A jobs crisis? No, it’s a skills crisis

New York Daily News ^ | 01/16/2013 | Stanley Litow

[SeekAndFind]

As each month’s unemployment figures show only modest declines, some may mistakenly believe that the United States has a “jobs crisis.” But a closer analysis of the data reveals that our fundamental challenge is a lack of skills, not jobs.

I made this observation at the recent STEM (Science, Technology, Engineering and Mathematics) Summit convened by the Daily News. But don’t take my word for it. Look at the January 2013 New York City Real Time Jobs Report, which lists local employers that posted the most new ads in the past 90 days and the number of opportunities available.

The current edition of this report documents the existence of more than 300,000 unfilled jobs in the city. My company, IBM, ranked sixth on the list with nearly 1,000 unfilled jobs in New York City alone. JPMorgan Chase led the way with more than 2,000 unfilled positions, and AT&T and Citigroup together had more than 2,000 careers in search of qualified personnel.

A deeper look at the jobs report numbers indicates that 30% of the vacancies — the largest single category — were in the professional, scientific and technical services sector. This is conclusive proof that a focus on preparing our young people for careers in these fields is the crucial economic challenge of our time.

[Finny]

"Every nation, with a view to those great objects, ought to endeavor to possess within itself all the essentials of national supply. These comprise the means of subsistence, habitation, clothing and defense." -- Alexander Hamilton

You add: Definitely a dearth of jobs rather than skills.

A dearth of jobs because environmental, health, and labor regulations make outlaws of Americans who try go provide "subsistance, habitation, clothing, and defense."

Few are fully aware -- yet -- of how profoundly the environmentalist agenda is in the process of shackling Americans from engaging in FOOD PRODUCTION, the most basic of human rights and needs. Farming and fishing (not to mention textile production for clothing) are becoming virtually illegal due to onerous regulation. Not long ago, all you needed to make a living as a fisherman was a boat, some knowledge, and some self-discipline. It was your GOD GIVEN RIGHT to fish if you wanted to, or to grow food and sell it if you wanted to, or to invent and manufacture a widget convenience that can make people's lives easier.

The only reason -- the ONLY reason -- there is such a huge market for cheap Chinese goods, is because mostly unelected bureaucrats in government PROHBIBIT Americans from manufacturing them here. The only reason energy is so expensive, and the only reason food prices may soon follow, is because government PROHBITS amd makes outlaws of Americans who should be producing the food and energy here.

And creating the JOBS here. Where skills are rewarded.

[Olog-hai]

Thanks; excellent elaboration on the point I was making.

Hamilton’s point in that paragraph I quoted had to do with the vulnerability and dependence of the then-nascent USA upon other nations for such things. Not a call for autarky, but for independence in those things.

[1010RD]

Who said that education is the civil rights issue of the 21st century?

[Finny]

Amen.

[9YearLurker]

Of course men’s wages haven’t risen as rapidly as wages across the board—they used to be paid a premium for simply being men!

But those wage studies under-report actual increases, because most such jobs include health benefits that have been rising far faster than the rate of inflation.

Really, what is the point of trying to lure back STEM-educated workers who can be more productive elsewhere?

And our entire country benefits when smart and skilled immigrants come to work here. It is less capable, unskilled immigrants who are a drag on the economy and our standard of living.

[kabar]

Of course men’s wages haven’t risen as rapidly as wages across the board—they used to be paid a premium for simply being men!

Did you read the study at the link? How could you come to that conclusion?

Really, what is the point of trying to lure back STEM-educated workers who can be more productive elsewhere?

Are they really more productive elsewhere or is it a problem of depressed wages or hiring cheaper foreign workers>

And our entire country benefits when smart and skilled immigrants come to work here. It is less capable, unskilled immigrants who are a drag on the economy and our standard of living.

Our country benefits when smart and skilled immigrants come here, but there has to be limits. And we must calculate the impact on our own citizens who must compete with them for jobs. Where does our primary responsibility lie? The decade ending in 2010 was the highest in our history in terms of legal immigration(13.9 million) but during the same period we suffered a net loss of jobs if 400,000.

[9YearLurker]

Unfortunately the majority of even our legal immigrants have been of the low-skill variety. It is that heavy welfare/EITC/Medicaid population that is a drag on the economy. If we had a more skilled workforce—but truly we must recognize many IT jobs are only of the mid-skill, commodity variety—we wouldn’t see as much offshoring.

A reasonably priced but highly skilled American IT worker is still worth at least a couple of low-cost offshore types.

[kabar]

Unfortunately the majority of even our legal immigrants have been of the low-skill variety.

Yes and do we need 1.2 million legal immigrants every year--87% of whom are minorities as defined by the USG?

It is that heavy welfare/EITC/Medicaid population that is a drag on the economy.

57% of immigrant headed households with children are on welfare.

If we had a more skilled workforce—but truly we must recognize many IT jobs are only of the mid-skill, commodity variety—we wouldn’t see as much offshoring.

The reality is that you can go offshore and get just as qualified a workforce as in the US at a much cheaper cost. Moreover, you can equip your factories and facilities with the most advanced technology to make your workers just as productive. I have seen it firsthand in China and India.

A reasonably priced but highly skilled American IT worker is still worth at least a couple of low-cost offshore types.

If only it were so.

[setha]

It doesn't help when even those “highly skilled” are even being passed up for work. In addition, existing guest worker programs result in more fraud by redefining the required skillset to something that no US citizen could ever have (and in one case, finding that was the goal). Scrap the existing guest worker systems(which usually do not result in assimilation), enforce the laws on the books, and see what we can do without that distortion.

Cutting out those “commodity” jobs or making them undesirable to citizens will only serve to cut off the entry points to the higher-skill work later on.

[Cronos]

I won't agree you with dfw that programming jobs will go away. The simpler ones will -- kind of like how we now tinker with our bicycles

But to program at an enterprise level requires some planning skills -- e.g. people like Ruby-on-Rails quick turn-around, but that application can't scale up.

[Cronos]

Nice piece about Cobol and JCL -- I used to do that to fill in some company time, but my core is datawarehousing.

You are right about the communication skills being important.

[TArcher]

Would you like Curry on your Fries?

[cuban leaf]

Actually, I pretty much agree, at least in the mid-term. I come from this position: I used to be a draftsman...