LABOR MARKET ANALYTICS TO INFORM NORTHEAST OHIO WORKFORCE (NOW) REGIONAL PLAN 5 OHIO’S OBJECTIVES FOR WIOA OHIO STRATEGIES TO ACHIEVE OBJECTIVES REQUIRED LABOR MARKET ANALYSIS 5 6 6 EXISTING AND EMERGING LABOR MARKET WORKFORCE DEMAND AND SUPPLY 7 LABOR MARKET SKILLS GAP: IMPORTANT TO PRODUCE HARD DATA TO INFORM ACTION 7 HOW CAN THE REGION’S WORKFORCE DEVELOPMENT SYSTEM INCREASE THE SUPPLY OF QUALIFIED WORKERS AND CONNECT TO EMPLOYERS IN REAL TIME? 7 RESEARCHING REGIONAL GAP ANALYSIS 8 WIOA NEO ECONOMY AND JOB PRODUCTION: IMPLICATIONS FOR WIOA PLANS 11 WORKERS OFTEN LIVE IN ONE WORKFORCE AREA AND WORK IN ANOTHER LESSON FOR THE WIOA NEO REGIONAL PLAN EVIDENCE OF LOCAL LABOR MARKET DIFFERENCES 12 13 14 WIOA NEO ECONOMY LAGS BEHIND IN ECONOMY RECOVERY 18 MANUFACTURING AND GOVERNMENT JOBS HIT HARDEST 18 PARTS OF THE ECONOMY ALREADY EXCEED PRE-RECESSION JOB NUMBERS 19 SILVER LINING IN THE NEO ECONOMY: THOUSANDS OF JOBS WERE ADDED TO THE ECONOMY BY 27 INDUSTRIES, EXCEEDING PREVIOUS 2007 HIGHS 20 VIEWING NEO JOB PERFORMANCE AS OCCUPATIONS: TALE OF DUAL ECONOMIES 22 WHAT SPECIFIC JOBS REACHED NEW HIGHS BY 2015 IN MANAGERIAL; BUSINESS AND FINANCE; IT AND ENGINEERING OCCUPATIONAL FAMILIES? 24 IN-DEPTH REALITIES AND INSIGHTS OF LABOR MARKET DEMAND 26 WHY DO EMPLOYERS HIRE NEW WORKERS? IMPLICATIONS FOR THE REGION’S LABOR MARKET IMPLICATION FOR WIOA AND HIGHER EDUCATION WHY IS JOB CHURN IMPORTANT? SKILLS ARE THE COMMON LANGUAGE OF EDUCATORS AND EMPLOYERS 26 27 28 28 30 ADDRESSING SKILL GAPS 31 JOBS IN DEMAND REQUIRING LESS THAN A BACHELORS DEGREE 31 IN DEMAND SKILLS BY EMPLOYERS ARE KEY TO KNOWING WHAT JOB SEEKERS NEED FOR ENTRY-LEVEL OCCUPATIONAL OPPORTUNITIES 32 TOP SKILLS APPEARING ACROSS ALL ONLINE POSTINGS SPECIFIC OR SPECIALIZED SKILLS MOST IN DEMAND 32 34 TOP SOFTWARE AND PROGRAMMING SKILLS IN DEMAND FOR NOW NEO 36 BASELINE, OR NON-TECHNICAL, SKILLS 37 EMPLOYERS POSTING THE MOST JOBS ONLINE AND TOP JOBS THEY POST 42 Shanahan Resources, Inc 2 JOBS IN DEMAND REQUIRING LESS THAN A BACHELORS DEGREE 43 IMPORTANT FINDINGS AND IMPLICATIONS FOR NOW NEO UPDATING OF OPPORTUNITY JOBS USING BURNING GLASS’S DEFINITION OF MIDDLE SKILL GOOD-PAYING MIDDLE-SKILL JOBS IN DEMAND WHAT EMPLOYERS POST THESE JOBS? WHY THESE OCCUPATIONS? INCREASED SKILL DEMANDS IS A FACTOR 43 44 45 45 46 46 IMPORTANCE OF DIGITAL SKILLS IN OCCUPATIONS NOT REQUIRING A BACHELORS DEGREE 46 DIGITAL SKILL DEMANDS IMPACT ALL THESE OCCUPATIONS. DEMAND FOR DIGITAL SKILLS APPEARS MOST IN THESE OCCUPATIONS GREAT NEED FOR BASIC DIGITAL SKILLS IN MIDDLE-SKILL JOBS POSTED ADVANCED DIGITAL SKILLS LARGELY INVOLVE APPLYING SOFTWARE APPLICATIONS ON THE JOB 47 48 49 51 CODING SKILLS IN DEMAND ARE EMERGING AS A PATH TO HIGHER-SKILL JOBS 55 ECONOMIC GROWTH IS LINKED TO USE OF NEW TECHNOLOGIES HOW ARE THESE SKILLS EMERGING IN NORTHEAST OHIO’S LABOR MARKET? DEMAND FOR CODE WRITING SKILLS VARIES AMONG JOB RESPONSIBILITIES SO, PROGRAMMING SKILLS ARE NEEDED IN A WIDE RANGE OF IT OCCUPATIONS…BUT IN-DEPTH LOOK AT MANUFACTURING IN NOW NEO MANUFACTURING JOBS ON OR NEAR THE FACTORY FLOOR ARE IN DEMAND TOP JOB TITLES EDUCATION EMPLOYERS PREFER HIGH SKILL JOBS ARE GROWING IN MANUFACTURING JOBS IN NEO MANUFACTURING SECTOR NOW LISTING DIGITAL SKILLS AS IMPORTANT 56 56 57 59 62 64 65 67 67 70 POSSIBLE CAREER PATHS 72 HEALTHCARE JOBS IN DEMAND 75 INCREASED DEMAND FOR HEALTH INFORMATICS SKILLS WHAT JOB POSTS ARE FULL-TIME EMPLOYMENT? 78 80 FURTHER LOOK AT IT JOBS IN DEMAND 80 SKILLS PROGRESSION PATHWAY 83 COMPARING IT DEMAND IN MANUFACTURING AND HEALTHCARE 84 SEVEN FORCES THAT IMPACT ADVANCED MANUFACTURING; FINANCE & INSURANCE; HEALTHCARE; AND PROFESSIONAL SERVICES; AND HEALTHCARE 86 IMPACT OF DISRUPTIVE TECHNOLOGIES ON SKILLS IN DEMAND: CYBER-SECURITY 87 JOB POSTINGS SEEKING CYBER-SECURITY EXPERTISE 88 EVIDENCE OF INDUSTRY INVOLVED WITH INTERNET OF THINGS (IOT) 89 POSTINGS AND OCCUPATIONS DEMANDING DATA ANALYTICS AND DATA MANAGEMENT SOFTWARE SKILLS 89 TOP SPECIALIZED SKILLS NEEDED FOR DATA ANALYTICS 90 CLOUD COMPUTING 90 Shanahan Resources, Inc 3 TOP OCCUPATIONS IN DEMAND FOR DISRUPTIVE TECHNOLOGIES: NORTHEAST OHIO 92 EXPLORING THE SUPPLY-SIDE OF THE LABOR MARKET 95 IMPORTANT INSIGHTS ON DEMOGRAPHICS OF WORKERS EMPLOYED IN 2014 96 OCCUPATIONS WITH THE LARGEST PERCENTAGE OF WORKERS BETWEEN 55 AND 64 YEARS OF AGE 99 OCCUPATIONS WITH LARGEST CONCENTRATION OF WORKERS OF PRIME WORKING AGES 35 TO 44 100 OCCUPATIONS DOMINATED BY MALE WORKERS 101 OCCUPATIONS WITH MOST AND LEAST CONCENTRATION OF AFRICAN AMERICAN WORKERS 101 OCCUPATIONS WITH THE HIGHEST CONCENTRATION OF AFRICAN AMERICAN WORKERS, WHICH RANGE FROM 30% TO 43% OF ALL WORKERS FILLING JOBS IN 2014 102 ECONOMIC INCLUSION AS A WIOA GOAL 103 WHO ARE THE MANDATED POPULATIONS, PRIORITY POPULATIONS, AND POPULATIONS FACING LABOR MARKET BARRIERS OR PERSONAL HARDSHIPS? 104 BARRIERS THAT INDIVIDUAL JOB SEEKERS FACE IN ACCESSING TRAINING OR GAINFUL EMPLOYMENT 105 JOB SEEKERS IN OHIO LABOR EXCHANGE Shanahan Resources, Inc 106 4 Labor Market Analytics to Inform Northeast Ohio Workforce (NOW) Regional Plan I. Introduction According to stipulations in the federal act for WIOA and in the State of Ohio Plan, regional and local plans need to include an economic and labor market analysis. The act requires “the collection and analysis of regional labor market data (in conjunction with the State of Ohio)”. Ohio requires a range of data and analysis to inform the planning process and has provided each WIOA region with a set of data to use. This package of data is included as an appendix to this plan. While these data are used, this research is directed at documenting economic labor market realities and insights that draw upon additional analysis and new job posting analytics. The intent is to help the WIOA leadership in NEO respond to the major directives from Ohio, while developing the regional and local plans for the five workforce areas. Ohio’s Objectives for WIOA The act stipulates the following objectives be addressed in plans • • • • • Increase employment, retention, and earnings of clients Increase attainment of recognized credentials Improve quality of workforce Reduce welfare dependency Increase economic self-sufficiency Several of these objectives are new to WIOA and have yet to have outcome metrics determined and guidelines provided on how these will be measured. All entities in NEO that share missions and goals for any of these objectives will act together and ultimately determine how the region responds. Certainly, WIOA Boards and WIOA programs can only work to encourage and support efforts by postsecondary education institutions and industry to increase the level of educational attainment of existing and emerging workforce. Nonetheless, knowing where skill gaps exist in the region’s labor market is important to all Shanahan Resources, Inc 5 who share in achieving this objective. It begins with agreement on what skills employers find lacking in the region’s job seekers and the occupations where these are most in demand. Ohio Strategies to Achieve Objectives Three main strategies are to be addressed in regional and local plans:1 • Align Ohio’s education and training programs with the needs of business • Guide job seekers and students to careers that are most likely to result in employment that provides a family-sustaining wage • Create industry-led dialogue with local and state workforce partners to identify skill gaps in the labor market and provide ways to address any shortfalls Research findings and implications provide direction to the five WIOA Boards and Directors in assisting the state toward achieving these objectives. Required Labor Market Analysis The research design used sought to provide insights and hard data on major challenges and opportunities in the labor market of WIOA NEO: • Analysis of existing and in-demand occupations generally and specifically within NEO industries that are producing jobs • Analysis of skills needed by job seekers, especially in jobs employers cannot fill within the region • Analysis of the workforce in the region based on skills, prior work experience and barriers to job entry • Analysis of postsecondary education and training capacity within the region to address the skills gap between demand and supply of workers in the region 1 State of Ohio, Workforce Innovations Opportunity Act, 2016 Combined State Plan, p 7 Shanahan Resources, Inc 6 • Analysis of skills and jobs in demand in NEO needed by individuals currently not participating equally in the job and income recovery While not an exhaustive list, these issues are at the forefront in shaping workforce development goals for WIOA and the broader regional workforce development system of interests. II. Need for Data Analytics on the NEO Labor Market Existing and Emerging Labor Market Workforce Demand and Supply ‘The region’s labor market continues to experience a skills gap between employer demand and what job seekers have to offer’. This assertion is accepted knowledge but is seldom empirically verified. Labor Market Skills Gap: Important to Produce Hard Data to Inform Action Since the early 1990s, NEO leaders voice the need to address the ‘skills gap’ for middle and higher skill jobs. A decade later the first data from online job postings were being quoted. “The region suffered from thousands of jobs not filled” in manufacturing, IT, etc. The inference was that employers found too few qualified applicants when hiring. Today, the region still lacks a data-driven mandate based on sound labor market analysis. To a large degree this rests on the assumption that the supply of qualified workers lags behind. If employers are complaining about either the number or qualifications of applicants, then there must be a shortage in the supply of these workers. So what do we mean by skills gap in the market, and what else do we need to know in order to act? Too often collection and analysis stops with demand, by occupation and industry. Equal attention to the need for hard data about supply is short changed. How Can the Region’s Workforce Development System Increase the Supply of Qualified Workers and Connect to Employers in Real Time? The capacity to better prepare workers for jobs in demand exists for higher education and workforce development organizations. These systems help workers of all ages to Shanahan Resources, Inc 7 understand their future employment options, given demand; to add the skills and education employers seek from applicants; and help them overcome barriers that impede their success as career and job seekers. The Challenge: Inherently it is assumed that leaders in these systems know what needs to be done in order to increase and improve the supply of workers to meet demand. Somehow we will know what to do without really understanding why the gap exists and what part of the potential supply of the workforce provides the best opportunities to improve the supply of talent. Nothing could be farther from reality. More needs to be known about the skills employers seek across the in demand occupations and the strength of postsecondary career and professional education programs offered in NEO that prepare completers for these jobs. Do current education and training programs provide students with the skills in demand today? How might education and training programs be improved? Do the numbers of students enrolled in the region’s programs need to be boosted? Are students choosing the programs with the best career employment options given market demand? A regional skills gap is worsened by poor alignment of secondary and postsecondary career and technical education programs with the skills in demand and jobs posted. Often these programs produce too few or too many completers. We lack hard data on which programs best prepare students for the jobs. Realistically, to impact the skills gap we need labor market information that tracks trends in the supply of new graduates in terms of career and technical education, as well as trends in employer demand for middle-skill, good paying jobs. Just as important is to track how the gap is bridged over time. Researching Regional Gap Analysis Shanahan Resources, Inc 8 The most recent study2 of NEO Skills Gap could only support generalities about where programs and occupations in demand do not align. For example, it could only determine that the region’s demand for hires for IT workers far exceeded the combined production of IT graduates from all postsecondary institutions in the region. The most that can be concluded is that we are not producing enough IT graduates to meet employer demand. No one doubts that. But usually the numerical gap for a region is so large that the possibility of growing the pipeline into IT programs is daunting and will take years to achieve. This investigation clarifies the issues around both conditions of demand and supply of workers in the NEO job markets and establishes what is known and not known. This is vital to understanding the potential role and opportunities for the WIOA system to set strategies that correspond with the three strategic objectives in the Ohio WIOA Plan. Workforce Demand. A deeper understanding of changing conditions of workforce demand requires both basic knowledge of the region’s economy and job production, especially during recovery from the dramatic recession, and what is expected in the next few years. More importantly, though, is the goal to gain insights and hard data of the dynamics at play in the labor market itself. If the need is to establish hard data on the skills gap, the focus needs to be on skills employers seek. This requires a new approach to research by using new data sources. Workforce Supply. A deeper understanding of job seekers who are or may enter the labor market at any point in time is important to establishing the lack of skills sought by employers. This is especially important to learn for specific occupations. Only by knowing the nature and magnitude of the skills gap and its impact on employer ability to fill job openings can the broader workforce development system take action to reduce these gaps. Most important is to determine skill development needs of those not currently working in full-time, permanent jobs, or working at all. 2 Future Works, Building Opportunities for Cleveland Residents: Aligning Demand and Supply of Professional and Technical Education, 2015 Shanahan Resources, Inc 9 Successfully doing so generates two positive outcomes: employers can satisfy a greater share of total new hires with residents of the region, and the region’s workforce has improved access to better jobs. Shanahan Resources, Inc 10 III. Understanding Commute to Work Patterns NOW NEO Economy and Job Production: Implications for WIOA Plans There were 1,403,050 jobs provided by industry (including government) in 2007. Most were within Cuyahoga and Summit counties (53% and 20%, respectively). Next are Lake and Lorain counties with 7% each. The dominance of the two largest urban counties as sources of employment has a profound influence on the shape of the local labor markets and shows that boundaries for local workforce areas do not align. NOW NEO Region: Location of Jobs By County 2007 and 2014 County Name 2007 Jobs 2014 Jobs Cuyahoga County, OH Summit County, OH Lake County, OH Lorain County, OH Medina County, OH Portage County, OH Geauga County, OH Ashtabula County, OH Total NOW NEO EMSI Analyst 747,226 273,169 101,090 99,340 60,886 53,827 35,239 32,273 1,403,050 708,468 260,116 94,311 95,796 58,772 53,537 33,459 30,001 1,334,460 As is shown in the next section, the location of jobs, which is more concentrated than the residences of workers, leads to large numbers of workers commuting to another county for employment. For example, there are more jobs located in Cuyahoga and Summit counties than are residents who are employed. At the Shanahan Resources, Inc 11 same time, in Lorain County there are fewer total jobs than residents who are employed. Obviously, commuting between counties is occurring at a significant scale. Workers Often Live in One Workforce Area and Work in Another The NOW NEO Region of two adjacent MSA’s plus Ashtabula County is dependent on Cuyahoga and Summit counties where three out of four jobs are located. There are an estimated 1.3+ million employed persons living in the eight-county region that commute to work daily to an Ohio workplace. All but 3% of them live and work in the eight-county region. Thus, the WIOA NEO region is fairly self-contained as a regional labor market. The region, however, is geographically large and some distances are too large to span on a daily basis even by car. For a number of reasons, the region operates as an overlapping set of local labor markets. As is shown in this report, the Cleveland and Akron MSA display differences in labor market conditions. And yet everyday, thousands of workers stream from and to these MSA’s on the way to work. Total Workers Residing by County and Workplace Destination 2006 to 2010 Cleveland MSA County of Ashtabula Cuyahoga Workplace County of Residence GAP-Area Ashtabula 68.7% 6.1% Geauga -37.6% Portage 0.1% 14.7% Cle/Cuy--Area Cuyahoga 0.0% 90.3% Area Lake 1.2% 32.4% Area Lorain 0.1% 31.5% Area Medina 0.0% 34.0% Summit 0.1% 14.1% Total 31,557 695,834 Workers Lake Geauga Akron MSA Lorain Medina Summit Portage Total WIOA NEO 12.3% 4.9% 0.4% 0.1% 0.8% 0.3% 93.5% 11.1% 44.3% 0.4% 0.3% 3.0% 1.9% 98.6% 0.5% 2.5% 0.1% 0.5% 21.5% 44.0% 84.0% 2.3% 0.5% 1.8% 0.9% 2.8% 0.5% 99.2% 60.8% 3.1% 0.3% 0.1% 1.2% 0.4% 99.5% 0.4% 0.1% 62.3% 1.7% 1.0% 0.1% 97.3% 0.4% 0.1% 2.5% 45.9% 12.1% 0.6% 95.6% 0.4% 0.3% 0.4% 2.2% 73.3% 4.1% 94.8% 95,639 30,906 95,517 52,496 235,884 53,276 1,291,109 For more information on sampling and estimation methods, confidentiality protection, and sampling and nonsampling errors, see <www.census.gov/acs/www/Downloads/data_documentation/Accuracy/MultiyearACSAccuracyofData2010.pdf>. 1. Few workers living in the region work outside the region. The highest percentage is 99.5% for workers that live and work in Lake County to a low of 84% for Portage County. Shanahan Resources, Inc 12 2. Given that over half of all jobs in the region are located in Cuyahoga, it is no surprise that 90% of its residents work at Cuyahoga workplaces. However, Cuyahoga County has the lowest percentage of employed among working age residents. 3. With Summit County having the second most number of jobs, 73% of its resident workers work within the county. 4. Ashtabula, Lake, and Lorain have an insufficient job base within their respective boundaries to support the number of residents who are employed. As a result 40% of resident workers commute to jobs located in other counties. 5. For Medina, Geauga and Portage, the dependence on the jobs located in other counties is strongest. More than half of resident workers commute to work in another county. The largest numbers are commuting to Cuyahoga and Summit Counties. Portage relies more on Summit County for jobs; Geauga to Cuyahoga; Medina to Cuyahoga and Summit. Aside from KSU in Portage, these three counties are classic bedroom communities. The majority of workers in the three counties need to find jobs elsewhere because there are not enough available locally. Very few who live outside these counties commute into them for work. Commuting into these counties for work is nonexistent (mostly less than 5%). 