Tag: training

Jobs Policy: What’s a Government to do?

Today, voters in Arizona will decide whether a $.01 sales tax increase (in a state with 9.6% unemployment and wages 6% below the national average) will stave off otherwise draconian cuts in state support for higher education, K-12 schools, healthcare, and welfare.

The last two weeks offered unprecedented drama in the UK, as the general election resulted in the resignation of Gordon Brown as the head of the Labour Party on May 11, and the establishment of a coalition government lead by new Prime Minister David Cameron (Conservative) and Deputy Prime Minister Nick Clegg (Liberal Democrat). The domestic agenda? Reducing the UK's £163B deficit and addressing the highest rates of joblessness in over 15 years.

And then there's Greece, flanked (in print) by the words "austerity" and "job loss" in roughly equal measure.

Jobs Issues are Central

The jobs issue is at the heart of some of the most difficult challenges cash-strapped governments face the world over (but in particular, where the tango between the finance and housing industries wrought the greatest havoc). Some of these connections are obvious: people who lose their jobs have less money to spend, reducing the government revenue they would otherwise pay in the form of income and sales tax and increasing their need for government services - unemployment insurance, training grants, food stamps, health insurance, transport, even public libraries.

There are also less obvious "costs" linked to unemployment ranging from an increase in public school enrollment as more parents have difficulty paying for private school, to widespread declines in risk-taking on the part of entrepreneurs, consumers, lenders, and even job seekers ill-matched with their current positions but fearful of leaving them. Never mind the longterm and potentially massive social costs.

Community Perspectives on Jobs

This past March, my colleagues and I at Corporation for a Skilled Workforce captured the experiences of workforce professionals at the National Association of Workforce Boards Annual Forum - they are the community faces of workforce policy in communities across the U.S. And they are very concerned about jobs.

Policy Levers for Job Creation

We also interviewed policy professionals and thought leaders representing a wide range of perspectives about the policy prescriptions they were advocating - from Dean Baker's (CEPR) ideas on job sharing to Jagadeesh Gokhale (Cato) on loosening credit and promoting self-employment to Heidi Schierholz's (EPI) case for a second stimulus. Most focused on federal-level interventions. (The entire set of 14 videos is in this playlist.)

Communities, too, are advancing solutions:

  • Investing in innovation and growing sustainable industries through collaborative ventures;
  • Economic gardening, regional resilience efforts, and other locally-focused development strategies;
  • Promoting upskilling among workers and those looking for work;
  • Reinventing placement services and supports;
  • Experimenting with new (and revisiting old) approaches to training and  placement; and
  • Using technology to make information more accessible and transparent,  and to connect job seekers with  resources, information and assistance outside of government - leveraging community resources and social  networks.

Over the next six weeks, we will be looking specifically at government policies, programs, and approaches that seek to accelerate job creation and promote prosperity, in a sustainable way.

Getting Strategic About Skills

Thanks to Cristóbal Cobo Romaní in Flickr.

Thanks to Cristóbal Cobo Romaní in Flickr.

NOTE: This is the third in our recent “let’s share the findings from all those OECD reports with each other (and the world)” series. Again, the content is not likely scintillating, but it’s important to us, and we’re happy to let you in on it.

The OECD Designing Local Skills Strategies Report (2009) focuses largely on questions of balance in locally designed workforce strategies: balance between short- and long-terms needs, balance between training and placement, balance between meeting the needs of people, firms, and communities, and balance between workforce players – private, non-profit, and a diverse collection of government agencies at different levels.

Authors Francesca Froy, Sylvain Giguère, and Andrea Hofer offer case studies of the following communities:

  • Shanghai (China)
  • Michigan (U.S.)
  • Choctaw Tribe (Mississippi, U.S.)
  • Mackay (Australia)
  • Malmö (Sweden)
  • New York City (New York, U.S.)

While, other communities are also cited in the narrative, these communities’ launched initiatives representing what the report calls balanced strategies, the authors’ recommended approach. Balanced strategies focus simultaneously on:

  • Attracting and retaining talent
  • Integrating disadvantaged groups
  • Upskilling those in employment – though in most cases, this was the most difficult strategy because of its complexity (designing opportunities for working adults, often with families).

The report concludes by recommending that local workforce actors seeking to implement effective (and balanced) approaches focus on five key strategic issues:

  • Access to relevant data and information. Local actors need to understand their “skills ecology” and its impact on the wider economy to be able to design appropriate policy and program interventions.
  • Balanced and long term strategies. It is tempting for local actors to focus on only one or two strategic objectives. Focusing on all three areas is more difficult, but also promises to deliver more substantive impact over time.
  • Batter mapping of skills provision, for example through “career clusters” or “career ladders.” This provide a focus for otherwise disjointed systems and creates opportunities for individuals to advance in meaningful ways. However, careers advice is a key (and often lacking) component of this approach.
  • Building strong relationships with employers. While necessary to ensure effective connecting of supply and demand, public-sector and non-profit entities can play an important role in emphasizing long term needs and suggesting changes in workplace practices in ways that round out employer’s tendency to focus on short-term needs.
  • Look to the future and anticipate change. Skills strategies should be subject to regular review and change, and should build toward local areas of “flexible specialization” (sometimes called workforce or talent competencies, or clusters of talent) that encourage the development of local talents and skills that are specific enough to make the community distinctive, but broad enough to avoid dependency on narrow industries or occupations.

Not rocket science, but it does take determination – people who do this work rely on persuasion and trust, not hierarchy.

Leadership and Governance Really Matter

While the report does not emphasize leadership and governance as a theme, the frequency with which the difficulty of this work is noted in the narrative is striking.  Meeting many diverse public and private needs, balancing the short and longterm, collaborating with large and changing networks of partners absent a structure, meeting shared national policy needs and in a local (and sometime divergent) context, developing and allocating resources fairly and in ways that deliver results – this is complex work all over the world, and speaks to the level of management expertise and leadership talent it takes to do well.

What’s our strategy for developing the workforce workforce?

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