New CareerBuilder and Emsi Analysis Finds College Degrees Are Not Keeping Up With Demand in Critical Areas

CHICAGO, March 3, 2016 /PRNewswire/ -- Nearly two-thirds (63 percent) of employers reported that they are concerned about the growing skills gap in the U.S¹. A new analysis of college degree completions vs. job demand from CareerBuilder and Emsi shows that the next generation of workers won't be able to fill the void.

According to a national Harris Poll survey of more than 2,300 employers, commissioned by CareerBuilder, half (49 percent) of employers have experienced a negative impact on their business due to extended job vacancies with 25 percent reporting a loss in revenue and 43 percent pointing to lower productivity¹.

To exemplify the current scope and potential exacerbation of an already debilitating talent deficit, data experts at CareerBuilder and Emsi looked at a sample of college programs that aren't producing enough graduates to keep pace with labor market demand. While the programs highlighted in the study have grown at least 10 percent from 2009-2014 and had at least 10,000 completions in 2014², they're still undersupplying candidates for occupations that already see big gaps between the number of jobs posted and the number of hires companies make each month.

For example, 157,591 people graduated with degrees in Computer and Information Sciences in 2014, a number that increased 41 percent since 2009. While the growth is encouraging, it's not enough. On average, from Jan. 2015 to Jan. 2016, 689,685 computer and information technology jobs were posted each month in the U.S. However, the average number of hires was only 209,035 – leaving a gap of 480,650 positions.

While this is a critical issue in STEM-related fields (science, technology, engineering and math), it extends to other areas as well. The analysis shows notable gaps for Human Resources Management, Economics, Legal Assistant/Paralegal and Graphic Design among others. See the following chart for more details.

The analysis utilized Emsi's extensive labor market database, which pulls from more than 100 national and state employment resources.

"The skills gap can have a paralyzing effect on businesses, resulting in greater economic implications," said Matt Ferguson, CEO of CareerBuilder and co-author of The Talent Equation. "In addition to reskilling and upskilling our existing workforce, we need to step up efforts to inform younger generations about high-growth, high-earning occupations where jobs far outnumber available candidates."

Skills Gap is an Information Gap

Nearly half (47 percent) of employers believe the skills gap is an information gap — people are not aware of the jobs that are available and growing¹.

Looking at it from the student's perspective, nearly one in four high school seniors (24 percent) said they have no idea what career they want to pursue. Of high school seniors who have pinpointed a desired profession, 23 percent said they made their career choice based on something they saw on TV or in a movie².

Late last year CareerBuilder worked with Emsi to launch a powerful website called FindYourCalling.com that puts data science and helpful insights behind choosing careers. Visitors to the site start with a simple, interactive personality test for careers. Based on those answers, the student is presented with top careers that match their interests, which he or she can explore by diving further into associated career options. Find Your Calling also offers details about each specific occupation, including average salary and market demand, as well as an overview of the required education, including associated majors and schools that specialize in the field.

[1] Harris Poll survey, commissioned by CareerBuilder, of 2,338 hiring and human resource managers across industries and company sizes between November 4 and December 1, 2015

[2] CareerBuilder's Q2 2015 nationwide survey of 210 high school seniors conducted by Harris Poll, June 2015

About Emsi

Emsi (Economic Modeling Specialists Intl.) is a CareerBuilder company that provides industry-leading employment data and economic analysis via web tools and custom reports. Emsi turns vast amounts of labor market data into easy-to-use information that helps organizations understand the connection between economies, people, and work, and ultimately build a better workforce. Emsi's software services - Analyst and Career Coach - are used by thousands of professionals in higher education, workforce and economic development, and the private sector. Emsi has also produced more than 1,400 comprehensive impact analyses for colleges and universities in the U.S. and internationally. For more information, visit www.economicmodeling.com.

About CareerBuilder®

As the global leader in human capital solutions, CareerBuilder specializes in cutting-edge HR software as a service to help companies with every step of the recruitment process from acquire to hire. CareerBuilder works with top employers across industries, providing job distribution, sourcing, workflow, CRM, data and analytics in one pre-hire platform. It also operates leading job sites around the world. Owned by TEGNA Inc. (NYSE:TGNA), Tribune Media (NYSE:TRCO) and The McClatchy Company (NYSE:MNI), CareerBuilder and its subsidiaries operate in the United States, Europe, South America, Canada and Asia. For more information, visit www.careerbuilder.com.

Media Contact
Ladan Nikravan
312.698.0538 x70538
[email protected]
http://www.twitter.com/CareerBuilderPR

SOURCE CareerBuilder

Related Links

http://www.careerbuilder.com