6. Far more Summit resident workers commute to Cuyahoga then do the reverse: 14% of Summit residents commute to Cuyahoga while only 3% of Cuyahoga residents commute to Summit. Over 28.5K residents of Summit commute to Cuyahoga while only 16K commute from Cuyahoga to Summit workplaces. Lesson for the WIOA NEO Regional Plan A regional plan needs to reflect the reality that the majority of jobs are in two counties from two different workforce areas; and that the labor market opportunities for workers and employers alike are not aligned with the political boundaries created for the five workforce areas. However, there are many ways for the five local systems to work together Shanahan Resources, Inc 13 to improve the outcomes for the region as a whole. The regional and local plans will need to reflect ways to pursue regional cooperation. Evidence of Local Labor Market Differences The following analysis of the top jobs in the Cleveland and Akron MSAs provides insight into how the same occupation ranks differently in terms of being in-demand. The next two tables are for the Cleveland and Akron MSAs, separately. The focus is on the occupations with over 1000 online job postings during 2015. Also included are data on the: Number of total jobs in 2015 for the respective occupations and MSA Projected change in number of jobs from 2012 to 2022, provided by BLS Shanahan Resources, Inc 14 The ratio of total jobs in 2015 to the total job posts during 2015 Salary estimates for each occupation are from two sources—Starting salaries listed in Summary of Cleveland MSA Occupational Structure and Demand Category: Demand and Employment Burning Glass Source: SOC Code Occupation Title (ONET-6) Number of Job Postings Registered Nurses Sales Reps, Wholesale and Manufacturing, Except Technical and Scientific Products 15-1132 Software Developers, Applications 15-1199 Computer Occupations, All Other 41-2031 Retail Salespersons 53-3032 Heavy and Tractor-Trailer Truck Drivers 43-4051 Customer Service Representatives 11-9199 Managers, All Other 41-1011 First-Line Supervisors of Retail Sales Workers 13-2011 Accountants and Auditors 11-9111 Medical and Health Services Managers Secretaries and Administrative Assistants, Except 43-6014 Legal, Medical, and Executive 49-9071 Maintenance and Repair Workers, General 43-3031 Bookkeeping, Accounting, and Auditing Clerks 13-1071 Human Resources Specialists 31-1014 Nursing Assistants 15-1121 Computer Systems Analysts 29-1171 Nurse Practitioners 11-2022 Sales Managers 11-3031 Financial Managers 13-1111 Management Analysts Laborers and Freight, Stock, and Material Movers, 53-7062 Hand First-Line Supervisors of Office and Administrative 43-1011 Support Workers 15-1151 Computer User Support Specialists 29-2061 Licensed Practical and Licensed Vocational Nurses 15-1134 Web Developers 11-2021 Marketing Managers 15-1141 Database Administrators 31-9092 Medical Assistants First-Line Supervisors of Food Preparation and 35-1012 Serving Workers Combined Food Preparation and Serving Workers, 35-3021 Including Fast Food Burning Glass Technologies Salary Burning Glass BLS/OES, 2015 Ratio of Expected Posts to Mean Number Ohio Change Jobs Advertised Jobs in Jobs, 2012Salary 2022 29,070 15.4% 2.9 $76,947 BLS/OES Mean Salary 29-1141 10,180 41-4012 6,149 9,720 8% 1.6 $68,127 $65,620 $68,880 5,973 5,384 4,969 4,908 4,610 3,878 3,013 2,757 2,464 6,610 1,340 31,040 10,090 13,130 2,070 7,970 9,070 3,160 19% 0.8% 1.9% 8.1% 8% 5.5% -1.5% 8.8% 18.2% 1.1 0.2 6.2 2.1 2.8 0.5 2.6 3.3 1.3 $92,457 $88,181 $35,243 $68,142 $67,218 $58,025 $83,365 $82,780 $75,120 $27,410 $44,560 $36,900 $102,580 $40,630 $72,320 $98,180 2,351 16,980 10.8% 7.2 $34,653 $34,720 2,279 2,051 2,043 1,877 1,766 1,753 1,686 1,616 1,592 9,490 11,340 3,430 12,550 4,870 1,840 3,120 4,850 3,400 6.2% 7.7% 6.2% 14.3% 21.8% 26% 6.5% 5.5% 14.6% 4.2 5.5 1.7 6.7 2.8 1.0 1.9 3.0 2.1 $41,037 $34,797 $53,895 $89,521 $137,124 $83,872 $87,813 $82,635 $39,500 $38,330 $59,620 $25,640 $81,270 $95,770 $133,510 $120,950 $83,480 1,440 16,660 13% 11.6 $28,528 $27,320 1,317 8,700 8.9% 6.6 $59,392 $54,030 1,303 1,229 1,212 1,198 1,198 1,143 3,100 7,600 1,130 1,150 870 4,000 17.8% 21.6% 19.2% 10.1% 12.9% 20.6% 2.4 6.2 0.9 1.0 0.7 3.5 $53,503 $45,890 $48,499 $43,760 $82,865 $63,280 $94,805 $125,870 $87,792 $68,520 $38,545 $29,930 1,129 5,650 11.9% 5.0 $54,455 $30,030 1,122 26,790 13.3% 23.9 $40,604 $19,670 85,590 270,790 3.2 posts and BLS estimates of mean salary for all workers in these jobs in 2015. The two MSAs have some revealing differences: In Cleveland, the most posts were for RNs; for Akron it was Retail Sales Persons and RNs ranked fifth. Shanahan Resources, Inc 15 The ranking of IT occupation job posts were higher in Cleveland than for Akron; only two IT occupations are among the top 30. Summary of Akron MSA Occupational Structure and Demand Category: Demand and Employment Burning Glass Source: SOC Code (ONET-6) Number of Job Postings Occupation Title 41-2031 53-3032 43-4051 Retail Salespersons Heavy and Tractor-Trailer Truck Drivers Customer Service Representatives Sales Reps, Wholesale and Manufacturing, 41-4012 Except Technical and Scientific Products 29-1141 Registered Nurses First-Line Supervisors of Retail Sales 41-1011 Workers 15-1132 Software Developers, Applications Laborers and Freight, Stock, and Material 53-7062 Movers, Hand 49-9071 Maintenance and Repair Workers, General 11-9199 Managers, All Other 15-1199 Computer Occupations, All Other Bookkeeping, Accounting, and Auditing 43-3031 Clerks Secretaries and Administrative Assistants, 43-6014 Except Legal, Medical, and Executive 29-1171 Nurse Practitioners 43-5081 Stock Clerks and Order Fillers 41-2011 Cashiers 13-2011 Accountants and Auditors 31-9092 Medical Assistants 11-9111 Medical and Health Services Managers Securities, Commodities, and Financial 41-3031 Services Sales Agents 31-1014 Nursing Assistants 11-1021 General and Operations Managers Licensed Practical and Licensed Vocational 29-2061 Nurses Combined Food Preparation and Serving 35-3021 Workers, Including Fast Food 13-1071 Human Resources Specialists 43-3071 Tellers First-Line Supervisors of Office and 43-1011 Administrative Support Workers Preschool Teachers, Except Special 25-2011 Education First-Line Supervisors of Food Preparation 35-1012 and Serving Workers Merchandise Displayers and Window 27-1026 Trimmers Burning Glass Technologies 1,096 1,038 788 Salary Burning Glass BLS/OES, 2015 Expected Ratio of Ohio Posts to Mean Number Change in Jobs Advertised Jobs Jobs, 2012Salary 2022 11,510 1.9% 10.5 $53,546 4,560 8.1% 4.4 $66,174 5,160 8% 6.5 $27,995 BLS/OES Mean Salary $26,670 $44,340 $34,460 783 3,980 8% 5.1 $62,867 $61,960 757 6,900 15.4% 9.1 $95,723 $64,380 574 2,700 -1.5% 4.7 $51,900 $41,760 508 1,780 19% 3.5 $87,651 $85,800 442 6,470 13% 14.6 $26,891 $25,960 416 367 355 2,900 680 410 6.2% 5.5% 0.8% 7.0 1.9 1.2 $37,224 $58,351 $82,689 $39,010 $121,850 $75,560 344 3,990 7.7% 11.6 $30,626 $35,580 305 5,040 10.8% 16.5 $30,865 $34,840 277 251 246 233 229 220 440 5,560 7,080 2,760 1,640 1,040 26% -5.3% -1.3% 8.8% 20.6% 18.2% 1.6 $149,592 22.2 $44,593 28.8 N/A 11.8 $51,562 7.2 $34,796 4.7 $57,047 $91,900 $25,350 $20,500 $68,940 $28,340 $103,690 211 590 5.3% 2.8 $32,085 $98,050 187 186 3,780 4,340 14.3% 8.1% 20.2 23.3 $99,561 $77,573 $24,900 $111,060 185 2,360 21.6% 12.8 N/A $39,610 183 11,030 13.3% 60.3 N/A $19,110 170 165 1,080 980 6.2% -1.2% 152 3,150 8.9% 150 840 17.6% 146 1,910 11.9% 145 11,109 6.4 $48,114 5.9 N/A 20.7 5.6 N/A 13.1 6% 104,660 $45,222 $44,103 $56,900 $26,080 $50,590 $26,550 $31,650 $23,826 N/A 9.4 The ratio of existing jobs to annual job postings is often used to measure intensity of demand. It is also used as an indication of occupations under-represented by online postings alone. For the Cleveland MSA overall, there was one job posted during 2015 for every 3.2 jobs in the economy; for Akron, it was one posting for every 9.4 jobs. Shanahan Resources, Inc 16 This difference is partly the result of a greater number of managerial, professional and technical jobs making the top 30 in Cleveland while Akron’s list is skewed more toward Office and Administrative Support and Sales positions. Within Cleveland, RNs; LPNs; IT; and Managerial positions had about as many job posts as there were jobs filled with workers. This likely reflects greater efforts made by employers to constantly recruit for these positions. In Akron, there is less evidence of intense recruitment by posting online overall. Few occupations had a ratio between one and three: IT and a few managerial positions. RNs do not appear in high demand. This is evidence that labor market conditions vary across the NOW NEO region and are only an example of what can be revealed. At the same time, similarities are important as well. By and large, the same occupations make the top 30 jobs in demand in both MSAs, based solely on online job ads. This emphasizes that to a larger extent, employers in both adjacent areas have similar workforce needs, and that the differences in wages exist even given the significant commuting of workers between these the two MSAs. Shanahan Resources, Inc 17 IV. Anemic Economic Recovery WIOA NEO Economy Lags Behind in Economy Recovery NOW NEO Economy: Total Jobs Compared to Ohio and Nation 2015 & 2021 Region 2007 Jobs NOW NEO 1,403,050 Ohio 5,306,828 Nation 135,366,499 EMSI Analyst 2007-2015 % Change Change 1,353,196 (49,853) -3.6% 5,257,760 (49,068) -0.9% 139,286,250 3,919,751 2.9% 2015 Jobs 2021 Jobs 1,390,138 5,485,355 148,830,227 2015-2021 Change 36,942 227,595 9,543,977 % Change 2.7% 4.3% 6.9% The NOW NEO region was hit harder than Ohio or the nation and is producing slower job recovery than Ohio and the nation. NOW NEO lagged behind the state and nation in jobs recovered from 2007 to 2015. Total jobs in NOW NEO remains 3.6% below the 2007 level. The nation’s jobs in 2015 were 3% higher than in 2007. Expected net gains of total jobs for the NEO economy are only 37,000 jobs by 2021, six years from now. In a region of nearly 1.4 million jobs, that is anemic performance at best. Industry sectors that have great impact on NEO economic health and job production are: Manufacturing; Professional, Technical and Scientific Services; Finance and Insurance; Wholesale Trade; and Health Care and Social Assistance. With the exception of Health Care, total jobs in all these sectors remain lower than in 2007 now eight years into recovery. Manufacturing and Government Jobs Hit Hardest Job losses in Manufacturing, as always, took the largest hit (as late as 2015 the region’s prime sector was still over 25,000 jobs down from 2007. While job gains are occurring, projections indicate the region will still be down 10,000 from 2007 by 2021. Other sectors that took large job losses were in Government, Finance and Insurance and Construction, and even Professional, Scientific, and Technical Services. Anemic recovery leaves these sectors far short of 2007 peaks in job numbers. Shanahan Resources, Inc 18 NOW NEO: Economic Trends 2007 to 2021 by Industry Group NAICS Description 62 Health Care and Social Assistance 72 Accommodation and Food Services Management of Companies and 55 Enterprises 71 Arts, Entertainment, and Recreation 61 Educational Services 53 Real Estate and Rental and Leasing Mining, Quarrying, and Oil and Gas 21 Extraction 11 Crop and Animal Production 99 Unclassified Industry 22 Utilities Other Services (except Public 81 Administration) Professional, Scientific, and Technical 54 Services 48 Transportation and Warehousing 51 Information 42 Wholesale Trade Administrative and Support and Waste 56 Management and Remediation Services 44 Retail Trade 23 Construction 52 Finance and Insurance 90 Government 31 Manufacturing 2007 2015 Change 2021 Jobs 20152021 Change 2007 Jobs 2015 Jobs 188,781 105,086 215,620 115,181 26,840 10,095 247,681 117,916 32,061 2,735 36,457 43,857 7,400 46,357 2,500 19,046 28,384 19,604 22,086 29,280 20,359 3,040 897 756 23,870 32,059 21,042 1,784 2,778 683 1,169 1,047 (122) 996 (51) 2,818 550 4,993 2,640 325 4,354 (177) (225) (639) 2,311 143 4,281 (329) (182) (73) 41,523 39,308 (2,215) 39,734 426 69,673 67,001 (2,673) 74,118 7,118 38,318 22,711 69,962 34,842 18,597 62,239 (3,476) (4,114) (7,723) 35,152 16,024 61,202 309 (2,573) (1,038) 84,410 76,220 (8,190) 82,511 6,291 147,345 53,203 63,762 183,763 189,220 1,370,777 139,760 (8,978) 138,367 47,255 (8,982) 44,222 50,906 (9,601) 54,160 166,941 169,473 (14,290) 149,021 164,020 (25,200) 1,323,201 (47,576) 1,359,280 1,393 3,034 (3,255) (2,533) (15,000) 36,079 EMSI ANALYST . Parts of the Economy Already Exceed Pre-Recession Job Numbers Fortunately, a few important sectors of the economy were not hit hard and already are at job levels higher than in 2007: Health Care and Social Assistance; Management of Companies and Enterprises (the corporate function); and even Arts, Entertainment and Recreation. Together, over 35,000 jobs have been recovered and gained in these sectors. These net new jobs were not always the same as the ones initially lost. Industries use periods of recession to reorganize business operations. New technology is introduced which requires deployment of workers to change and new job titles, responsibilities and skill sets emerge as jobs are added back during recovery. Likely, many of the jobs advertised online are middle or higher skill jobs. However, these industries also employ large numbers of technician, sales, and support workers. Shanahan Resources, Inc 19 Keeping an eye on labor market demand from these sectors is an important part of Business Services strategy for WIOA planning. Silver Lining in the NEO Economy: Thousands of Jobs Were Added to the Economy by 27 Industries, Exceeding Previous 2007 Highs However the top eleven are a mixed bag of industries when viewed for the type of jobs prominent for these businesses: Casinos; Gas Stations and Convenience Stores; Food Service Contractors; Warehouse Clubs and Supercenters that mostly generate demand for lower paying part-time jobs. Still, the two with the largest job gains over 2007 are: General Medical and Surgical Hospitals and Insurance Agents and Brokerages. Typically these new jobs are professional and technical positions requiring middle to higher skills. Shanahan Resources, Inc 20 The second list is 16 industries that produced total jobs from 500 to 999 higher in The NOW NEO Economy: Industries with 2015 Jobs Above 2007 Highs NAICS 2007 Jobs Description 2015 Jobs Change 20152007 2015 2021 Competitive Location Jobs Effect Quotient 1000 and Up Jobs in 2015 Than in 2007 44711 45291 45411 52421 53139 61131 62211 62321 62411 71321 72231 Gasoline Stations with Convenience Stores Warehouse Clubs and Supercenters Electronic Shopping and Mail-Order Houses Insurance Agencies and Brokerages Other Activities Related to Real Estate Colleges, Universities, and Professional Schools General Medical and Surgical Hospitals Residential Intellectual and Developmental Disability Facilities Child and Youth Services Casinos (except Casino Hotels) Food Service Contractors 6,075 7,193 1,118 7,031 0.93 555 2,830 9,156 6,325 12,420 0.65 8,004 1,806 2,984 1,179 3,592 0.89 700 6,313 556 7,627 2,028 1,315 1,472 8,310 2,823 1.06 3.90 833 1,956 8,967 10,790 1,823 12,314 0.92 560 71,224 81,571 10,347 91,540 1.83 7,625 4,290 5,815 1,525 7,162 1.50 1,652 1,130 0 2,481 2,238 2,827 3,557 1,108 2,827 1,076 3,225 4,695 4,007 1.23 3.30 0.79 1,749 4,695 724 500 to 999 Jobs in 2015 Above 2007 Highs Power and Communication Line and Related Structures Construction 31191 Snack Food Manufacturing 32551 Paint and Coating Manufacturing All Other General Purpose Machinery 33399 Manufacturing 42481 Beer and Ale Merchant Wholesalers 44131 Automotive Parts and Accessories Stores 44411 Home Centers 44719 Other Gasoline Stations 45299 All Other General Merchandise Stores Other Transit and Ground Passenger 48599 Transportation Data Processing, Hosting, and Related 51821 Services 52393 Investment Advice Direct Life, Health, and Medical 52411 Insurance Carriers Outpatient Mental Health and Substance 62142 Abuse Centers 62431 Vocational Rehabilitation Services 90261 Education (State Government) EMSI: Analyst 23713 411 1,148 737 1,289 0.70 701 337 2,687 877 3,274 540 587 1,093 3,307 1.69 8.56 663 966 5,158 5,663 504 5,364 4.40 563 893 4,265 5,747 743 2,847 1,456 4,926 6,678 1,467 3,639 563 661 932 724 792 1,901 5,126 7,828 1,573 4,154 1.40 1.38 1.00 1.42 0.91 664 78 1,152 941 247 526 1,098 572 1,348 1.17 424 1,384 1,956 572 1,929 0.69 390 1,034 1,657 622 1,868 0.94 120 3,508 4,214 706 4,373 0.69 883 2,215 3,006 791 3,622 1.46 297 2,437 8,964 3,145 9,830 708 866 3,540 10,092 0.97 0.52 832 205 2015 than 2007 totals. Three of these were manufacturing industries that added jobs, not lost jobs, during recovery. This positive sign, however, is offset by several Retail Trade and Wholesale Trade industries on the list. Many of these new jobs likely remain low-to- middle skill in nature, and pay less than a living wage as part-time or seasonal workers. Among other highlights: Data Processing and Hosting business is rapidly growing in NOW NEO. Several more Health Care and Social Assistance industries appear on this list. Also, Health Insurance Carriers is recovering and expanding. Shanahan Resources, Inc 21 It is important to learn more about the types of jobs being added to the economy by this mix of industries and determine the implications for WIOA regional and local priorities to serve both businesses and job seekers. A deeper look within the traditional industries reveals that even sectors with significant job loss eight years into recovery have a bright spot. Specific industries serving niche customer markets are growing at rates faster than these same industries nationally. Many of these are in manufacturing. Manufacturing will be investigated further to determine which, if any, of this growth is in middle and higher skill jobs. Viewing NEO Job Performance as Occupations: Tale of Dual Economies Again, charting job recovery between 2007 and 2015, a large number of job gains were from most families of occupations: Lower skill to middle and higher skill jobs. The stark contrast, however, is between the occupational families that require middle to higher skills (Managerial; Business and Finance; IT; Community and Social Services and Healthcare Professional and Technical) and those that do not (Healthcare Support; Food Preparation and Serving; and Personal Care and Services). Both segments employ large numbers in the economy and by 2015 are now at pre-recession highs in total jobs filled by workers. There are contrasts between these two occupational clusters in terms of level of job responsibilities; skills and prior work experience; and average earnings. Shanahan Resources, Inc 22 NOW NEO: Occupations with 1000 and More Jobs in 2015 Employed Employed Median Change in Industry in Industry Hourly 2007 to Group Group Earning 2015 (2007) (2015) s SOC Description 11-9111 11-9033 Medical and Health Services Managers Education Administrators, Postsecondary Property, Real Estate, and Community Association Managers Social and Community Service Managers Food Service Managers Managerial 11-9141 11-9151 11-9051 4,032 1,137 4,471 1,350 439 213 $43.52 $36.20 1,599 1,810 211 $25.56 1,070 1,927 1,213 2,068 142 141 $32.39 $22.20 4,497 4,833 336 $28.84 1,762 1,232 1,879 1,338 117 106 $34.06 $32.35 6,706 5,646 2,232 7,423 6,096 2,370 718 450 138 $36.63 $38.13 $38.63 1,128 1,707 3,053 1,440 1,924 3,262 312 217 209 $19.22 $25.64 $22.16 1,300 1,470 169 $18.21 1,930 923 2,081 1,026 151 104 $14.25 $20.94 1,521 1,668 147 $20.07 5,527 6,205 678 $46.77 8,978 9,617 638 $20.75 2,501 2,743 242 $17.67 2,275 1,350 919 3,382 2,507 1,575 1,067 3,526 233 226 148 144 $25.96 $44.22 $20.96 $13.77 1,522 1,659 136 $20.37 1,718 1,511 1,911 1,852 1,638 2,038 134 127 127 $40.46 $26.56 $31.79 1,282 1,405 124 $20.12 Business and Financial 13-2052 13-1081 Market Research Analysts and Marketing Specialists Personal Financial Advisors Logisticians 15-1121 15-1132 15-1199 Computer Systems Analysts Software Developers, Applications Computer Occupations, All Other 13-1161 Computer and Mathematics Community and Social Service 21-1015 21-1022 21-1021 21-1093 21-1014 Rehabilitation Counselors Healthcare Social Workers Child, Family, and School Social Workers Mental Health and Substance Abuse Social Workers Social and Human Service Assistants Mental Health Counselors 25-3021 Self-Enrichment Education Teachers 21-1023 Education, Training, and Library Healthcare Practitioners and Technical 29-1069 29-2061 29-2071 29-2034 29-1171 29-2055 29-2052 29-2012 29-1123 29-1126 29-2021 29-2099 Physicians and Surgeons, All Other Licensed Practical and Licensed Vocational Nurses Medical Records and Health Information Technicians Radiologic Technologists Nurse Practitioners Surgical Technologists Pharmacy Technicians Medical and Clinical Laboratory Technicians Physical Therapists Respiratory Therapists Dental Hygienists Health Technologists and Technicians, All Other Shanahan Resources, Inc 23 WIOA NEO: Occuaptions with 1000 and More Jobs in 2015 Employed Employed Change Median in Industry in Industry 2007 to Hourly Group Group 2015 Earnings (2007) (2015) SOC Description 31-9092 31-2021 Medical Assistants Physical Therapist Assistants Healthcare Support 4,884 1,076 5,407 1,211 524 135 $13.64 $28.46 7,501 8,273 772 $12.84 6,671 3,886 4,232 7,226 4,307 4,601 555 422 368 $9.16 $9.78 $9.05 3,212 3,537 325 $9.00 2,300 2,558 258 $9.05 3,417 1,147 3,564 1,246 147 100 $8.87 $19.61 5,018 1,292 5,994 1,404 976 112 $9.38 $9.14 3,915 2,374 4,351 2,541 436 167 $21.96 $11.99 6,530 6,713 183 $17.43 1,480 1,866 386 $10.77 1,058 1,158 100 $10.41 Food Preparation and Serving 35-2011 35-1011 First-Line Supervisors of Food Preparation and