Dive Brief:
- For decision makers in the engineering and technology realm, the talent gap is substantial. A new survey from Modis and General Assembly reveals 80% of decision makers agree there is a talent gap in their industry. But the majority of respondents (67%) intend to increase head count in the coming year, despite the talent gap. This number has decreased since 2018 (79%).
- Of those surveyed, 41% replied that finding talent with the appropriate technical skill set needed is somewhat to much more difficult; about 40% said it was somewhat to much easier, with 19% believing there was no change in their ability to source workers. Of the candidates that do apply for open positions in their company, 57% usually have the skill set required for the position, according to the survey.
- When polled about which applicant attributes they looked at, respondents cited looking at whether an applicant had a college degree (whether in the related field or not), the applicant's job history and demonstrated work examples. Job hopping was also of concern; 82% responded negatively to a candidate whose average tenure in the past had been less than one year.
Dive Insight:
As demand for tech skills rises, supply continues to shrink, especially in technology and the sciences. In some areas, the acute skills gap may hinder business growth in the coming decade, a Korn Ferry study said in 2018. The same study noted that the U.S. financial and business services sector could see a shortage of 10.7 million workers by 2030, causing potential revenue losses of $1.3 trillion if not addressed.
To make up the gap, some companies have turned to improving their diversity and inclusion efforts to build a wider and more robust talent pipeline. But women, especially women of color, have largely been disappearing from those pipelines due to earning less than men upfront, being less likely to be promoted, experiencing bias as they opt for motherhood and lacking sponsorship. For employers looking to make up talent gaps, some may have to begin by looking inward and ensuring their work cultures allow people of all backgrounds to feel included so they remain at the organization for longer.
As the skills gap currently stands, even the federal government is feeling the squeeze of low numbers of tech workers in the market. Calling the skills gap a "significant impediment" to improving cybersecurity, the Office of Management and Budget announced its "Cloud Smart" strategy. Part of that strategy includes serious attention to workplace culture — a lesson employers in the private sector could take as well.
