Skills Rather Than Just Degrees Download

However, these higher-level front-line roles have never required degrees, which makes the rewritten descriptions a new approach for Walmart. The new listings will look at skills as well as degrees to help the company find employees with the necessary talents, no matter where or how they developed them.

Walmart will pay for associates to earn college degrees, and the retailer is currently adjusting its Live Better U education benefits to include more short-form certificates. The retailer now offers 25 short-form certificates through its partnership with Guild, up from five in 2020, including for data analytics and supply chain management.

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Community college advocates have previously noted that some federal jobs, especially technical ones, only need workers with skills earned through certificates and associate degrees, yet federal job listings nearly always set a baccalaureate as the entry-level degree.

Just this month, Gov. Spencer Cox (R-UT) sought to change the way state employees are hired. He announced a new effort to expand job opportunities to those without degrees. Shifting to skills-based hiring and removing the degree requirement for specific roles can greatly expand the pool of qualified workers for public roles while helping to control costs.

One approach to organize work without jobs is to fractionalize the work: breaking it down into more meaningful chunks of work in the form of projects or tasks that continuously evolve as business needs change, letting workers with a relevant portfolio of skills and capabilities flow to the work. This approach is gaining ground, and is advocated by leading thinkers such as Ravin Jesuthasan and John Boudreau in their recent book Work without Jobs.8 Many organizations are experimenting with partial fractionalization in the form of internal talent marketplaces: letting workers carve out a portion of their time from their traditional job to take on projects and tasks anywhere in the organization based on their skills and interests, with opportunities suggested to them through AI-powered matching technology. At Haier, the entire organization of more than 75,000 employees works in a fully fractionalized work model, with an internal talent market that governs how talent is deployed on specific projects, structured into self-organizing, fluid microenterprises, each with 10 to 15 employees.9

If jobs are increasingly less relevant as the only organizing construct for work, and skills become the new underlying unit of work, this requires nothing less than a sea change in how managers and HR operate to support the workforce.

In an ever-evolving world of work in which the half-life of hard skills is shorter than ever, increasingly more important will be hiring based on adjacent skills, or foundational human capabilities such as learnability. Workers then have the ability to build on the foundation of other capabilities to continually develop the hard skills they need.

With a skills-based approach to workforce planning, organizations can plan for the skills they need, where they can get them, and the type of work in which skills will need to be applied. Unilever, for example, has identified more than 80,000 tasks it may need done over the next five years that are likely to be performed by a combination of full-time employees, gig workers, contractors, and those working flexibly.17

Workers can be rewarded and recognized as they continue to develop their skills. But should skills be considered in the performance management process? This can be a point of contention; performance management approaches typically evaluate worker outcomes or performance toward goals rather than skills themselves.

But transforming the very fabric of the way work is done goes beyond HR, requiring cross-functional governance and buy-in. For example, finance will need to change the way it values work so that HR can set compensation levels, procurement will need to assess and deploy skills when hiring freelancers, and strategy and operations will need to think differently about how to structure and organize work. Ninety percent of business and HR executives say moving to a skills-based organization will require a transformation for all functions and leaders, not just HR.

When sophisticated technologies such as AI collect more and more data on workers, not only on skills but also other dimensions, do workers find it intrusive? Not necessarily: Our research suggests that workers embrace organizations using new sources of data and AI to better understand them as full human beings, and would prefer this way of understanding them than understanding them solely as jobholders.

When skills rather than jobs become the currency of work and the workforce, organizations may evolve to being ones in which the most highly skilled workers become more easily discovered and better rewarded. Sixty-one percent of workers and 60% of business and HR executives say this would be a positive development, with only 9% of workers and 11% of executives saying it would be negative.

Historically, employers made the baccalaureate, and in some cases advanced degrees, the gateway to an interview. If you did not hold the sheepskin, you would not get in the door. But times have changed. Rapidly advancing technologies such as artificial intelligence, big data analytics, robotics and the advent of quantum computing have created an environment in which much of what is learned in college becomes outdated in a few short years. Certainly, the soft skills of creative thinking, critical thinking, communication and leadership do not go out of date and remain in demand by employers. But the hard facts and skills of most of the disciplines are changing as technology ripples through the economy and society.

So, what we hear from industry is that they want workers with the soft skills that do not go out of date, as well as a basic understanding of the current hard facts and skills that will be useful for just a few years before they must be upskilled for a new generation of technology. This combination of knowledge and skills may not require a degree.

Research shows that selecting candidates based on skills can lead to better job outcomes than relying on degree attainment. At the same time, switching to a focus on skills does not invalidate degrees; it simply recognizes that some people have obtained certain skills through degrees and others have done so through work experience alone.

Challenges remain in making these strides at scale as well as creating shifts to skills-based society rather than focusing on credentials. But, with more pathways becoming available for people to get ahead in their careers, Mitchell says he is optimistic about the future of the relationship between education and the workforce.

Nevertheless, high-income countries are not particularly willing to admit additional foreign-born workers who possess a broader array of skills. High-income countries have frequently demonstrated the political appetite for developing pathways to admitting highly skilled foreign-born workers to work in sectors, such as IT, medicine, and science. Since professions in these fields have clear and established training and certifications systems, it is easier for high-income countries to label them high-skilled. However, other occupations that require extensive training are not likewise recognized. Employers and workers in construction, care work, tourism, and similar fields are therefore often at a disadvantage due to the failure of countries to develop adequate mobility pathways that recognize the skills and training that is required for these sectors. Although the inclination toward highly skilled workers stems from a variety of factors, data show that many foreign-born workers traditionally labeled as low-skilled due to their lower level of schooling in fact play important roles in the lives of native-born workers and help increase overall productivity. Receiving countries may find that it is more beneficial to base labor mobility schemes on sector needs rather than on the educational level of workers.

Another explanation typically given by high-income countries to justify their preference for high-skill migration is the public attitude toward low-skilled workers. In 2018, a majority of surveyed individuals in high-income countries, including Sweden, the United Kingdom, Canada, Germany, the United States, and France supported high-skill migration (figure 1),[lxxvi] while at the same time, many saw low-skilled migrants as a burden and believed they were taking jobs away from native-born workers.[lxxvii] Some recent surveys conducted in high-income EU countries and the United States show that most people support quite restrictive immigration measures, especially against migrants from certain ethnic backgrounds, and would like to see a decline in immigration flows to their countries. These attitudes appear to be driven by sociopsychological factors rather than economic concerns.[lxxviii]

[7] Canada has recently decided to lower the number of points one needs to enter the country through its point-based system to a record low, allowing some low-skilled workers to settle in the country. However, the new measure is mostly focused on skilled migrants who are already in the country rather than new temporary workers that still face other barriers to entry.

However, at the same time, employers also admit that possessing a college degree does not guarantee that a candidate will be any better at the job than someone without a degree. For example, employers feel that productivity levels are no different between degreed and non-degreed employees and that retention rates remain the same between workers with and without degrees.

For employers, when they have a position open in one of their departments, they tend to begin the job search process with a posting. In the posting, it specifies certain criteria that they are looking for, including specific degrees, experience, and skills. 006ab0faaa