Serving Workers Bartenders Food Servers, Nonrestaurant Dishwashers Hosts and Hostesses, Restaurant, Lounge, and Coffee Shop Dining Room and Cafeteria Attendants and Bartender Helpers Cooks, Fast Food Chefs and Head Cooks 39-9021 39-2021 Personal Care Aides Nonfarm Animal Caretakers 41-3021 41-2022 Insurance Sales Agents Parts Salespersons 49-3023 Automotive Service Technicians and Mechanics 35-1012 35-3011 35-3041 35-9021 35-9031 35-9011 Personal Care and Service Sales Installation, Maintenance and Repair Transportation and Materials Moving 53-3041 Taxi Drivers and Chauffeurs Automotive and Watercraft Service 53-6031 Attendants EMSI Analyst What specific jobs reached new highs by 2015 in Managerial; Business and Finance; IT and Engineering occupational families? These are the jobs added for NEO that require the most skills and postsecondary education. Some of these are mid level along career paths; others are more advanced positions. Employers, though, view some of these as entry level; meaning that less than five Shanahan Resources, Inc 24 years prior work experience is required, and some can be attained without a Bachelors degree. Growth in Region's Managerial; Business & Finance; Computer & Math; and Engineering Occupations 2007 Jobs Occupation Computer Systems Analysts Software Developers, Applications Medical and Health Services Managers Market Research Analysts and Marketing Specialists Computer User Support Specialists Management Analysts Education Administrators, Postsecondary Property, Real Estate, and Community Association Managers Accountants and Auditors Social and Community Service Managers Civil Engineers Computer and Information Systems Managers Logisticians Computer Occupations, All Other Software Developers, Systems Software Food Service Managers Information Security Analysts Personal Financial Advisors Business Operations Specialists, All Other Operations Research Analysts Meeting, Convention, and Event Planners Financial Analysts Web Developers Human Resources Managers EMIS Analyst 2021 Jobs Change (2007-2021) % Change (2007-2021) 2007 Jobs 6,729 5,665 4,121 4,537 3,975 4,962 1,149 2021 Jobs 8,146 6,779 5,062 5,372 4,368 5,313 1,467 Change 1,417 1,114 941 835 393 351 318 % Change 21% 20% 23% 18% 10% 7% 28% 1,625 1,943 318 20% 11,281 1,096 1,860 2,948 1,247 2,238 1,522 1,981 567 1,775 7,263 717 471 2,512 1,120 1,121 11,581 1,388 2,109 3,184 1,448 2,424 1,703 2,145 726 1,928 7,410 849 598 2,621 1,228 1,222 300 292 249 236 201 186 181 164 159 153 147 132 127 109 108 101 3% 27% 13% 8% 16% 8% 12% 8% 28% 9% 2% 18% 27% 4% 10% 9% The percent growth in job totals for several of these exceeds 20% from 2007 to 2015. These data inform about the recent past. Limiting the focus to only these occupations based on expected growth in total jobs for the economy is not necessarily a good indication of their real-time importance within the dynamics of the labor market. A direct investigation of what jobs employers are posting online provides a more complete picture of jobs in demand as they emerge and change. Shanahan Resources, Inc 25 V. Labor Market Activity & Impact on Job Seekers In-depth Realities and Insights of Labor Market Demand Why Do Employers Hire New Workers? Regional labor markets are dynamic, not static. Employers constantly search for new workers. They seek either to expand the number of workers employed in specific occupations, or to replace workers that now work for someone else or have retired. Even during the recession when total jobs for the region declined dramatically, employers were hiring. Job postings were down but still numerous. To be specific, employers have three reasons to hire new workers: 1. Need to add workers employed in specific occupations (e.g. the region’s employers together have a demand for Mobile Applications Developer that increases total jobs in the region from 100 to 110). As the region grows the total number of jobs that derive from expansion of driver industries, employers need to hire more workers, especially to fill the faster growing occupations. In this example, industry expansion increases the need for accounting services to support the economic growth, thereby increasing the demand to fill added accounting jobs. 2. Need to hire new workers to replace persons who have vacated jobs (e.g. Network Administrator) and entered retirement. The region’s employers will need to recruit new, younger Network Administrators if they are to maintain the same number of positions. For the region, retirements reduce a supply of workers available to industry. New persons aspiring to be accountants need to emerge in the workforce if the supply of Network Administrators needed by the region’s employers is to be maintained. The influence of the aging workforce on employers plays out longer term. 3. Need to hire new workers to replace persons that leave one employer to work for another, perhaps even changing occupations. Employers may decide to fill all or some portion of vacant accountant positions if they choose to keep the number of accountants the same. This last point results from labor market churn and asks: Are these hires just as real for job seekers as when hiring additional workers? In workforce development, yes they are. Shanahan Resources, Inc 26 Large numbers of workers change jobs during a year. Workers change employers in pursuit of advancement or move to another region. Employers let employees go for poor performance, business decline, etc. These occurrences happen every day with the net affect that employers need to decide whether or not to replace these departing employees:3 And if so, for the same or a different assignment? How well are the OMJ centers advising clients on career and training options? How well do career technical education programs meet the needs of employers for new workers? Answering requires a thorough understanding of the number and nature of the jobs employers seek to fill. How are changes in job responsibilities, required qualifications, and specific skills reflected in job ads? Traditional labor market metrics fall short of incorporating the following changes as they emerge in real time: Only job postings reflect employer intent to hire workers for all three reasons. Traditional estimates of job growth and job openings for the region overall do not include the impact of labor market churn. As a result, current job postings frequently differ from economic forecasts of new job demand that are based on previous year-to-year changes in the distribution of jobs by occupation. IT jobs, for example, as a percent of all jobs within the region and by industry of employment have trended upward gradually for years. BLS estimates of future increases are based on these trends. These estimates can be compared to emerging changes that are evident in recent job ads. A different pattern often emerges when comparing the two indicators of labor market demand. Implications for the Region’s Labor Market 3 Data on labor turnover are drawn from administrative records submitted by employers that identify workers covered under unemployment. Workers changing jobs is determined by flagging workers that are dropped by the employer they left and show up with a new employer. Shanahan Resources, Inc 27 Replacing workers lost to job churn often is the dominant reason employers hire new workers. Some industries face large numbers of retirements within a few years based on aging of their workers. Just as important, the number of jobs impacted by labor turnover (or churn) is large. It can affect all industry and dominate the labor market for many low-skill, low-wage occupations. On the other hand, in industries and occupations that are fast growing, the need to expand the number and percentage of workers employed in specific occupations (CyberSecurity Analyst for example) can be the dominant reason for hiring. This is especially true for occupations where the most valued skills are not easily transferable to other occupations. As a result, ideally, information and data on labor market activity in the next one-to-five years needs to include data on all three reasons: Need to add new jobs in all or some occupations based on overall region’s job growth Need to replace workers who retire; attracting new workers into the labor force is needed in order to fill vacated jobs Need to replace workers no longer with the same employer Implication for WIOA and Higher Education For higher education, it does not matter whether job openings are the result of job growth, retirements or labor turnover. It does not matter whether job openings by occupation result from regional job growth or the fact that some occupations grow faster than others. What matters is that employers across the region need to add NEW workers to fill new or vacant positions. Employers seek to hire additional workers that are best qualified— applicants that meet their skill and experience requirements. This is where higher education plays a vital role to help bring supply and demand more into alignment. Why Is Job Churn Important? Shanahan Resources, Inc 28 Churn occurs as workers move from job to job, either by their choice or because they were let go by their employers. Labor market churn allows employers the opportunity to redefine or eliminate jobs as workers vacate them, and enables workers to pursue career change or advancement by changing jobs and employers. Churn is considered healthy for the economy. Workers pursue career change or advancement by changing employers. Firms can implement changes in job assignments, replace less-productive workers, and improve competitiveness. Current churn rates have yet to recover to pre-recession highs. They vary by occupation and are highest for low-wage occupations. Workers in Architecture and Engineering, as a group, have the lowest incidence of workers moving from job to job. Jobs in Food Preparation and Serving have the highest, more than three times the average rate.4 IT workers suffered the least drop in churn during the downturn and have recovered the fastest during the recovery. Because of the increasing importance of IT to all industry, these workers experienced the lowest unemployment during the recession, and new hires were made at a faster pace than for other occupations. As a result of workers vacating previous jobs, “The vast majority of hiring in the U.S. is driven by the need to replace workers who leave one job for another…this job to job movement is known as labor market churn.”5 Workers often need to acquire new skills through postsecondary education in order to move into a new job with another employer. And the region’s supply of workers qualified to replace these departing workers often need new skills in order to satisfy employer changing job requirements. Ibid; p 9. Careerbuilder and EMSI, The Pulse of U.S. Hiring Activity: Labor Market Churn by Occupation & Metro, http://www.economicmodeling.com/2014/12/02/the-slowdown-in-job-churn-explained-and-visualized/ 4 5 Shanahan Resources, Inc 29 Students completing degrees and certificates from postsecondary institutions are likely employed full time while in college. So they are not part of the ‘emerging workforce’. They are in fact taking part in labor market churn as described. The larger question is: what part of the fluid movement of workers from job to job is a change of employer but not a change in occupation, and what part of labor churn supports career change or advancement? Skills are the Common Language of Educators and Employers In this report a case is made for skills-based career paths, rather than education or occupations per se. This argument starts with the idea that skills that employers build into distinct occupations vary from occupation to occupation. Yet specialized skills are mentioned often in several occupations. It is important to engage employers in discussions of core skills they often find missing from applicants, and how program curriculum can be improved. This can lead to better results for students rather than: “what jobs can our students find?” Career and technical education degree programs generally are not intended to prepare students for specific jobs or even specific occupations. Student learning outcomes generally help prepare graduates for a range of IT jobs, but not any one job completely. Training programs delivered as one year or less are usually designed with specific jobs in mind (such web developer), or to develop students’ knowledge of skills clusters to prepare them for helping with cyber-security or big data, or to work with specific software, languages or platforms. Training programs target individuals that need to up-skill. These shorter programs can bring skill sets in line with what employers seek in jobs. Shanahan Resources, Inc 30 Seldom do Associate or Bachelor degree programs align with a single or dominant occupation. Rather, they match with a broader set of occupations on the basis of a shared set of core skills that employers seek across the identified occupations. Researching the value of defining career pathways using skills rather than jobs as the primary path to career advancement is worth pursuing. Addressing Skill Gaps All metro economies have in common two specific problems concerning the skills gap. Middle and Higher Skill Jobs In Demand Which Typically Require a Bachelors degree; these jobs primarily are found in Management; STEM; and Healthcare Professional and Technical occupations. Mostly, employers with the most job ads are in Professional Services; Healthcare; Manufacturing; Finance and Insurance; and on a smaller scale, IT industries. Jobs in Demand that Require Only Some Postsecondary Education and Training Including possibly an Associate degree; these jobs are primarily found in Sales; Office/ Administrative Support; Installation, Maintenance and Repair; and Production. The first two occupations are found in demand in all industries with sizable job bases in the region. The second occupations are largely found in Manufacturing. Assisting employers and job seekers connect around jobs in demand for both segments of the labor market are important for the WIOA NEO boards and agencies to understand. Jobs in Demand Requiring Less than a Bachelors Degree The majority of employed persons do not have a Bachelors degree (74%). Definitely, even a greater share of job seekers working part time or not at all do not have a Bachelors degree. Where are the jobs for them? Are employers hiring for jobs that pay better than average wages yet typically require some postsecondary education up to and including an Associate degree? What are the skills employers seek for these jobs? Are these skills that many job seekers lack? Shanahan Resources, Inc 31 Total labor market demand is researched by searching for the skills that increasingly are in demand by employers and the impact this has on job responsibilities, qualifications (including education) and average pay. What skills appear in the largest number of ads across all occupations? There were over 197,000 online job ads reported for NEO during 2015. What occupations most often include these skills as important to job performance? What employers have these jobs? What are the implications for skill assessment and training needs for job seekers most often served by WIOA? In each case, what is the role of the WIOA workforce system in NEO in addressing the needs of employers to fill these jobs and in up-skilling of (potential) workers to fill these jobs? VI. Skills In-demand & Implications for Job Seekers In Demand Skills by Employers Are Key to Knowing What Job Seekers Need for Entry-level Occupational Opportunities This analysis proceeds in search of jobs in demand and the skills required that are most appropriate for the populations of jobs seekers WIOA is mandated or intends to serve. These skill sets likely are foundational in preparation of many WIOA clients for any career employment opportunities. The first task is to identify those skills most often appearing in online job ads. Those appearing most often are more likely for jobs in occupational families of low to middle skill: Sales; Office and Administrative Support; Services; and blue collar occupations such as Production. Establishing these skills linked to jobs in demand suggests foundational skills of job seekers not currently employed or in the labor force. Top Skills Appearing Across All Online Postings Shanahan Resources, Inc 32 Most but not all job ads specify skills that employers seek from applicants. In fact, during 2015 only twenty-three percent of all online ads did not specify a single skill. Likely, these are for low-skill jobs, especially part-time or temporary positions. The more skilled the position, the more skills appear in the ad. In fact, on average IT occupations have the most skills listed of any occupational family. This includes Engineers and Scientists. By isolating skills appearing the most in job postings, no matter the occupation, we gain insight into what skills job seekers must possess to compete. There are three ways to organize demand for skills that appear in job ads. 6 1. Customized to specific occupations and the nature of job assignments. These are technical skills stipulated by employers. Examples: accounting; welding or machining (as skills not jobs); and patient care. 2. Software and Programming skills, which can be required in non-IT jobs as well. Most occupations today require some of these skills. 3. Baseline skills, or what is often called ‘soft’ or non-technical skills. These are not the typical ‘show up on time’ workplace attributes. Rather skills mentioned in job ads are more germane to successful performance on the job. These include communication, writing, problem solving skills, etc. Top Postings Asking for Specialized Skills during 2015: NOW NEO Region Job Postings # % Customer Service 27,077 17.7% often in job ads enables productive Sales 19,027 12.5% Scheduling 18,656 12.2% discussion about required skills, not Building Relationships 16,301 10.7% Top TenBudgeting Occupations Asking for Sales Skills during 201514,405 in NOW NEO 9.4% just on jobs employers Job Postings Filing 13,214 8.6% # % need to fill. Occupations BGTOCC Occupation Supervisory Skills 13,062 8.5% 41401100 Sales Representative 4,270 12,837 23.1% Project Management 8.4% 41203100 Retail Sales Associate 4,188 22.7% 45.8% vary on skills needed to Patient Care 12,536 8.2% 41101100 Retail Store Manager / Supervisor 1,082 5.9% Repair 7.0% 11202200 Business Development / Sales Manager 968 10,733 5.2% perform the job. Customer Contact 10,475 6.9% 43405100 Customer Service Representative 551 3.0% Total Posts Asking for Specialized Skills 152,812 453 2.5% However, many skills are 13201194 Account Manager / Representative 41302100 Insurance Sales Agent 2.2% Source: Labor Insight Jobs (Burning Glass406 Technologies) Knowing what skills appear most common to a wide variety of occupations. This also 6 Skills 43601192 Account Executive 43414100 Personal Banker / Banking Sales Staff 43307100 Teller Total Top TenPostings for Sales Skills Source: Labor Insight Jobs (Burning Glass Technologies) 389 361 293 12,961 2.1% 2.0% 1.6% 24.4% Burning Glass Technologies, Labor/Insight Shanahan Resources, Inc 33 spans families of occupations (for example, Sales and Office and Administrative Support). Once the most occurring skills are identified, occupations and employers that need these top skills can be established. Traditional thinking is to search for jobs, and then identify skills needed in the job. Linking skills to jobs is a new way to define employer demand. Specific or Specialized Skills Most in Demand Here are the top ten skills appearing in online job ads in the NOW NEO Region. Customer Service skills appear in over 27,000 ads (18% of all ads). Followed at a distant second by Sales and third by Scheduling. Only Patient Care is specific to a single industryspecific occupation in Healthcare. Most others might appear in job ads from any industry, including Healthcare. These ten skills are quite varied; all are distinct and likely to be linked to different combinations of occupations. All have varied importance as a skill to the posting. For some occupations this skill is of great importance. In others, it is of less importance, but enough so to be included in ads. Almost 1 in 5 job ads specify Customer Service Skills. Customer Service Rep and Retail Sales Associate account for 1 in 4 of these ads (over 6,000 ads during 2015). The top ten occupations together accounted for 47% of all such ads. Most of the demand for customer service skills is for jobs in the Sales and Related occupations, which is to be expected. Shanahan Resources, Inc 34 Customer Service skills top the list of all specialized skills simply because of the high number of job postings in the Sales and Related Occupations. Top Employers Most of the employers with the largest numbers of postings asking for Customer Service skills are the same employers seeking Sales skills. Together these dominate the list of top skills in the economy because of the large number of Sales and Related occupations. Top Employers Asking for Customer Service Skills Job Employer Postings CVS Health 664 Lowe's Companies, Inc 649 The PNC Financial Services Group, Inc. 567 Keycorp 519 The Home Depot Incorporated 513 Giant Eagle Supermarkets 412 Cleveland Clinic 339 Sears 289 Dollar General 263 Deloitte 233 Macy's 231 Fifth Third Bank 225 Citizens Financial Group 207 University Hospitals 202 Best Buy 174 AT&T 150 Burlington Coat Factory 145 Office Depot 143 Caesar's Entertainment 140 Oracle 140 H&R Block 138 Source: Labor Insight Jobs (Burning Glass Technologies) Sales Skills is the second most listed. The top ten occupations are obvious fits for jobs where sales skills are important. The top three are in the Sales and Related Occupation Family. 