demographic imperative for economic survival compared to shrinking European workforces.
- Venture capital data reveals that only 1% of VC-backed companies are African-American and 0.5% are Hispanic, highlighting a lack of access to capital for minority entrepreneurs.
- The panel proposes incubator funds within community colleges to support early-stage entrepreneurs from poverty-stricken backgrounds who lack traditional networks.
- Community retention is identified as a critical failure point; successful students often leave their neighborhoods, draining local talent, suggesting a need for local investment and business creation to incentivize staying.
Forward-Looking Statements and Strategic Directions
- Chris Romer warns that policymakers are attempting to solve this issue "on the cheap" and that meaningful intervention (like the SUNY ASAP program) requires significant investment in full-time cohorts and intensive advising.
- Felix Ortiz predicts that without addressing these gaps, the U.S. will face an economic crisis larger than 2008 as the workforce becomes increasingly unprepared.
- The consensus is that technology and data must bridge the "advice gap" for families with low college knowledge, effectively teaching them the "middle-class playbook."
- There is a call for employers to engage earlier in the pipeline, such as partnering with high schools, to define the skills needed before investment occurs.
- The panel agrees that the current "either-or" debate between vocational training and four-year degrees is obsolete; a hybrid system of intermediate credentials building toward degrees is necessary.