4.5 jobs out of ten postings were for Sales Rep and Retail Sales Associate. Top employers in the region for these occupations are national retailers. They are ranked in order by number of posts: CVS; Home Depot; Macy’s; Lowes; PNC; and Best Buy. Implication: Is the lack of strong sales and customer service skills among job seekers with less than a Bachelors degree creating barriers to job entry? Which of these occupations are truly opportunities for these workers? Are there job advancement opportunities, and are these jobs permanent? Do they pay close to a living wage? Which of the remaining top specialized skills should be explored? Shanahan Resources, Inc 35 TOP Software and Programming Skills in Demand for NOW NEO Thirty-nine percent of all software skills mentioned during 2015 were for Top Software and Programming Skills Appearing in Job Postings during 2015: NOW NEO Region Skills the basic Microsoft Office Suite applications. Excel tops the list. Specifying this spreadsheet tool likely occurs most often in non-IT jobs where applicants are less likely to be proficient. The next fifteen are specific IT skills and IT job responsibilities regardless of whether they are IT professionals or not. SQL, Oracle, SAP, JAVA, JavaScript, Enterprise Resource Job Postings # % Microsoft Excel 21,941 14.4% Microsoft Office 20,050 13.1% Microsoft Word 8,944 5.9% Microsoft Powerpoint 8,157 5.3% SQL 7,510 4.9% Oracle 6,120 4.0% SAP 4,928 3.2% JAVA 3,909 2.6% JavaScript 3,350 2.2% Enterprise Resource Planning (ERP) 3,271 2.1% Microsoft C# 2,993 2.0% .NET Programming 2,796 1.8% Microsoft Access 2,784 1.8% Microsoft Windows 2,715 1.8% Extensible Markup Language (XML) 2,545 1.7% Microsoft Outlook 2,542 1.7% SQL Server 2,445 1.6% Word Processing 2,444 1.6% LINUX 2,293 1.5% UNIX 1,879 1.2% Source: Labor Insight Jobs (Burning Glass Technologies) 38.7% 46.9% Planning are the specific IT skills common to posts no matter the specific occupation. These fifteen are prime skills to develop in IT students regardless of career pursuit in IT. Occupations with Most Ads Asking for Excel and Office Suite With the exception of Customer Service Rep, about half of all ads for these occupations specify the need for proficiency with Excel and Office Suite applications. Office/Administrative Assistants; Bookkeeper/ Accounting Clerks; Accountant; and Customer Service Reps accounted for the most employer posts. Shanahan Resources, Inc 36 Still, the number of posts asking for these skills in occupations not typically considered middle-skill are impressive: Payroll Specialist; Executive Assistant; and Retail Store Manager. The implication is that a large number of positions for Office and Administrative Support and Sales may not be available to job seekers lacking these NOW NEO Region: Top Occupations Asking for Microsoft Excel and Office Skills BGTOCC Occupation 43601400 Office / Administrative Assistant 43303100 Bookkeeper / Accounting Clerk 43405100 Customer Service Representative 13201193 Accountant 13107192 Human Resources / Labor Relations Specialist 43601300 Medical Secretary 43305100 Payroll Specialist 13102100 Buyer / Purchasing Agent 43601191 Executive Assistant Occupation with Largest Concentration of Demand for Excel & Office Job Postings Ads Asking for Excel and Office All Ads Excel & Office as % of All % # % # 1,747 1,207 1,070 1,010 495 420 304 253 248 5.6% 3.9% 3.5% 3.3% 1.6% 1.4% 1.0% 0.8% 0.8% 3,378 2,403 4,466 1,846 1,324 944 592 444 389 51.7% 50.2% 24.0% 54.7% 37.4% 44.5% 51.4% 57.0% 63.8% 6,754 21.8% 15,786 42.8% basic computer software skills. This information suggests that specific short training certificates offered as boot camps can impact a large number of potential job seekers typically served by WIOA. Questions are: Are these good job opportunities for job seekers with less than a Bachelors degree? Do they pay a living wage or the opportunity to advance into a job that does? These questions are best addressed by additional investigation of skills sought by employers and in discussion with employers demanding these proficiencies. Given the list of top employers, some of these positions may be among the better jobs available to WIOA enrolled clients with less than an Associate degree. Baseline, or Non-technical, Skills A new report from Burning Glass provides insights for educators, employers and student/job seekers. The relative number of baseline vs technical skills appearing in ads varies greatly across occupations; the higher the skill level of the job, the greater the emphasis on technical rather than baseline or soft skills that employers place in the ads. Shanahan Resources, Inc 37 Baseline skills appearing in job posts are ones that employers often find missing from applicants and are the hardest to find. These vary among occupations and industries. For example, math is often listed for production jobs in manufacturing because applicants often do not have good math skills. Math is seldom mentioned in ads for science, engineering or IT jobs because it is assumed they will have these skills. A few baseline skills are important to employers no matter the occupation— Writing, Communications, and Organization. “We have effectively let employers define baseline skills by analyzing what they request most often in job postings. We defined skills sought by employers across multiple occupations and that are not typically taught in training programs as baseline skills. That includes many soft skills, certainly, but also skills like Microsoft Word and Excel. People can be formally taught to use these software packages— but far more learn to use them on their own. Technical skills mean skills that both can be taught and are specific to a particular occupation or industry. For example, software programs ranging from Adobe Photoshop to Shanahan Resources, Inc 38 SPSS may be either self-taught or learned in a formal setting, but the demand for these skills is limited to specific roles and industries.”7 Burning Glass finds that the mix of baseline skills, like technical skills, varies across occupations—even within broad occupational families. “Baseline skills are most emphasized in roles that involve higher levels of personal interaction relative to technical activities. In Customer Support roles, over half of all requested skills are baseline skills. Clerical and Administrative, Human Resources, Hospitality, Sales, and Management are the other areas where employers place the greatest emphasis on baseline skills.” 8 Communication Skills was included in 38% of all job posts during 2015, topping the list by a large margin. Top Postings Asking for Baseline Skills during 2015: WIOA NEO Region Skills Many of these are what we refer to as soft skills or 21st Century Skills. From Research to Communication, at least one in ten job ads include one or more of these skills as important to making hires. Quite a range of occupations has large numbers of postings, which include one or more of the top baseline skills important to employers. These include Healthcare workers providing patient care; Sales workers; several IT occupations and a few Business professional or technical positions. Not all posts for these occupations list Job Postings # % Communication Skills 58,145 38.1% Writing 29,382 19.2% Customer Service 27,077 17.7% Organizational Skills 24,716 16.2% Problem Solving 22,882 15.0% Team Work/ Collaboration 20,021 13.1% Computer Skills 18,917 12.4% Planning 18,899 12.4% Detail-Oriented 17,378 11.4% Research 16,060 10.5% Building Effective Relationships 14,068 9.2% Critical Thinking 12,866 8.4% Project Management 12,837 8.4% Troubleshooting 11,798 7.7% Mathematics 8,809 5.8% English 8,587 5.6% Time Management 8,500 5.6% Creativity 7,548 4.9% Leadership 7,391 4.8% Presentation Skills 6,048 4.0% Analytical Skills 4,671 3.1% Meeting Deadlines 4,529 3.0% Self-Starter 4,361 2.9% Listening 4,199 2.7% Mentoring 4,146 2.7% Source: Labor Insight Jobs (Burning Glass Technologies) particular baseline skills; however, the majority of them do (5,181 out of 8,877 total posts for RNs). The fact that far more 7 8 Burning Glass, The Human Factor: The Hard Time Employers Have Finding Soft Skills, November 2015, p 7. Ibid, p 8. Shanahan Resources, Inc 39 technical skills are mentioned for RNs than baseline, does not imply they are any less important to the employer. Remember, employers often spell out skills they are concerned about. As important as these appear to be for employers in making hiring decisions, postsecondary students and job seekers need to assess themselves for baseline skills in preparation for employment. Top 20 Occupations with Emphasis on Baseline Skills As a general proposition, it is never clear what employers mean when complaining about ‘soft’ skills. These new focused data provide a start to understanding what can be taught and what is best learned through experiential learning. The implication is that employers, educators and case managers need to work together to address these gaps. This is just as important as efforts to improve BGTOCC 41203100 41401100 43405100 15113100 41101100 29114100 43601400 43303100 11202200 15112100 13201193 13111100 31909200 31101400 15115100 15119909 43307100 13107192 13201194 29117100 Occupation Retail Sales Associate Sales Representative Customer Service Representative Software Developer / Engineer Retail Store Manager / Supervisor Registered Nurse Office / Administrative Assistant Bookkeeper / Accounting Clerk Business Development / Sales Manager Systems Analyst Accountant Business / Management Analyst Medical Assistant Nursing Assistant Computer Support Specialist Project Manager Teller Human Resources / Labor Relations Specialist Account Manager / Representative Nurse Practitioner Job Postings 5,197 4,818 3,613 3,432 2,978 2,849 2,491 1,530 1,499 1,257 1,166 1,119 1,080 1,030 1,000 946 944 900 899 862 Source: Labor Insight Jobs (Burning Glass Technologies) technical skill attainment of students/ job seekers. It is important to further document how different occupations stress different combinations of these nine baseline skills and how they contribute to job performance. In what ways are the outcomes influenced by industry or organizational culture in the workplace? Burning Glass has conceptualized the broad range of soft or foundational skill sets into six clusters that are required for some occupations and industries. Customer Service Presentation and Persuasion Shanahan Resources, Inc 40 Detail Oriented Supervision Positive Disposition Project Management, Research & Strategy Conclusion: It is no longer confusing what employers mean by ‘soft’ skills. These are definitive and can be incorporated into curriculum and experiential learning within education and training programs and client services. Should this become an important skill issue for WIOA and the larger workforce development system to address, more detailed analysis of labor market data and discussions with employers will be needed. Shanahan Resources, Inc 41 Employers Posting the Most Jobs Online and Top Jobs They Post The top two employers based on job posts are the two largest healthcare organizations with 10% of all job posts. This is not to suggest that they accounted for 10% of all hires during 2015. It does reflect how intensively they solicited applications. It is no surprise that RNs were the top occupations in terms of online postings. The remaining thirteen companies span a range of industries and posted from 600 to 1,500 posts during 2015. Major chains and big box retailers made the list as well as major firms in Finance and Insurance but only one manufacturer (Sherwin-Williams). Other than RNs, three occupations were close in total posts from these firms: TractorTrailer Truck Driver; Retail Sales Associate; and Software Developer/ Engineer. Truck driver posts for many of these employers is from major trucking companies in the region. Sales positions; Office and Administrative jobs; and mid-level IT professionals were the top jobs posted by these employers. Top Employers with Highest Percent of Ads Requiring Excel and Office Proficiency Employer Job Postings Cleveland Clinic 308 University Hospitals 165 Keycorp 75 Progressive Insurance 62 Nlc Loans 58 Mattress Firm 43 Sherwin Williams 43 Nestle USA Incorporated 38 Z Wireless 38 Time Warner 34 The Office Professionals Incorporated 32 Eaton 31 Airgas Incorporated 30 Case Western Reserve University 28 Amtrust North America 26 Source: Labor Insight Jobs (Burning Glass Technologies) Employer Teletech Willis Oracle Chrysler Mercy Health Watcam Account Prinicpals Koninklijke Philips N V T Mobile Usa Incorporated Gander Mountain Jo-Ann Fabric The PNC Financial Services Group, Inc. Advance Auto Parts Incorporated Amtrust Financial Services Incorporated Cardinal Health, Inc. Shanahan Resources, Inc Job Postings 26 26 25 24 24 24 23 23 23 22 22 22 21 21 21 42 VII. Job Opportunities for Job Seekers without a Bachelors Degree Jobs in Demand Requiring Less than a Bachelors Degree Only a minor percentage of job seekers working part time or not at all have a Bachelors degree. Even a majority of employed persons do not have one. Where are the jobs for them? Are employers hiring for jobs that pay better than average wages yet typically do not require a Bachelors? What are the skills employers seek for these jobs? Are these skills lacking in many job seekers? Recent research by the Cleveland Federal Reserve Bank provided important new insights on what they define as middle-skill ‘Opportunity Occupations’.9 This study began as a collaboration of economists at the three Federal Reserve Banks. The objective was to find job opportunities in metropolitan economies for workers who have some postsecondary education but lack a Bachelors degree; and jobs that earn an above average wage in their labor market. The largest 100 metropolitan areas (MSAs) are included. Kyle Fee and Lisa Nelson developed a similar report for all metro areas in Ohio. Opportunity occupations “do not (typically) require a Bachelors degree and pay at least the national annual median wage, adjusted for regional differences in cost of living.”10 Important Findings and Implications for NOW NEO 1. Currently, about one in four jobs nationally meet the criteria of being good opportunities for workers without Bachelor degrees. 2. Cleveland MSA has the third largest percentage of jobs in opportunity occupations (36%) using O*Net estimates of jobs needing less than a Bachelors. O*Net used survey data from workers that identifies their occupation and level of educational attainment. However, using education in Burning Glass’ analysis of online job ads, Cleveland is seventh at 30%. Akron MSA is close with 33% and 28%, respectively. 9 A term introduced in a recent study by team of researchers at the Federal Reserve Banks in Cleveland, Atlanta, and Philadelphia. Identifying Opportunity Occupations in the Nation’s 100 Largest Metro Economies, 2015. 10 Ibid, page 1. Shanahan Resources, Inc 43 Their research identified 20 occupations not requiring a Bachelors degree that had the most jobs in 2014 in Ohio. Only seven of these met the criteria of ‘opportunity occupations’. Meaning only these seven paid workers better than the national average. However, these were not the only occupations that met the criteria. Taking a direct approach, they found 30 detailed occupations (23 more) that met their criteria of “do not (typically) require a Bachelors degree and pay at least the national annual median wage, adjusted for regional differences in cost of living”.11 Ranked by number of occupations by Families of Occupations, there were: 1. 2. 3. 4. 5. 6. Office and Administrative Support (6) Sales (4) Installation, Maintenance and Repair (4) Production (3) Business and Finance (2) Healthcare—RN & LPN (2) The implication is clear: the search for middle skill-jobs that pay well should focus on these six occupational families. However in each case, there still are many occupations that do not pay enough to make the list of 30. Even for job posts for the 30 occupations, only some are actual opportunities. At this time, they estimate that about a third of all jobs in NEO represent opportunities for the thousands of individuals not yet benefiting from economic recovery. Updating of Opportunity Jobs Using Burning Glass’s Definition of Middle Skill A less rigorous definition is used by Burning Glass to identify occupations typically considered middle-skill: Occupations with less than 80% of all posts in which employers prefer a Bachelors. They also use $17 an hour as proxy for a living wage (based on MIT calculator). 11 Kyle Fee and Lisa Nelson, A Look behind the Numbers, Vol. 7, Issue 1; January 22, 2016, Federal Reserve Bank of Cleveland, p13 & 14. Shanahan Resources, Inc 44 Good-Paying Middle-skill Jobs in Demand NEO: Top 30 Occupations Based on Postings, Typically Middle-skill, Last 365 Days These occupations demand postsecondary education beyond high school up to an Associate degree and pay better than average earnings. BGTOCC Occupation Manager 11102192 11202200 11905100 General Manager Business Development / Sales Manager Restaurant / Food Service Manager Business & Finance Burning Glass’ definition broadens the number of occupations considered middleskill as long as 21% or more of job openings are accessible to job seekers without a Bachelors degree. The balance of job openings accessible with less than a Bachelors degree varies across occupational families and occupations among the thirty with the most online ads in the last 365 days. Only small shares of posts are middle-skill opportunities in the top half of the table. 13107191 13107192 13201194 13207200 29114100 29114103 29114191 29201200 29206100 15114100 15114200 15115100 Recruiter Human Resources / Labor Relations Specialist Account Manager / Representative Loan Officer Healthcare Professional and Technical Registered Nurse Intensive / Critical Care Nurse Clinical Case Manager Laboratory Technician Licensed Practical / Vocational Nurse IT Database Administrator Network / Systems Administrator Computer Support Specialist Office and Administrative Support 43101191 43303100 43414100 43601300 43601400 Office Manager Bookkeeper / Accounting Clerk Personal Banker / Banking Sales Staff Medical Secretary Office / Administrative Assistant Maintenance, Installation and Repair 49101100 49302300 49907191 49909900 Maintenance / Service Supervisor Automotive Service Technician / Mechanic Maintenance Technician Repair / Service Technician Other What Employers Post These Jobs? Topping this list are healthcare 51906100 Quality Inspector / Technician 53303200 Tractor-Trailer Truck Driver Source: Labor Insight Jobs (Burning Glass Technologies) organizations and trucking companies. Given RNs and Tractor-trailer Truck Drivers top the list of middle-skill jobs that pay well, this is no surprise. Other top employers included other Hospitals; Financial Institutions; Manufacturers; and a few chain retail operations. This list of employers is consistent with the list of middle-skill occupations with the largest numbers of job posts during 2015. Shanahan Resources, Inc 45 Why These Occupations? What explains why these 30 occupations require less than Bachelors degree but pay better than national average wages? What is there about these specific posts that result in better pay than similar occupations? One explanation is that many traditional jobs now require more skills. What impact is increased demand for IT and other digital skills having on traditional jobs in these families of occupations? What skills are included in job ads today that impact many of these jobs? Up-skilling by employers occurred for some occupations and not others; for some employers and not others. Increased Skill Demands is a Factor Many of the 30 occupations found by Fee and Nelson are among those now requiring many of the skills most often included in online job ads. The increased importance of foundational skills common to numerous occupations such as Customer Service; Microsoft Applications and Communication skills raise the level of preparedness of job seekers and may translate into better compensation and are more likely to be full time jobs. Importance of Digital Skills in Occupations Not Requiring a Bachelors Degree Again, middle-skill jobs are defined as those with less than 80% of job postings calling for a Bachelors degree and with a median hourly wage above the national living wage of $15$17. (This criteria set by Burning Glass.) The focus here is to search for jobs that satisfy the middle-skill criteria and require significant digital skills in performing their jobs. Digitally intensive jobs12: Jobs that normally require any of the digital skill groups defined below. Recent technological change has had a direct impact on all levels of the labor market with 65% of all jobs requesting digital skills. 12 Definitions and data provided by Burning Glass with Labor/Insight Shanahan Resources, Inc 46 Digital skill demands impact all these occupations. Many of these jobs are in Office and Administrative Support Digital Skills demand is growing in middle-skill jobs across all occupations Burning Glass research13 on the nation reports that across all occupations 41% are now middle-skill jobs (as defined above) and 78% of these require digital skills. Within groups: 13 Burning Glass Technologies, Crunching the Numbers: The Digital Skills Gap in the Workforce, March 2015, p 11. Shanahan Resources, Inc 47 46% of Production jobs are middle-skill and 80% of these demand digital skills. 49% of Office and Administrative Support are middle-skill and all of these now demand digital skills. 51% of Sales & Related jobs are middle-skill and 94% require digital skills. In contrast, while equivalent shares of jobs in Construction & Extraction; Transportation & Material Moving are now middleskill, few demand digital skills to perform their duties (21% and 2%, respectively). Demand for Digital Skills Appears Most in These Occupations Jobs most in-demand requiring digital skills are a blend of middle and higher skill positions in NEO. Middle-skill occupations are shaded. Digitally intensive jobs: Jobs that NEO: Top 30 Occupations Based on Postings, Requiring Digital Skills, Last 365 Days BGTOCC 11202200 11905100 Occupation Management Business Development / Sales Manager Restaurant / Food Service Manager Business and Finance 13107192 13111100 13201102 13201193 13201194 13205100 Human Resources / Labor Relations Specialist Business / Management Analyst Auditor Accountant Account Manager / Representative Financial Analyst Engineer 17214100 Mechanical Engineer Healthcare Professional and Technical 29114100 29114103 29117100 29206100 Registered Nurse Intensive / Critical Care Nurse Nurse Practitioner Licensed Practical / Vocational Nurse IT 15112100 15113100 15113300 15114100 15114200 15115100 15119902 15119909 15119995 Systems Analyst Software Developer / Engineer Computer Systems Engineer / Architect Database Administrator Network / Systems Administrator Computer Support Specialist Network Engineer / Architect Project Manager IT Project Manager Healthcare Support 31909200 Medical Assistant Sales 41101100 41401100 Retail Store Manager / Supervisor Sales Representative Office and Administrative Support 43303100 Bookkeeper / Accounting Clerk 43405100 Customer Service Representative 43405103 Registrar / Patient Service Representative 43601400 Office / Administrative Assistant Source: Labor Insight Jobs (Burning Glass Technologies) normally require any of the digital skill groups defined on the previous page.14 14 Definitions and data provided by Burning Glass with Labor/Insight Shanahan Resources, Inc 48 Recent technological changes have had a direct impact on all levels of the labor market with 65% of all jobs requesting digital skills. Productivity digital skills refer to occupations that require only productivity software skills and no other digital skill group. Productivity software skills refer to spreadsheet and word processing tools like Microsoft Excel and Microsoft Word, as well as enterprise management software like Oracle or SAP. These proficiencies are increasingly becoming a baseline skill requirement for a majority of occupations. Advanced digital skills consist of occupations with higher-level digital skill requirements in areas such as customer relationship management (CRM) software, higher end computer networking, digital media & design software, social media tools, and search engine analysis. Occupation-specific digital skills are focused on technologies commonly used in Health Care, Production, and Manufacturing occupations. While productivity software skills are usually still required of these occupations, the core skills in this group are NEO: Occupations with Most Posts for Digital Productivity Skills Evident in Posts Last 365 Days Microsoft Excel, Office, Word, Powerpoint, Outlook, Word Processing; Enterprise Resource Planning (ERP); Peoplesoft; Salesforce; Adobe Acrobat specific to the machinery and 43,508 technology used by each occupation such as AutoCAD for drafting occupations or the knowledge of radiology machines by Radiology Technicians. Great Need for Basic Digital Skills in Middle-skill Jobs Posted Of the over 200,000 jobs posted during the last 365 days as of the middle of May, there were 43,508 BGTOCC Occupation 43601400 Office / Administrative Assistant 41401100 Sales Representative 43405100 Customer Service Representative 43303100 Bookkeeper / Accounting Clerk 15113100 Software Developer / Engineer 13201193 Accountant 11202200 Business Development / Sales Manager 13111100 Business / Management Analyst 41101100 Retail Store Manager / Supervisor 13107192 Human Resources / Labor Relations Specialist 15115100 Computer Support Specialist 15119909 Project Manager 13205100 Financial Analyst 15112100 Systems Analyst 13201102 Auditor 29114100 Registered Nurse 15114200 Network / Systems Administrator 13201194 Account Manager / Representative 15119995 IT Project Manager 15119902 Network Engineer / Architect Source: Labor Insight Jobs (Burning Glass Technologies) Job Postings # 2,255 1,908 1,699 1,590 1,495 1,390 931 770 753 731 729 722 648 624 491 487 430 429 418 405 18,905 % 5.2% 4.4% 3.9% 3.7% 3.4% 3.2% 2.1% 1.8% 1.7% 1.7% 1.7% 1.7% 1.5% 1.4% 1.1% 1.1% 1.0% 1.0% 1.0% 0.9% 43.5% job ads seeking workers with basic productivity digital skills. Shanahan Resources, Inc 49 These few account for 44% of all ads and the top four potentially represent skills sets many job seekers lack when applying for jobs that do not typically require a degree. For some, these skills are included in one-third to a majority of all ads for the occupation. NEO: Industries with Most Posts for Digital Productivity Skills Evident in Posts Last 365 Days Microsoft Excel, Office, Word, Powerpoint, Outlook, Word Processing; Enterprise Resource Planning (ERP); Peoplesoft; Salesforce; Adobe Acrobat NAICs 54 52 31-33 62 56 44-45 51 72 61 48-49 43,508 Job Postings # Industry Professional, Scientific, and Technical Services (54) Finance and Insurance (52) Manufacturing (31-33) Health Care and Social Assistance (62) Administrative and Support and Waste Management and Remediation Services (56) Retail Trade (44-45) Information (51) Accommodation and Food Services (72) Educational Services (61) Transportation and Warehousing (48-49) All Other 19.22% 17.01% 16.49% 13.12% Many of these skills may not be addressed in current CTE programs of study. The greatest demand for these occupations, especially for the top four positions cluster in a few 6.34% industry sectors. Outside of 6.08% 3.72% 3.14% 3.10% 2.50% 9.00% Manufacturing which ranks third in Burning Glass Technologies, Labor/Insight demand for ads for these skills, the others are high technology and advanced professional and business services. The need for strong support staff workers is expected for these industries: NEO: Employers with Most Posts for Digital Productivity Skills Evident in Posts Last 365 Days Microsoft Excel, Office, Word, Powerpoint, Outlook, Word Processing; Enterprise Resource Planning (ERP); Peoplesoft; Salesforce; Adobe Acrobat 43,508 Employer University Hospitals Keycorp Cleveland Clinic Deloitte Oracle Progressive Insurance Sherwin Williams Accenture Envisionrx Kent State University Case Western Reserve University Advantage Solutions Metrohealth System Nestle USA Incorporated Job Postings # 1,070 565 513 491 378 287 246 222 216 205 204 174 162 159 4,892 % 3.9% 2.0% 1.8% 1.8% 1.4% 1.0% 0.9% 0.8% 0.8% 0.7% 0.7% 0.6% 0.6% 0.6% 17.6% Professional Services Finance and Insurance Healthcare On a smaller scale, relative to all current jobs, less than 7% of all ads asking for one or more of the basic productivity skills are from employers in the remaining industry sectors. Most notable of industries with little demand for these skills are Retail Trade and Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 50 Accommodation and Food Services. The need for support workers with digital skills is not as great a need in these industries. This observation is further supported by the identity of employers from the region that demand these skills from workers they hire. Mostly these are major employers from the top four industries noted above. Advanced digital skills largely involve applying software applications on the job These more advanced digital skills are needed increasingly in a range of applications. Within the context of application they are needed in a variety of occupations. Only one is directly related to IT. Top advanced digital skills in demand differ based how they are used: Customer Relations Computer & Network Support Digital Media & Design Social Media & Search Engine Analysis Shanahan Resources, Inc 51 Most of these needs and skills are not new but are now used more widely across businesses Ilustration of Advanced Digital Skills Linked to Occupations Advanced Digital Skills Customer Relationship Management Computer & Network Support Digital Media & Design Social Media Tools & Search Engine Analysis Top Occupations Top Skills Account Manager / Representative Sales Representative Sales Manager Computer Support Specialist Network / Systems Administrator Graphic Designer / Desktop Publisher Marketing Coordinator / Assistant Recruiter Graphic Designer / Desktop Publisher Network / Systems Support Specialist Multimedia Designer Search Engine Optimization Specialist • Salesforce CRM • SAP CRM • Siebel CRM • SQL • • Linux Cisco • Adobe Photoshop • Adobe Acrobat • InDesign • Social Media Platforms • Blogging • Google Analytics Burning Glass Technologies, Cruched by the Numbers: The Digital Skills Gap in the Workforce, March 2015, p. 5 and industries. While advanced, coding is not required for these workers. Sales Rep, among all these occupations, is most in demand in NEO. The occupation in which any of these digital skills is most in demand in NEO is Sales Rep. Shanahan Resources, Inc 52 Yet, only 10% of all Sales Rep ads list any specific advanced digital skill. Customer Relations Management software and online resources are needed in only a fraction of the job postings. This need likely accounts for why Business Development/ Sales Manager had the NOW Region: Jobs in Demand by Occupation Requiring Advanced Digital Skills: Last 365 Days Examples: Microsoft Powerpoint; SQL; Salesforce; Adobe Photoshop; SQL Server; Microsoft Outlook; Adobe Indesign; Adobe Illustrator;Adobe Acrobat;Customer Relationship Management (CRM); Adobe Creative Suite; SAP All Job Postings Occupation Job Postings # 7,974 Sales Representative 2,614 Business Development / Sales Manager 1,686 Computer Support Specialist 1,271 Account Manager / Representative 1,222 Network / Systems Administrator 1,214 Database Administrator 973 Web Developer 923 Marketing Manager 920 Recruiter 896 Account Executive 530 Marketing Specialist 516 Product Manager 413 Business Intelligence Analyst 411 Public Relations / Communications Specialist 401 Executive Assistant 323 Business Intelligence Architect / Developer 307 Market Research Analyst 284 Technology Consultant 249 Graphic Designer / Desktop Publisher Source: Labor Insight Jobs (Burning Glass Technologies) Posts for Advanced Advanced Digital as % of All Digital BGTOCC % 26.3% 8.6% 5.6% 4.2% 4.0% 4.0% 3.2% 3.0% 3.0% 3.0% 1.7% 1.7% 1.4% 1.4% 1.3% 1.1% 1.0% 0.9% 0.8% 848 512 255 196 349 811 536 250 152 140 137 142 257 93 194 242 90 171 152 10.6% 19.6% 15.1% 15.4% 28.6% 66.8% 55.1% 27.1% 16.5% 15.6% 25.8% 27.5% 62.2% 22.6% 48.4% 74.9% 29.3% 60.2% 61.0% second most demand for CRM skills, among others. Advanced digital skills comprised two in ten of all these job ads. Rounding out the occupations with demand for advanced digital skills in one or more of the four business needs are Account Manager and Account Executive. Within Computer and Network support, the majority of all ads for several IT occupations had high demand for some combination of these digital tools: Database Administrator and Web Developer in particular. Database Administrator definitively would need specific skills associated with Computer and Network Support and perhaps Customer Relations Management. Web Developer would also need some of Digital Media and Design and search engine analysis; perhaps even digital media. Shanahan Resources, Inc 53 Finally, the five occupations with largest number of ads including some combination of advanced digital skills are not the ones for which these skills are core to performing well in the job. In all cases, these ads account for less than 30% of all job ads for each occupation. They are most numerous because these occupations generally are among those most in demand based on online job demand. It is the occupations, which are highlighted that are the ones for which advanced digital skills, have become of critical importance to meeting employer demand in today’s labor market. Location by County & Workforce Area Two-thirds of all these posts were for workplaces in Cleve/Cuyahoga County—the largest Workforce Area in NEO. Job Posts for Occupations Needing Advanced or Occupationally Specific Digital Skills: Location of Jobs with WIOA NEO 2015 County Cuyahoga, OH Summit, OH Lorain, OH Lake, OH Medina, OH Portage, OH Geauga, OH Ashtabula, OH Job Postings # 52,516 14,389 3,997 3,338 2,057 1,349 721 703 % 66.4% 18.2% 5.1% 4.2% 2.6% 1.7% 0.9% 0.9% Location Quotient 1.5 1.1 0.8 0.7 0.7 0.5 0.4 0.5 Posting numbers are for all jobs in an occupation, not just those asking for digital skills. According to Burning Glass, about 65% of all jobs posted are listing digital skills. Of WDA/ Workforce Areas Cleve/Cuyahoga Summit/Medina Lorain Lake, OH GAP WIO NEO Job Postings # 52,516 16,446 3,997 3,338 2,773 79,070 % 66.4% 20.8% 5.1% 4.2% 3.5% 100.0% Source: Labor Insight Jobs (Burning Glass Technologies) course, this will vary among occupations. While some Sales Rep ads now stress digital skills, these likely account for much less than 65% of the total for this position. The major point from these data is that jobs stressing digital skills overall are more often for workplaces in Cuyahoga and Summit counties, than for any other counties. Shanahan Resources, Inc 54 Coding Skills in Demand are emerging as a path to higher-skill jobs Demand for programming skills is large, growing, and not just for IT jobs. Coding skills are needed to work with data, to create websites, to build products and technologies, and to conduct research.15 Burning Glass Technologies researched its database of online job ads to find: Coding skills are defined as the use of a computer program to write instructions to a computer, not to choose from a menu of pre-programmed options. Coding skills are now in demand for more than IT professionals. Engineers, Designers, Scientists, and Marketing Analysts are asked to perform coding among their job duties. Coding skills are most important for higher-skill jobs. Middle-skill jobs require more basic digital skills. 15 Burning Glass & Oracle Academy, Beyond Point and Click: Expanding Demand for Coding Skills, June 2016 Shanahan Resources, Inc 55 Acquiring coding skills opens up career advancement opportunities for many middleskill workers. Jobs in occupations requiring coding skills today are growing faster and pay better than jobs in the occupations that do not. Economic Growth is linked to use of new technologies The growing importance of programming skills for workers in these occupations is the result of impact of industry adopting disruptive technologies to gain market share. What evidence exists of increased demand for these skills in northeast Ohio? According to Burning Glass, there are five distinct areas of business operations and occupational focus where coding skills prevail in industry: 1. IT operations 2. Data Analytics 3. Engineering software 4. Science and the need for workers to write code to guide programming 5. Art & Design In each of these distinct needs, online job ads posted are huge and job growth nationally is expected. Skills sets involved in each of these areas are distinct, and each is expected to grow jobs over the next decade. How are these skills emerging in Northeast Ohio’s Labor Market? Demand for programming skills impacts over 17,000 of the more than 200,000 job postings in the last 365 days. Shanahan Resources, Inc 56 Demand for Programming Skills (code-writing skills) is most intensive in specific occupations. All but two are IT Professional occupations. The two exceptions are Business Management/ Analyst and Marketing NEO:Top Occupations Posted with Demand for Coding Skills, Last 365 Days IT: Hardware Programming Languages Software;: IT: Object-Oriented Programming Language Software; IT: Procedural Programming Language Software; IT: Programming Languages;: IT: Web Development and Design Technologies BGTOCC Occupations Job Postings 17,289 # % 15113100 Software Developer / Engineer 4,860 29.8% 15113492 Web Developer 949 5.8% 15114100 Database Administrator 922 5.6% 15112100 Systems Analyst 651 4.0% 15114200 Network / Systems Administrator 534 3.3% 15113300 Computer Systems Engineer / Architect 531 3.3% 15113191 Computer Programmer 498 3.1% 15119902 Network Engineer / Architect 463 2.8% 15119901 Software QA Engineer / Tester 445 2.7% 15115100 Computer Support Specialist 342 2.1% 15119991 Data / Data Mining Analyst 310 1.9% 13111100 Business / Management Analyst 292 1.8% 15119995 IT Project Manager 264 1.6% 15119994 Business Intelligence Architect / Developer 258 1.6% 11202191 Marketing Manager 189 1.2% Source: Labor Insight Jobs (Burning Glass Technologies) Manager. IT occupations had 60% to 70% of all online posts requiring specific programming skills. IT developer job postings include programming skills more than half the time. Web Developer and UX/UI Developer are jobs in which over 70% of all job ads specify program skills. Business analyst positions tend to require programming skills. Demand for code writing skills varies among job responsibilities IT Professionals have the highest responsibility for improving and developing new software. Web development has a distinct need of these workers. For example: Specific needs and skills are needed to address Big Data Access and Management needs. Arts & Design workers must excel at design software and web development. Shanahan Resources, Inc 57 NOW NEO--TOP 25 Specialized Skills of Postings Emphasizing Writing Code NOW NEO--TOP 25 Software & Programming Skills of Postings Emphasizing Writing Code Hardware Programming Languages Software; ObjectOriented Programming Language Software; Procedural Programming Language Software; Programming Languages; Web Development and Design Technologies Skills Job Postings 17,287 # % SQL 8,417 48.7% JAVA 4,053 23.4% Oracle 3,575 20.7% Software Development 3,514 20.3% Microsoft C# 3,461 20.0% JavaScript 3,287 19.0% Project Management 3,192 18.5% .NET Programming 3,177 18.4% SQL Server 2,749 15.9% Web Development 2,398 13.9% ASP 2,062 11.9% Technical Support 2,034 11.8% LINUX 1,925 11.1% Software Engineering 1,901 11.0% Extensible Markup Language (XML) 1,756 10.2% Customer Service 1,726 10.0% UNIX 1,597 9.2% Object-Oriented Analysis and Design (OOAD) 1,445 8.4% jQuery 1,433 8.3% Information Systems 1,358 7.9% Business Process 1,341 7.8% Budgeting 1,261 7.3% Web Application Development 1,221 7.1% C++ 1,214 7.0% Scheduling 1,189 6.9% Hardware Programming Languages Software; Object-Oriented Programming Language Software; Procedural Programming Language Software; Programming Languages; Web Development and Design Technologies Skills Job Postings 17,287 # % SQL 8,417 48.7% JAVA 4,053 23.4% Oracle 3,575 20.7% Microsoft C# 3,461 20.0% JavaScript 3,287 19.0% .NET Programming 3,177 18.4% SQL Server 2,749 15.9% Microsoft Excel 2,090 12.1% Microsoft Office 2,073 12.0% ASP 2,062 11.9% LINUX 1,925 11.1% Extensible Markup Language (XML) 1,756 10.2% UNIX 1,597 9.2% jQuery 1,433 8.3% C++ 1,214 7.0% Python 1,080 6.2% Visual Studio 1,077 6.2% Oracle PL/SQL 1,043 6.0% Microsoft SQL 1,039 6.0% Microsoft Powerpoint 1,031 6.0% HTML5 995 5.8% Adobe Photoshop 936 5.4% Microsoft Sql Server Integration Services (SSIS) 851 4.9% Microsoft Windows 839 4.9% Transact-SQL 797 4.6% Source: Labor Insight Jobs (Burning Glass Technologies) Source: Labor Insight Jobs (Burning Glass Technologies) For most occupations, explicit demand for programming skills occurs for only a portion of all posts for these jobs. However for the occupations shaded in the next table, from 60% to 93% of all postings for the occupation list specific programming skills as needed. Not all IT jobs require programming skills in a majority of the ads: System Analyst and network and support jobs list programming skills less than half the time. While advanced digital (often software applications) are in high demand for positions like Sales Rep and Marketing Manager, workers do not need to be able to write code in order to modify or customize these applications. Shanahan Resources, Inc 58 NOW NEO: Occupations with Most Online Posts Requesting Coding Skills, Last 365 Days BGTOCC Occupation 96,972 15113100 15114100 15113492 15112100 15113300 15119902 15114200 15119995 15119901 15113191 13111100 15115100 15119991 Software Developer / Engineer Database Administrator Web Developer Systems Analyst Computer Systems Engineer / Architect Network Engineer / Architect Network / Systems Administrator IT Project Manager Software QA Engineer / Tester Computer Programmer Business / Management Analyst Computer Support Specialist Data / Data Mining Analyst Cyber / Information Security Engineer / 15112200 Analyst 15119994 Business Intelligence Architect / Developer 41401100 Sales Representative 11202191 Marketing Manager 15119993 Business Intelligence Analyst 15113493 UI / UX Designer / Developer Source: Labor Insight Jobs (Burning Glass Technologies) Job Postings # % 5,304 26.9% 995 5.0% 969 4.9% 892 4.5% 680 3.5% 593 3.0% 581 2.9% 567 2.9% 542 2.8% 520 2.6% 511 2.6% 409 2.1% 320 1.6% ALL Ads 6,654 1,327 1,041 2,029 1,121 1,430 1,345 1,237 933 763 2,003 1,797 522 Coding Ads as % 79.7% 75.0% 93.1% 44.0% 60.7% 41.5% 43.2% 45.8% 58.1% 68.2% 25.5% 22.8% 61.3% 298 1.5% 835 35.7% 290 276 208 202 196 1.5% 1.4% 1.1% 1.0% 1.0% 369 8,461 958 419 231 78.6% 3.3% 21.7% 48.2% 84.8% So, Programming skills are needed in a wide range of IT occupations…but At the top is Software Developer/ Engineer. This one IT occupation dominates online job ads for all IT professionals. In 2015, 28% of all ads for IT professionals were for Software Developer/ Engineer (or Software Developer, Applications in BLS terminology). As late as 2015 jobs for this position were second to Computer System Analyst among IT professional in the economy. Because these job ads are so dominate among online ads, it is important to do a deeper dive into these ads to determine how homogeneous these jobs really are. Eight of ten posts are for workplaces in Cuyahoga County. In taking a closer look at this occupation’s ads: What specific skills are most requested? Do skills in demand differ by level of education? Shanahan Resources, Inc 59 Still, it is clear that the Software & Programming skills are at a lower-entry level for employers accepting less than a Bachelors degree when hiring. NEO: Top Software & Programming Skills for Software Developers Requiring a Bachelors Degree or more, Last 365 Days NEO: Top Software & Programming Skills for Software Developers Requiring Postsecondary Education But Not a Bachelors Degree Last 365 Days Job Postings % Job Skills Postings % Skills Total Posts = 3,963 SQL JAVA Microsoft C# .NET Programming JavaScript Oracle ASP SQL Server Extensible Markup Language (XML) C++ Visual Studio Microsoft Office jQuery LINUX Microsoft Excel Total Posts = 433 SQL JAVA .NET Programming Microsoft Office Microsoft C# Microsoft Excel ASP JavaScript Microsoft Word AutoCAD SQL Server Oracle C++ UNIX Microsoft Visio 34.84% 39.37% 33.17% 30.45% 26.49% 29.47% 25.78% 25.11% 25.30% 24.80% 22.43% 20.13% 19.81% 16.76% 14.56% 15.44% 14.32% 12.99% 11.69% 10.65% 10.74% 10.23% 10.26% 9.87% 9.55% 9.54% 8.59% 9.15% 7.40% 8.15% Source: Labor Insight Jobs (Burning Glass Technologies) Source: Labor Insight Jobs (Burning Glass Technologies) The mix of employers with the most job ads for Software Developers/ Engineers differ for ads accepting less than Bachelors degree and those that do not. Companies tend to appear on only one list as a top employer. Of those wanting a Bachelors degree, they are major companies in Finance and Insurance; Manufacturers; and IT services. Oracle, which primarily has a large sales and service staff in the region had the most job ads for Developers. Among employers exclusively seeking workers with less than a Bachelors degree, most are in healthcare; higher education; and retail trade and telecommunications. A few, like General Electric; Kroger; and IBM were among the top employers for both levels of education. Likely, as noticed above, the difference is in the nature of the specific job assignment that fits within this broader occupational title. Shanahan Resources, Inc 60 Ohio: Top Employers Postings for Software Developers Requiring Postsecondary Education But Not a Bachelors Degree Employer Ohio: Top Employers Postings for Software Developers Requiring Postsecondary Education But Not a Bachelors Degree Employer General Electric Company Kroger Company IBM Compugain State Of Ohio Emerson Electric Company Synchrony Financial Ge Healthcare Worldwide University Hospitals Kent State University Anthem Blue Cross Ohio Department Of Health UnitedHealth Group Compass Group Humana Time Warner Ge Healthcare Big Lots Incorporated Brooksource Cincinnati Children's Hospital Medical Center Cleveland Clinic Job Postings: 2,271 34 31 21 19 17 14 14 13 13 11 10 10 10 9 9 9 8 7 7 7 7 General Electric Company Kroger Company IBM Compugain State Of Ohio Emerson Electric Company Synchrony Financial Ge Healthcare Worldwide University Hospitals Kent State University Anthem Blue Cross Ohio Department Of Health UnitedHealth Group Compass Group Humana Time Warner Ge Healthcare Big Lots Incorporated Brooksource Cincinnati Children's Hospital Medical Center Cleveland Clinic Job Postings: 2,271 34 31 21 19 17 14 14 13 13 11 10 10 10 9 9 9 8 7 7 7 7 Source: Labor Insight Jobs (Burning Glass Technologies) Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 61 VIII. Job Opportunities in NOW NEO Priority Sectors Three sectors of the region’s workforce needs are explored: Needs of Manufacturers; Healthcare Organizations; and all industries reliant on quality IT operations and workforce. In-depth Look at Manufacturing in NOW NEO These employers are among the region’s most identifiable manufacturers. They span a wide range of product markets and still provide a large part of the best jobs in the economy. Posting data includes all job ads appearing during 2015 for each firm. They range from 105 to 412 jobs. These are for all occupations found in manufacturing, not just those directly related to manufacturing activities. Shanahan Resources, Inc 62 Occupations with the Most Posts For manufacturers, Sales Rep had the most total job posts. Software Developer/ Engineer is second. These two very different workforce needs are by far the most posted of all occupations within the families of Sales and IT occupations. Not a surprise, then, that they rise to the top even for manufacturers. Also, note that four are in Production or Transportation/ Materials Handling occupations. These are highlighted in tan. Employers less often post these jobs online. These numbers may Top 25 Employers by Job Posts for Manufacturing, Last 365 Days Employer Steris Corporation General Electric Company Nestle USA Incorporated Avery Dennison Alcoa Eaton Philips Electronics North America Corp Danaher Corporation Tremco Corporate Component Repair Technologies Parker Hannifin PepsiCo Inc. Ricoh Electronics Meggitt Plc Coca-Cola Enterprises Inc. Invacare Corporation Swagelok Company Oldcastle Precast Incorporated Avon Xerox Xellia Pharmaceuticals PPG Industries Western Enterprises Dr Pepper Snapple Group BASF Corporation Job Postings 302 293 292 261 231 220 191 158 151 137 135 123 115 110 109 109 109 102 98 98 95 90 86 84 82 Source: Labor Insight Jobs (Burning Glass Technologies) understate the actual number of solicitations for job openings by these firms. Next, four managerial positions make the top 15. Shanahan Resources, Inc 63 The overall point is that Top 25 Occupations In-demand in NOW NEO, Last 365 Days manufacturers seek to hire a wide range of workers, not just those working near or on the factory floor. Manufacturing Jobs on or near the factory floor are in demand Production Jobs and Machine Operators are the most in demand. Machinist; CNC Operator; and other jobs on the factory floor experienced substantial online workers persists even as the job sector continues to remain thousands below 2007 levels. Job Postings 823 672 554 521 521 513 480 429 391 387 317 304 301 286 261 260 258 241 218 211 208 197 194 189 182 Source: Labor Insight Jobs (Burning Glass Technologies) postings. The need to hire new losses for manufacturing as a BGTOCC Sales Representative Mechanical Engineer Production Worker Manufacturing Machine Operator Software Developer / Engineer Laborer / Warehouse Worker Maintenance Technician Manufacturing Engineer Production Supervisor Business Development / Sales Manager Customer Service Representative Industrial Engineer Accountant Quality Inspector / Technician Machinist Electrical Engineer Retail Sales Associate Bookkeeper / Accounting Clerk Quality Control Systems Managers Account Manager / Representative Merchandiser / Ad Set Associate Engineering Manager Project Manager Maintenance / Service Supervisor Product Demonstrator Manufacturing and Production Jobs Posts in NOW NEO Economy 2015 Job Postings Occupation # % Production Worker 688 15.9% Manufacturing Machine Operator 644 14.9% Production Supervisor 495 11.5% Machinist 382 8.8% Quality Inspector / Technician 377 8.7% Quality Control Systems Managers 294 6.8% CNC Operator 191 4.4% Production Plant Manager 182 4.2% Quality Control Analyst 170 3.9% Electronic / Electrical Assembler 162 3.8% Press / Press Brake Operator 148 3.4% Tool and Die Maker 112 2.6% CNC Programmer 71 1.6% Molding / Casting Worker 71 1.6% Grinder / Sharpener 55 1.3% Total All Posts 4,320 Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 93.6% 64 Top Employers Posting Jobs on or near the factory floor The list of employers is much the same as for all posts for all occupations. However, the rankings shift. Nestle and Steris drop down the list as most of their ads are not for jobs in factories. Avery and Eaton move the top. Top Job Titles for Posts for Manufacturers for Workers on or near Factory Floor Job Title Maintenance Technician Production Supervisor Machine Operator Machinist CNC Operator Quality Manager CNC Machinist Quality Inspector Maintenance Supervisor CNC Programmer Tool and Die Maker Field Service Technician Quality Technician Production Manager Maintenance Manager Service Technician Quality Assurance Technician Quality Asurance Manager Production Worker Quality Control Inspector Field Service Engineer Assembler Manufacturing Supervisor Quality Control Technician Maintenance Mechanic Manufacturing Manager Production Press Operator Quality Specialist Production Operator Job Postings # % 271 6.5% 208 5.0% 199 4.7% 133 3.2% 83 2.0% 80 1.9% 79 1.9% 67 1.6% 60 1.4% 56 1.3% 55 1.3% 53 1.3% 52 1.2% 51 1.2% 48 1.1% 47 1.1% 46 1.1% 45 1.1% 44 1.0% 44 1.0% 42 1.0% 41 1.0% 41 1.0% 40 1.0% 35 0.8% 35 0.8% 28 0.7% 25 0.6% 23 0.5% 22 0.5% Top Employers with Most Ads for Jobs On or Near Factory Floor Employer Avery Dennison Eaton Nestle USA Incorporated Swagelok Company Kennametal Incorporated Alcoa Steris Corporation Horsburgh And Scott Western Enterprises Automation Tool & Die Incorporated PPG Industries Amresco Incorporated Parker Hannifin PepsiCo Inc. Coca-Cola Enterprises Inc. Henkel Tremco Corporate Basf Corporation Enginetics Aerospace Illinois Tool Works Job Postings 111 88 65 56 51 43 43 38 36 35 30 28 27 26 22 22 21 20 20 20 Source: Labor Insight Jobs (Burning Glass Technologies) Top Job Titles The top job titles used by employers in ads are quite typical of workers on the factory floor for most of the manufacturing industries based in NEO. Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 65 Manufacturing & Production Jobs are skilling up with significant job notices Top 20 Special ized Skills of Manufacturing Jobs Requiring Digital Skills: NEO 2015 Jobs with the most posts are skilled positions requiring specific skill sets and at least an Associate degree in most cases. This list confirms the often-voiced demand for Machinists; CNC Operators and Programmers. Underlying this list of top skills appearing in job ads are new digital skills required to perform the jobs. Hundreds of ads list these types of specialized skills for working in today’s NEO manufacturing environment. Industry and Location of Employment Machinery; Chemicals; Paper and Fabricated Metal posted the most jobs during 2015. Most posts are for job sites in Cuyahoga and Summit counties, keeping with the general pattern of where jobs are and expected to be in the near future. For living outside of Cuyahoga County, Job Postings Skills Inspection Computer Aided Drafting/Design (CAD) Machining Mechanical Engineering Manufacturing Processes Repair Computer Numerical Control (CNC) Electrical Engineering AutoCAD Programmable Logic Controller (PLC) Programming Lean Manufacturing Six Sigma Machinery Manufacturing Engineer Mathematics Process Improvement Blueprints Process Engineering Scheduling Process Control 940 829 752 735 696 671 636 571 567 511 484 412 395 385 381 373 360 355 345 328 NOW NEO: County Location of Manufacturing and Production Jobs from the Manufacturing Industry County Cuyahoga, OH Summit, OH Lake, OH Lorain, OH Portage, OH Medina, OH Geauga, OH Ashtabula, OH Job Postings 49.79% 18.22% 12.14% 7.38% 4.65% 4.06% 2.31% 1.45% Source: Labor Insight Jobs (Burning Glass Technologies) many likely need to commute into the county for work in manufacturing. Shanahan Resources, Inc 66 Education employers prefer By far no more than vocational training is needed. However, almost one in three of these jobs require at least an Associates degree or more. Strong evidence of a shift in skills required for many of these jobs. Minimum Education Desired by Employers for Jobs on or Near Factory Floor Education High school or vocational training Associate's degree Bachelor's degree Graduate or professional degree Job Postings 71.14% 13.16% 25.26% 4.02% Source: Labor Insight Jobs (Burning Glass Technologies) High Skill Jobs are Growing in Manufacturing Analysis is based on recent online job posts as well as most recent data of job gains since 2007 by occupation. Middle and higher skill jobs are in clusters of occupations in Management; Business and Finance; Computer and Math; Engineers and Scientists. Manufacturing employs more of these workers than any other industry sector—35%. These positions comprise 49% of 2015 jobs in Aircraft Engine and Engine Parts which is large and growing sharply in NEO. Recent job growth in these four occupations are in traditional manufacturing industries. Top professional and technical occupations have experienced steady, modest increases in total jobs in NEO. Most of these industries use some level of advanced technology. These occupations employ from 20 to nearly 50% of all jobs, depending on the industry and their use of advanced technology and existence of corporate and technical facilities in the region. Companies in these industries are part of the growth economy and are a bright star within an entire sector, which continues to lose jobs overall. Shanahan Resources, Inc 67 NOW NEO: Manufacturing Industries with Job Growth in Managerial; Business and Finance; Computer and Math; Engineering; and Scientists NAICS Industry Occupation Group Jobs in Industry (2007) Occupation Group Jobs in Industry (2015) Occupation Group Jobs in Industry (2021) Change (2007 2021) 118 124 130 12 10% 9.2% 24 82 107 83 346% 10.8% 25 53 64 39 156% 8.5% 25 48 34 9 36% 10.8% 139 123 154 15 11% 9.8% 699 875 889 190 27% 26.7% 532 636 678 146 27% 35.2% 267 348 351 84 31% 26.7% 204 230 231 27 13% 12.5% 111 75 124 88 146 98 35 23 32% 31% 11.2% 11.9% 75 88 97 22 29% 12.5% 80 116 144 64 80% 12.3% 34 54 75 41 121% 11.5% 50 47 55 5 10% 8.0% % Change (2007 2021) % of Total Jobs in Industry (2015) Manufacturing 311 Food Manufacturing 311412 311942 Frozen Specialty Food Manufacturing Roasted Nuts and Peanut Butter Manufacturing Confectionery Manufacturing from Purchased Chocolate Spice and Extract Manufacturing 312 314 321 322 323 Beverage and Tobacco Product Textile Product Mills Wood Product Paper Printing and Related Support Activities 323113 Commercial Screen Printing 324 325 Petroleum and Coal Products Chemical 325510 Paint and Coating Manufacturing All Other Basic Organic Chemical Manufacturing Adhesive Manufacturing Unlaminated Plastics Profile Shape Manufacturing Plastics Pipe and Pipe Fitting Manufacturing Plastics Bottle Manufacturing Unlaminated Plastics Film and Sheet (except Packaging) Manufacturing 311911 311352 325199 325520 326121 326122 326160 326113 327 Nonmetallic Mineral Product 327320 All Other Miscellaneous Nonmetallic Mineral Product Manufacturing Clay Building Material and Refractories Manufacturing Ready-Mix Concrete Manufacturing 331 Primary Metal 327999 327120 331221 331513 Copper Rolling, Drawing, Extruding, and Alloying Rolled Steel Shape Manufacturing Steel Foundries (except Investment) 332 Fabricated Metal Product 331420 332912 332721 332919 332420 332996 332811 Fluid Power Valve and Hose Fitting Manufacturing Precision Turned Product Manufacturing Other Metal Valve and Pipe Fitting Manufacturing Metal Tank (Heavy Gauge) Manufacturing Fabricated Pipe and Pipe Fitting Manufacturing Metal Heat Treating 89 130 147 58 65% 16.6% 126 48 125 52 133 64 7 16 6% 33% 11.4% 9.2% 460 427 469 9 2% 18.1% 247 257 252 5 2% 10.1% 132 134 180 48 36% 18.1% 18 102 142 124 689% 16.0% 71 84 91 20 28% 18.0% 84 83 95 11 13% 9.4% Shanahan Resources, Inc 68 NOW NEO: Manufacturing Industries with Job Growth in Managerial; Business and Finance; Computer and Math; Engineering; and Scientists NAICS Industry Occupation Group Jobs in Industry (2007) Occupation Group Jobs in Industry (2015) Occupation Group Jobs in Industry (2021) Change (2007 2021) % Change (2007 2021) % of Total Jobs in Industry (2015) Manufacturing 333 Machinery 333992 Welding and Soldering Equipment Manufacturing 771 809 772 1 0% 24.6% 333993 333912 333120 333314 Packaging Machinery Manufacturing Air and Gas Compressor Manufacturing Construction Machinery Manufacturing Optical Instrument and Lens Manufacturing Mechanical Power Transmission Equipment Manufacturing Industrial and Commercial Fan and Blower and Air Purification Equipment Manufacturing Air-Conditioning and Warm Air Heating Equipment and Commercial and Industrial Refrigeration Equipment Manufacturing 143 141 126 40 232 171 153 122 260 176 127 49 117 35 1 9 82% 25% 1% 23% 25.2% 24.9% 22.3% 31.9% 93 117 107 14 15% 28.8% 82 97 119 37 45% 19.0% 73 94 98 25 34% 18.3% 333613 333413 333415 333995 Fluid Power Cylinder and Actuator Manufacturing 52 80 89 37 71% 24.9% 333923 Overhead Traveling Crane, Hoist, and Monorail System Manufacturing 50 68 65 15 30% 24.8% 334 Computer and Electronic Product 631 757 812 181 29% 50.4% 333 488 366 33 10% 50.9% 328 394 472 144 44% 44.5% 139 155 151 12 9% 50.5% 43 102 129 86 200% 22.4% 47 86 112 65 138% 22.6% 76 80 82 6 8% 22.4% 846 1,013 1,071 225 27% 49.6% 77 150 234 157 204% 17.8% 67 79 84 17 25% 18.9% 236 325 377 141 60% 24.9% 86 104 102 16 19% 15.5% 36 56 76 72 95 75 59 19 164% 34% 15.5% 23.1% 334513 334510 334418 334517 335 Instruments and Related Products Manufacturing for Measuring, Displaying, and Controlling Industrial Process Variables Electromedical and Electrotherapeutic Apparatus Manufacturing Printed Circuit Assembly (Electronic Assembly) Manufacturing Irradiation Apparatus Manufacturing Electrical Equipment, Appliance, and Component 335991 Other Communication and Energy Wire Manufacturing Noncurrent-Carrying Wiring Device Manufacturing Carbon and Graphite Product Manufacturing 336 Transportation Equipment 336412 Aircraft Engine and Engine Parts Manufacturing Motor Vehicle Seating and Interior Trim Manufacturing Motor Vehicle Steering and Suspension Components (except Spring) Manufacturing 335929 335932 336360 336330 337 339 Furniture and Related Product Miscellaneous 339112 Surgical and Medical Instrument Manufacturing Gasket, Packing, and Sealing Device Manufacturing Sporting and Athletic Goods Manufacturing Dental Equipment and Supplies Manufacturing 339991 339920 339114 Shanahan Resources, Inc 69 . Jobs in NEO Manufacturing Sector Now Listing Digital Skills as Important Engineering occupations top the list with the most occupations in high demand across NEO. Jobs in Manufacturing Requiring Digital Skills: NEO 2015--Top Postings BGTOCC Of most importance is the number of ‘factory floor’ occupations which now need strong IT or other digital skills. Traditionally, skilled training programs for these occupations have not included an emphasis on digital skill development as part of training. 11202200 11904100 11202191 11202192 13201194 13107191 13116100 17214100 17219904 17207100 17204100 17302300 17213100 17301300 17205100 41401100 41903100 51404100 51404191 51403100 51411100 51401200 Occupation Managerial Business Development / Sales Manager Engineering Manager Marketing Manager Product Manager Business and Finance Account Manager / Representative Recruiter Marketing Specialist Engineering Mechanical Engineer Manufacturing Engineer Electrical Engineer Chemical / Process Engineer General / Electrical Engineering Technician Materials Engineer Mechanical / Electrical Drafter Civil Engineer Sales Sales Representative Sales Engineer Production Machinist CNC Operator Press / Press Brake Operator Tool and Die Maker CNC Programmer Job Postings # % 330 209 139 130 5.9% 3.7% 2.5% 2.3% 167 68 58 3.0% 1.2% 1.0% 655 345 206 156 102 95 90 64 11.6% 6.1% 3.7% 2.8% 1.8% 1.7% 1.6% 1.1% 784 66 13.9% 1.2% 244 138 131 88 53 4.3% 2.4% 2.3% 1.6% 0.9% Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 70 Software and Programming Skills Top 20 Software and Programming Skills Required in Jobs in Manufacturing Emphasizing Digital Skills Again, basic Microsoft Office proficiency is needed that spans a range of occupations. Also, AutoCAD and CAD are included in 9% of all ads. Most of the remainder are specific IT tools that appear to be needed for working in today’s manufacturing setting. Skills Microsoft Office Microsoft Excel AutoCAD Computer Aided Drafting/Design (CAD) Microsoft Powerpoint Microsoft Word SAP Enterprise Resource Planning (ERP) Salesforce SQL Oracle Microsoft Windows Adobe Photoshop Extensible Markup Language (XML) Microsoft Access Microsoft Project Microsoft Outlook LINUX .NET Programming SQL Server Job Postings # % 860 17.0% 686 13.6% 443 8.8% 442 8.7% 365 7.2% 253 5.0% 221 4.4% 182 3.6% 151 3.0% 142 2.8% 109 2.2% 104 2.1% 91 1.8% 87 1.7% 85 1.7% 84 1.7% 74 1.5% 71 1.4% 69 1.4% 65 1.3% Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 71 Estimated Earning The high mean salaries of jobs in Engineering, IT, and Management are not a surprise. However, the relatively strong mean salaries for Production workers are. Estimated Salary for Top 20 Occupations Demanding Digital Skills by Manufacturers With the exceptions of Mechanical Drafters and Cutting, Source: Punching and Press Machine SOC Code Occupation Title Operators, and maybe CNC 41-4012 Operators, workers employed in manufacturing production jobs on average earn living wages. Much of this is the result of these jobs now requiring digital skills. Mean Advertised Salary Mean Salary 17-2141 17-2199 11-2022 11-2021 51-4041 17-2071 Sales Rep, Wholesale and Manufacturing, Except Technical and Scientific Products Mechanical Engineers Engineers, All Other Sales Managers Marketing Managers Machinists Electrical Engineers 11-9041 Architectural and Engineering Managers $82,980 $128,430 17-2041 Chemical Engineers Computer-Controlled Machine Tool Operators, Metal and Plastic Market Research Analysts and Marketing Specialists Computer User Support Specialists Cutting, Punching, and Press Machine Setters, Operators, and Tenders, Metal and Plastic Mechanical Drafters Tool and Die Makers Materials Engineers Database Administrators Commercial and Industrial Designers Network and Computer Systems Administrators Sales Engineers $92,956 $92,460 $38,365 $37,290 N/A $69,290 $46,654 $45,890 $29,607 $31,530 $54,012 $45,588 $68,962 $94,128 N/A $50,660 $51,560 $94,750 $68,520 $69,820 51-4011 13-1161 15-1151 51-4031 17-3013 51-4111 17-2131 15-1141 27-1021 15-1142 Possible Career Paths Salary BLS/OES, 2015 Burning Glass 41-9031 $71,792 $68,880 $76,439 $74,552 $94,210 $97,355 $41,378 $76,171 $76,550 $93,120 $133,510 $125,870 $39,700 $75,910 $83,203 $73,800 $83,864 $107,150 From entry level to mid or higher levels in an occupation path where progression requires digital skills: Industrial Machining and Machine Installation, Repair & Operation CNC Operator: Operates a computer-controlled machine used for a variety of functions in a manufacturing process such as drilling holes and soldering metal—Level Three—No Software & Programming Skills Required. Two-thirds earn less than $35K yearly; only high school or vocational training required. CNC Programmer: Programs computer-controlled equipment used to cut wood, plastic, or metal according to precise measurements, or equipment used for different manufacturing processes. Level Two—IT skills are needed. Level Two—Auto CAD; CAD and CAD/CAM, but no other specific IT skills—not developing but simply operating Shanahan Resources, Inc 72 computer panels to program machine. High school or vocational training typically all that is required. 90% earn more than $35K. Quality Assurance Quality Inspector/ Technician: inspects and evaluates products according to company quality control standards. Inspects goods or packaging in a production or manufacturing facility. Level three–Excel; SAP,ERP required for small share of ads; mean salary of $38K and over 60% need only high school or vocational training. Quality Control Analyst: Responsible for calibrating equipment, inspecting products, processing and testing materials, and reporting results. May work in other production environments to monitor and improve quality and efficiency in production systems and products. Level Two—needs to use some software applications; mean salary is $50K and half of ads prefer a Bachelors degree. Quality Manager: Manages quality control in an organization or for a project. Develops quality control policies and monitors quality in different settings such as manufacturing production, technology product development and research laboratories. Level One— 94% require an Associate degree or more; mean salary of $75K. Manufacturing Machines Manufacturing/ Production Technician: Works with manufacturing equipment and machinery. Performs set up and tests, monitors, adjusts and repairs machines used to produce products or other machines. Inspects equipment, troubleshoots problems with machines or designs. Level Three—No computer or IT skills except a few jobs requiring PLC; mostly high school or vocational training acceptable. Mean Salary is $30K. Machinist: Builds and repairs precisely detailed and sized metal parts used in a variety of tools and appliances. Builds parts following a blueprint or creates original designs. Level Three—small share of openings require CAD or CAM; no other IT skills; High School or Vocational Training only. Mean salary is $39,900. Mechanical Drafter: Prepares detailed drawings needed to manufacture or repair machinery and equipment, with dimensions and other specific engineering data. Uses computer aided design software. May create diagrams for products that include mechanical and electronic components, such as cars or computers. Level One— Bachelors plus advanced IT and computer-assisted design skills required. Mean Salary is $57K. Shanahan Resources, Inc 73 Each of these skills progressions that enable workers to advance from job to another are illustrated in the pyramid. Shanahan Resources, Inc 74 Healthcare Jobs In Demand Across the region RNs are 17% of all workers in the Healthcare Sector, and in high demand. Over the next years, total employed is expected to increase by 13%; current job posts are over 14K in the last 365 days. Employers still recruit for more A.D.Ns than B.S.Ns: 8 posts for Associate degrees to 6 for Bachelors graduates. Median hourly earnings is $31.48 in the region. While less than 1% of all employed in the Healthcare Sector, the demand is high for Medical and Clinical Lab Technicians and Medical Assistants, measured by growth rates of nine and twelve percent, respectively, in the next six years. Job postings are 540 and 1,205, respectively. Lab techs typically require an Associate degree while Med Assistants typically require only postsecondary training to acquire needed skills. NOW Region: Employment, Projections & Job Postings - Targeted Healthcare Occupations SOC 291141 292061 292011 292012 291171 Description Registered Nurses Employ- Employed 2016 ed 2022 Change (2016 2022) % % of Total Median Job Change Jobs in Hourly Postings (2007 HealthEarn- Last 365 2022) care 2016 ings Days 33,381 37,579 4,198 13% 17.4% $31.48 14,646 8,575 9,302 727 8% 4.5% $20.69 1,969 1,747 1,910 162 9% 0.9% $27.91 275 1,457 1,595 138 9% 0.8% $20.36 540 1,445 1,704 259 18% 0.8% $44.21 2,012 Medical Assistants 5,085 5,708 623 12% 2.7% $13.61 1,205 Phlebotomists 1,112 1,212 100 9% 0.6% $14.50 207 Licensed Practical and Licensed Vocational Nurses Medical and Clinical Laboratory Technologists Medical and Clinical Laboratory Technicians Nurse Practitioners % Posts A.D.N % Posts B.S.N 8,111 5,733 98 370 Healthcare Support 319092 319097 512 -- EMSI ANALYST & BG LABOR/INSIGHT The occupations listed on the next page had 100 or more posts during 2015 and accounted for two out of three jobs posted in healthcare—over 22,000 posts. Total online jobs posted in 2015 were over 197,000. The healthcare occupations alone had more than double the number of posts for all other occupational job posts from healthcare organizations. Not surprising, RN dominated employer demand with 13,263 ads throughout NEO. However, numerous other professional and technical positions in healthcare were in high demand. Shanahan Resources, Inc 75 Support positions for healthcare workers had a more modest demand in 2015. There were 2,868 posts for Nursing and Medical Assistants combined, but considerably fewer for Home Health Aids. Among non-healthcare occupations (not shown), several were jobs in Management and support staff in Office Administration. Jobs such as Sales Rep and Medical Secretary represent employment opportunities for individuals that, if employed, are not earning a living wage. Healthcare employers are more likely to require more skills for these occupations than is the case in other industry sectors. It is likely that job seekers who have yet to benefit from the recovery lack the foundational skills revealed to be important to employers earlier in this research: these postings are more likely to emphasize the importance of customer service and Microsoft skills, for example. Top Job Postings for Healthcare Employers: NOW NEO Last 365 Days Occupation Healthcare Professional and Technical Registered Nurse Physician Licensed Practical / Vocational Nurse Nurse Practitioner Intensive / Critical Care Nurse Physical Therapist Nursing Manager / Supervisor Occupational Therapist Physician Assistant Clinical Case Manager Speech Language Pathologist Radiology Technician Director of Nursing Laboratory Technician Dental Assistant Laboratory Technologist Surgical Technician / Technologist Respiratory Therapist EMT / Paramedic Dentist / Orthodontist / Prosthodontist Pharmacy Technician Mental Health / Behavioral Counselor Pharmacist / Pharmacy Director Physical Therapy Assistant Dialysis Technician Medical Director Health Technician / Technologist (Other) Cardiovascular Technician / Technologist Caregiver / Personal Care Aide Occupational Therapy Assistant Psychologist Ultrasound Technologist / Sonographer Dietitian / Nutritionist MRI / CT Technician / Technologist Medical Coder Sub-Total Healthcare Support Nursing Assistant Medical Assistant Home Health Aide Phlebotomist Sub-Total Job Postings # % 13,263 5,507 1,945 1,869 1,790 1,134 868 836 736 681 478 374 341 303 289 274 257 251 249 248 219 216 214 208 160 158 157 152 380 171 167 157 133 109 117 34,294 25.6% 10.6% 3.8% 3.6% 3.5% 2.2% 1.7% 1.6% 1.4% 1.3% 0.9% 0.7% 0.7% 0.6% 0.6% 0.5% 0.5% 0.5% 0.5% 0.5% 0.4% 0.4% 0.4% 0.4% 0.3% 0.3% 0.3% 0.3% 0.7% 0.3% 0.3% 0.3% 0.3% 0.2% 0.2% 66.2% 1,756 1,112 514 193 3,575 3.4% 2.1% 1.0% 0.4% 6.9% Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 76 Location of Posted Healthcare Jobs All Healthcare Job Postings by County of Workplace Cuyahoga County is the location of employment for 78% of jobs posted in Healthcare. This cluster of employment for the region’s healthcare organizations is the most Job Postings for RNs; Nurse Practitoner; and Intensive Care Nurse County Job Postings Cuyahoga, OH 62.93% Summit, OH 16.69% Lorain, OH 7.83% Lake, OH 4.06% Medina, OH 3.25% Ashtabula, OH 1.81% Portage, OH 1.75% Geauga, OH 1.68% Source: Labor Insight Jobs (Burning Glass Technologies) concentrated of all jobs. Just over half of all jobs and postings are for jobs based in Cuyahoga. Most of the remaining posts for job sites are in the County Cuyahoga, OH Lorain, OH Summit, OH Lake, OH Medina, OH Portage, OH Ashtabula, OH Geauga, OH Total Posts Workforce Areas Cleve/ Cuyahoga Summit/ Medina Lorain Lake Ashtabula/ Geauga/ Portage Total Posts Job Postings # % 25,334 77.5% 2,198 6.7% 1,938 5.9% 1,316 4.0% 721 2.2% 400 1.2% 397 1.2% 378 1.2% 32,682 100.0% 25,334 2,659 2,198 1,316 1,175 32,682 77.5% 8.1% 6.7% 4.0% 3.6% 100.0% Source: Labor Insight Jobs (Burning Glass Technologies) Summit/Medina and Lorain Workforce Areas. More on nursing. While half are located in Cuyahoga County, jobs in nursing are even more concentrated. Online ads for RNs, Nurse Practitioners, and Intensive Care Nurses are for job sites in Cuyahoga (63% of all ads). Job seekers interested in these professions will find a commute to Cleveland necessary most of the time. Those living in the outreaches of the NOW NEO region may not find this feasible. Top Employers Cleveland Clinic and University Hospitals dominate the demand based on job postings for workers. No other provider accounts for more than 2% of all jobs posted for healthcare workers and others to work in healthcare Top Employers with Healthcare Job Postings Employer Cleveland Clinic University Hospitals Fresenius Mercy Health Western Reserve Hospital Beech Brook Unity Health Network Southwest General Health Center Cleveland Clinic Business Operations Center CVS Health Department of Veterans Affairs Alliance Healthcare Solutions Hillcrest Hospital Akron General Medical Center UnitedHealth Group Fairview Hospital Job Postings # % 1,176 25.0% 893 19.0% 115 2.4% 103 2.2% 80 1.7% 79 1.7% 60 1.3% 59 1.3% 49 1.0% 48 1.0% 48 1.0% 46 1.0% 39 0.8% 36 0.8% 34 0.7% 33 0.7% Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 77 organizations. Despite the trend of these hospital systems building satellite facilities throughout the region, and merging with others, the majority of their employment remains in Cleveland/ Cuyahoga. Increased Demand for Health Informatics Skills Health Informatics Skills Most Needed in Support Positions Occupation Job Postings # % Medical Assistant 501 9.0% Medical Secretary 490 8.8% Registered Nurse 405 7.3% Nurse Practitioner 370 6.6% Registrar / Patient Service Representative 246 4.4% Clinical Data Systems Specialist / Manager 211 3.8% Medical Coder 152 2.7% Office / Administrative Assistant 131 2.4% Medical Biller 116 2.1% Healthcare Administrator 101 1.8% Licensed Practical / Vocational Nurse 100 1.8% Percent of All Posts 50.7% Source: Labor Insight Jobs (Burning Glass Technologies) Health informatics focuses on electronic health records (EHR), health information exchange (HIE) standards and portable medical . data collection devices Employers are incorporating the need for these skills into existing occupations within their organizations: patient care and other occupations alike. Most jobs impacted are support occupations: Medical Assistant or Secretary; Registrar/ Patient Service Rep; and Medical Coder. On a small scale, RN posts report these skills. Shanahan Resources, Inc 78 The Specialized and Software and Programming skills for positions, which include health informatics, strongly reinforce that it is support occupations where employers are vesting these job responsibilities. Health Informatics software and Programming Skills Most Needed in Support Positions Occupation Microsoft Office ICD-9-CM Coding Microsoft Excel Microsoft Word Word Processing ICD-10 SQL Microsoft Powerpoint Epic Systems Microsoft Outlook EPIC software Microsoft Project Job Postings # % 1,317 22.1% 992 16.7% 607 10.2% 411 6.9% 402 6.8% 243 4.1% 178 3.0% 166 2.8% 154 2.6% 120 2.0% 112 1.9% 102 1.7% Source: Labor Insight Jobs (Burning Glass Technologies) Specialized Health Informatics Skills Most Needed in Support Positions Occupation Medical Coding Patient Care Customer Billing Scheduling Patient/Family Education and Instruction ICD-9-CM Coding Electronic Medical Records Medical Terminology Communicable Disease knowledge Building Relationships Data Entry CPT Coding Filing Medical Records Maintenance Treatment Planning Job Postings # % 2,682 45.0% 1,837 30.8% 1,638 27.5% 1,497 25.1% 1,026 17.2% 992 16.7% 965 16.2% 912 15.3% 883 14.8% 866 14.5% 842 14.1% 837 14.1% 833 14.0% 753 12.6% 725 12.2% Source: Labor Insight Jobs (Burning Glass Technologies) Top specialized skills listed in all ads that include health informatics as part of job responsibilities are: Medical Coding and Patient Care. Further evidence that increasingly nurses and others delivering patient care need to understand and use the new networks and data systems used to track and share patient information. Customer billing and scheduling rank third and fourth, respectively, in terms of frequency of appearance in job ads and allude to Medical Secretary and Registrar/ Patient Representative. In terms of IT skills, Microsoft applications top the list along with ICD-9 CM Coding, the International Classification of Diseases, 9th Revision, Clinical Modification. A few job ads require more specific IT skills, which imply these workers are directly responsible for data systems and networks that house health information. The need to hire healthcare workers and the related need to hire other occupations is among the largest in the region. Two out of three of these posts are for job sites in Cleveland/ Cuyahoga workforce area. Shanahan Resources, Inc 79 Healthcare providers based in the other four workforce areas have fewer jobs than is needed to provide employment and career opportunities for their residents. Residents in the other four workforce areas already commute to Cuyahoga for employment in healthcare organizations. These data suggest the future holds more of the same. The NOW Regional Plan includes ways that all five-workforce areas will cooperate to ensure that needs of healthcare organizations and job seekers aspiring to work in healthcare are met. What Job Posts Are Full-Time Employment? Over half of all job posts explicitly say the Full Time Jobs as % of All Jobs in Selected Healthcare Occupations Occupation position is full-time and permanent. This understates the actual percentages because Registered Nurse Licensed Practical / Vocational Nurse Intensive / Critical Care Nurse Medical Secretary Job Postings Full time 5,209 856 538 503 Total 8,877 1,444 880 944 FT as % of All % 58.7% 59.3% 61.1% 53.3% Source: Labor Insight Jobs (Burning Glass Technologies) sizable shares of posts are silent on the nature of the job. Very few indicate positions are part-time or temporary, or even consulting relationships. Of the actual job ads researched, only Oracle was found to specify posts for persons to work as outside consultants. That was for IT posts. Further Look at IT Jobs in Demand Shanahan Resources, Inc 80 Posts for Software Developer/ Engineer are about five times more than the next most posted job which is for System Analyst. RITE Board employers consider Software Developer/ Engineer as a mid-level occupation with important levels of responsibility. The high rate of postings may be an indication that this position is difficult to fill. Several other occupations that are developer roles are found further down the list. These reflect a more specific role: Web Developer; UI/UX Developer; Mobile Applications Developer Most occupations among the rest of the top tenmost posted are roles dealing with data or network systems. Only Burning Glass differentiates between an Top Posts for IT Occupations for NOW NEO, Last 365 Days BGTOCC Job Postings # % Software Developer / Engineer 6,036 26.8% Systems Analyst 1,869 8.3% Computer Support Specialist 1,684 7.5% Network Engineer / Architect 1,305 5.8% Database Administrator 1,178 5.2% Network / Systems Administrator 1,171 5.2% IT Project Manager 1,160 5.2% Computer Systems Engineer / Architect 1,006 4.5% Web Developer 952 4.2% Software QA Engineer / Tester 877 3.9% Cyber / Information Security Engineer / Analyst 832 3.7% Computer Programmer 708 3.1% Data Entry Clerk 428 1.9% Business Intelligence Analyst 403 1.8% Business Intelligence Architect / Developer 321 1.4% Technology Consultant 281 1.2% Clinical Data Systems Specialist / Manager 273 1.2% Graphic Designer / Desktop Publisher 250 1.1% Chief Information Officer / Director of Information Technology246 1.1% Database Architects 213 0.9% UI / UX Designer / Developer 200 0.9% Data Warehousing Specialist 195 0.9% Mobile Applications Developer 188 0.8% Network / Systems Support Specialist 152 0.7% Telecommunications Engineering Specialists 135 0.6% Hardware Engineer 80 0.4% Data Scientist 65 0.3% Security Management Specialists 64 0.3% Computer Operator 60 0.3% Webmaster / Administrator 51 0.2% Web Designer 49 0.2% Multimedia Designer / Animator 38 0.2% RF Engineer 20 0.1% Computer Scientist 15 0.1% Source: Labor Insight Jobs (Burning Glass Technologies) 22,505 100.0% Architect/ Developer and an Analyst role for Business Intelligence. While O*Net has 28 separate titles for IT occupations, Burning Glass has 34 for which there were job posts in 2015 in NEO. Employers with the Most IT Job Postings in 2015 Shanahan Resources, Inc 81 The employers with the most IT postings are familiar names and are from different industries. A few large employers each posted several hundred positions during 2015. Several of these are members of the RITE Board: Progressive Insurance; Cleveland Clinic; Sherwin-Williams; Top Employers with Most Posts for IT Occupations Eaton; and Hyland Job Job Software. Employer Postings Employer Postings Oracle 379 Best Buy 72 This information Deloitte 370 Pricewaterhousecoopers 66 Progressive Insurance 335 CGI Group 62 can be useful for Emerald Resource Group 324 Eaton 61 Cleveland Clinic 302 Hyland Software 56 early engagement Sherwin Williams 265 Steris Corporation 56 The PNC Financial Services Group, Inc. 239 Strategic Systems Incorporated 56 of employers to Accenture 226 American Greetings Corporation, Inc. 54 Progressive 175 ConsultUSA 54 discuss improving Keycorp 154 Exodus Integrity Services 53 Koninklijke Philips N V 132 Amtrust North America 52 their access to University Hospitals 127 Allstate 51 Rockwell Automation Incorporated 113 Carroll Technology Services 49 qualified talent. Location of Workplace for IT Jobs Posted Anthem Blue Cross Federal Reserve Bank of Cleveland Capgemini IBM Infiniti Philips Electronics North America Corp 100 100 91 86 84 79 Western Reserve Systems Case Western Reserve University Windstream Communications CVS Health Cc Administrative Campus Growing Financial Industry Company Source: Labor Insight Jobs (Burning Glass Technologies) Jobs for IT workers, based on work Location of Worksites for IT posts sites for positions posted during 2015, is extremely skewed toward Cuyahoga County. IT jobs there are most concentrated, based on analysis in this report. 49 47 47 46 44 44 County Cuyahoga, OH Summit, OH Medina, OH Lake, OH Lorain, OH Portage, OH Geauga, OH Ashtabula, OH Job Postings 85.55% 6.21% 2.61% 2.34% 1.85% 1.03% 0.33% 0.08% Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc 82 This reality makes the commute to work problematic for job seekers living in outlying areas of the region. Even Summit County is potentially the location for 6% of all jobs posted for IT positions. Skills Progression Pathway As with manufacturing, the Akron and San Jose TechHire partnerships created a conceptual skills path for new IT workers which includes two entry-level occupations; six mid-level occupations and two advanced positions that are in demand in NEO. Skills that need to be acquired in order to advance up the pyramid are outlined in the diagram. This provides an Shanahan Resources, Inc 83 initial starting point for individuals to use in thinking about what they need to do based on skills assessment, and what next steps might be for advancement and improved earnings. Comparing IT Demand in Manufacturing and Healthcare Healthcare needs for information technology NEO: Top IT Occupations In Demand in Last 365 Days differ from other industry Manufacturing Healthcare Job Postings Job Postings sectors, especially Occupation manufacturing in NEO. # Software Developer / Engineer 541 Systems Analyst 166 Computer Support Specialist 132 Computer Systems Engineer / Architect 131 Software QA Engineer / Tester 112 Network Engineer / Architect 96 IT Project Manager 87 Computer Programmer 86 Database Administrator 67 Network / Systems Administrator 60 Web Developer 35 Business Intelligence Analyst 34 Cyber / Information Security Engineer / Analyst 33 Clinical Data Systems Specialist / Manager 13 Source: Labor Insight Jobs (Burning Glass Technologies) Healthcare appears to not place as much emphasis on developer roles. While Software Developer/Engineer dominates the jobs in demand in manufacturing, it is % 30.0% 9.2% 7.3% 7.3% 6.2% 5.3% 4.8% 4.8% 3.7% 3.3% 1.9% 1.9% 1.8% 0.7% # 107 238 48 20 9 33 30 21 48 71 46 12 21 154 % 11.0% 24.4% 4.9% 2.0% 0.9% 3.4% 3.1% 2.2% 4.9% 7.3% 4.7% 1.2% 2.2% 15.8% Systems Analysts that were the most in demand in healthcare in the last 365 days. Healthcare is the only source of demand for Clinical Data Systems Specialist/ Manager, which had the second most job postings. The specific skills associated with IT needs in healthcare vs manufacturing differ as well. This is expected given that the two sectors appear to have different needs from use of information technology. The demand from manufacturers appears to be more advanced than for healthcare, based on specific IT languages and software. The specific skills and order of importance, based on number of postings, clearly differ for these two industry sectors in NEO. Shanahan Resources, Inc 84 This warrants discussion with major employers within the region to better understand the nature of IT needs for manufacturing and healthcare. Educators and workforce development specialists will be able to better respond to these distinct needs. Manufacturing Sector: Top Sepecialized Skills for IT Positions Job Postings Project Management 461 SQL 357 Technical Support 301 Software Development 241 Oracle 232 Customer Service 211 JAVA 203 SAP 184 Budgeting 169 Software Engineering 166 Product Development 163 UNIX 161 Business Process 158 Microsoft C# 157 C++ 150 Scheduling Healthcare Sector: TopManufacturing Software and Sector: Top Software150 and .NET Programming 149 Programming Skills for Programming IT Positions Skills for IT Positions Systems Engineering 147 Job Job Skills LINUX Skills 138 Postings Postings Validation 137 Microsoft Office 227 SQL 357 SQL 189 Oracle 232 Microsoft Visio 128 JAVA 203 .NET Programming 98 Microsoft Office 198 Microsoft Excel 98 SAP 184 Microsoft Project 98 Microsoft Excel 171 JavaScript 84 UNIX 161 Microsoft C# 82 Microsoft C# 157 SQL Server 66 C++ 150 ASP 63 .NET Programming 149 Crystal Reports 63 LINUX 138 Transact-SQL 57 Oracle 54 (XML) Extensible Markup Language 133 Eclipsys 52 SQL Server 132 Microsoft Powerpoint 48 (ERP) Enterprise Resource Planning 129 jQuery 42 JavaScript 122 Skills Healthcare Sector: Top Sepecialized Skills for IT Positions Skills Information Systems Systems Analysis Project Management SQL Scheduling Disaster Recovery Planning Microsoft Visio Technical Support Printers Customer Service .NET Programming Microsoft Project Training Materials Change Management Help Desk Support System Documentation System Implementation Domain Name System (DNS) Software Installation Electronic Medical Records Shanahan Resources, Inc Job Postings 345 249 214 189 157 137 128 128 112 105 98 98 97 94 94 90 87 86 85 84 85 IX. Longer Term, what is behind emerging, rapid changes in labor market demand today? 1. What industries and employers in NEO are impacted? 2. What evidence already exists in employer job ads of new skills and education in demand? 3. What is the evidence that middle-skill jobs existing today are being impacted by adoption of Disruptive Technologies in the NEO Economy? Seven Forces that Impact Advanced Manufacturing; Finance & Insurance; Healthcare; and Professional Services; and Healthcare Implementation of these technologies creates new and increased demand for digital skills and, in some cases, for workers to possess coding skills to develop or improve software. Shanahan Resources, Inc 86 How are these new technologies impacting workforce demand in northeast Ohio’s economy? 8-County NEO: Top Occupations with Skills Needed for Cyber-security Last 365 Days Impact of Disruptive Technologies on Skills in Demand: Cyber-security The rapid increase in the need for workers to tackle cybersecurity issues is in part due to the rise in Big Data and Cloud Computing. Employers see these skills impacting a range of occupations. Most, but not all, are for IT Professionals. Information Security; Information Systems; Network Security; LINUX; Cryptography; Cisco; Project Management; UNIX; Technical Support; Information Assurance; Virtual Private Networking (VPN); Risk Assessment; Network Engineering; Transmission Control Protocol / Internet Protocol (TCP / IP); Business Process;Internal Auditing; JAVA; Risk Management; ITIL; or, System/Network Configuration BGTOCC Occupation Job Postings 2,133 # % 15112200 Cyber / Information Security Engineer / Analyst 638 31.0% 13201102 Auditor 198 9.6% 15119902 Network Engineer / Architect 165 8.0% 15113100 Software Developer / Engineer 139 6.8% 15114200 Network / Systems Administrator 87 4.2% 15113300 Computer Systems Engineer / Architect 72 3.5% 15115100 Computer Support Specialist 64 3.1% 15112100 Systems Analyst 58 2.8% 11302100 Chief Information Officer / Director of Information Technology 52 2.5% 15119995 IT Project Manager 46 2.2% 13119902 Security Management Specialists 40 1.9% Source: Labor Insight Jobs (Burning Glass Technologies) 1,559 75.8% Shanahan Resources, Inc 87 Three of ten are for a new position: Cyber/ Information Security Engineer/ Analyst, a midlevel IT career occupation. One in ten jobs for Auditors need these skills as well. A number of other occupations are affected. Job Postings Seeking Cybersecurity Expertise The specialized skills employers listed in these postings accounted for 10 to 42% of the 2,133 job postings seeking applicants with the expertise to help with cyber-security challenges. The inclusion of accounting and internal auditing expertise addresses concerns about securing information and addresses digital forensics. 8-County NEO: Top Skills Needed for Cyber-security Last 365 Days Information Security; Information Systems; Network Security; LINUX; Cryptography; Cisco; Project Management; UNIX; Technical Support; Information Assurance; Virtual Private Networking (VPN); Risk Assessment; Network Engineering; Transmission Control Protocol / Internet Protocol (TCP / IP); Business Process;Internal Auditing; JAVA; Risk Management; ITIL; or, System/Network Configuration Specialized Skills Job Postings 2,133 # % Information Security 898 42.1% Network Security 487 22.8% Project Management 478 22.4% Information Systems 468 21.9% SQL 405 19.0% Internal Auditing 401 18.8% Cryptography 351 16.5% LINUX 330 15.5% Business Process 328 15.4% Accounting 324 15.2% Sarbanes-Oxley (SOX) 311 14.6% Oracle 306 14.3% Budgeting 305 14.3% Technical Support 296 13.9% Cisco 289 13.5% UNIX 264 12.4% Routers 256 12.0% Scheduling 252 11.8% Risk Assessment 250 11.7% Customer Service 243 11.4% Transmission Control Protocol / Internet Protocol 243 (TCP / IP) 11.4% Network Engineering 238 11.2% Switches 231 10.8% Virtual Private Networking (VPN) 229 10.7% Risk Management 227 10.6% Disaster Recovery Planning 226 10.6% Staff Management 224 10.5% Source: Labor Insight Jobs (Burning Glass Technologies) This extensive list of skills needs to be explored with employers to determine those more difficult to find among job seekers. Shanahan Resources, Inc 88 Evidence of Industry Involved with Internet of Things (IOT) There is little evidence that employers are seeking IT talent to work on their involvement with IOT’s. 8-County NEO: Top Occupations Asking for IT Skills Needed for Internet of Things Last 365 Days Across NEO, only 414 jobs posted included one of more Apache Hadoop; Hbase; Real Time Streaming Protocol; Amazon Elastic Compute Cloud (EC2) of these specific skills: Job BGTOCC Occupation Postings 15113100 Software Developer / Engineer 89 15114100 Database Administrator 28 15119902 Network Engineer / Architect 28 15119901 Software QA Engineer / Tester 28 15119991 Data / Data Mining Analyst 27 15111191 Data Scientist 25 15119906 Database Architects 23 15113300 Computer Systems Engineer / Architect 15 15119907 Data Warehousing Specialist 12 Source: Labor Insight Jobs (Burning Glass Technologies) Apache Hadoop; Hbase; Real Time Streaming Protocol; Amazon Elastic Compute Cloud (EC2). Ads including these skills appear in an array of IT occupations, but with no particular emphasis. Postings and Occupations Demanding Data Analytics and Data Management Software Skills Data Analytic and Data Management Software skills are 8-County NEO: Top Occupations with Skills Needed for Data Analytics Last 365 Days required skills for those working with Advanced Analytics; Big Data Analytics Software; Data Mining and Analysis; Statistical Analysis Software Big Data and Cloud Computing and Storage and account for over 4,100 online ads in NEO. Obvious skill clusters that BGTOCC Occupation 4,111 15113100 Software Developer / Engineer 15119991 Data / Data Mining Analyst 15114100 Database Administrator 13111100 Business / Management Analyst 15119993 Business Intelligence Analyst 15113300 Computer Systems Engineer / Architect 15119906 Database Architects Source: Labor Insight Jobs (Burning Glass Technologies) Job Postings # % 520 13.9% 240 6.4% 217 5.8% 137 3.7% 103 2.7% 100 2.7% 100 2.7% 1,417 37.8% prepare workers for these responsibilities are: Advanced Analytics; Big Data Analytics Software; Data Mining and Analysis; and Statistical Analysis Software. These seven occupations total account for 38% of this total demand in last 365 days. Software Developers/Engineers had two times as many posts as the next most-posted occupation. These posts were 14% of all posts. Shanahan Resources, Inc 89 Demand for Data Analytic skills impact a long list of other occupations that together account for the remaining 62% of all posts. As is the case with most advanced technologies and skill levels, demand is skewed toward locations in Cuyahoga County. Top Specialized Skills Needed for Data Analytics SQL, a programming language used to communicate with a database, tops the list of skills. SAS, a software suite developed for advanced analytics, multivariate analyses, business intelligence, data management, and predictive analytics, was second. Again, a long list of specific knowledge or skills appear in at least one in every ten posts. All are related to data development, management and applications. 8-County NEO: Top Speicialized Skills Needed for Jobs Requiring Data Analytics Last 365 Days Advanced Analytics; Big Data Analytics Software; Data Mining and Analysis; Statistical Analysis Software Specialized Skills Job Postings 4,111 # SQL 1,674 SAS 1,016 Project Management 777 Mathematics 774 Data Analysis 737 Data Modeling 635 Oracle 628 Data Warehousing 606 Statistics 583 Software Development 554 Business Intelligence 537 JAVA 532 Economics 505 Extraction Transformation and Loading (ETL) 496 Business Process 493 SQL Server 457 Data Mining 448 Data Management 415 Apache Hadoop 400 Budgeting 393 Big Data 376 Customer Service 372 Spreadsheets 372 Optimization 366 Source: Labor Insight Jobs (Burning Glass Technologies) % 41.3% 25.1% 19.2% 19.1% 18.2% 15.7% 15.5% 15.0% 14.4% 13.7% 13.3% 13.1% 12.5% 12.2% 12.2% 11.3% 11.1% 10.2% 9.9% 9.7% 9.3% 9.2% 9.2% 9.0% Cloud Computing The ability to access, administer or analyze information on Clouds, basic to advanced skills is critical skills for those working with Cloud Computing. The need to deal with data stored on Shanahan Resources, Inc 90 Clouds impacts a large number of occupations but is a primary job responsibility for none of them. Ads asking for the skill sets used to identify these ads are only a small portion of all ads for any of these occupations. While most posts are for IT or Managerial jobs, a few are in Business occupations— specifically Business Development and Business Analyst. Specific need expressed in job ads for these skills highlighted in green in the table is limited in NEO: Only 665 job ads mentioned any of these three required skills. It appears that the use of Clouds for data storage for NEO, no doubt, is on par with other advanced economic regions. However, this has not greatly impacted what is sought from new hires within companies. 8-County NEO: Top Occupations with Skills Needed for Cloud Computing Last 365 Days Software as a Service (SaaS); Amazon Web Services (AWS); or Platform as a Service (PaaS) BGTOCC Occupation 665 15113100 41401100 11202191 15119902 15114200 15113300 15112100 11202200 15114100 13111100 15119995 11202192 Software Developer / Engineer Sales Representative Marketing Manager Network Engineer / Architect Network / Systems Administrator Computer Systems Engineer / Architect Systems Analyst Business Development / Sales Manager Database Administrator Business / Management Analyst IT Project Manager Product Manager Cyber / Information Security Engineer / 15112200 Analyst Source: Labor Insight Jobs (Burning Glass Technologies) Shanahan Resources, Inc Job Postings # % 112 17.4% 65 10.1% 44 6.9% 41 6.4% 25 3.9% 24 3.7% 18 2.8% 17 2.6% 17 2.6% 15 2.3% 15 2.3% 15 2.3% 14 2.2% 91 Top skills and occupations in demand for Disruptive Technologies: Northeast Ohio Common and Unique Skills for Six Disruptive Technologies The first table includes the Top Five Specialized Skills listed the most among postings seeking persons with specific proficiency with each of the disruptive technologies, one at time. In the table, the five skills listed first were most in demand for jobs to work in an Additive Manufacturing environment, e.g. Only Project Management, as a skill, appears in Specialized Skills Among the Top Five for Job Postings for the Disruptive Technologies Internet of Things Cybersecurity Cloud Computing Data Analytics 3D Modeling/ Design Mechanical Engineering Computer Aided Drafting/Design (CAD) Product Development Mechanical Design Additive Advanced Manufacturing Robotics X X X X X JAVA Apache Hadoop Big Data SQL Oracle Software as a Service (SaaS) Platform as a Service (PaaS) X X X X X X X X X X Project Management X Information Security Network Security Technical Support Information Systems LINUX Cryptography X X X X X X X SAS Data Analysis X X X X X Robotics Inspection Programmable Logic Controller (PLC) Programming Systems Integration Burning Glass, Labor/ Insight Shanahan Resources, Inc X X X X 92 more than disruptive technology. Truly, distinct skills are tops given specific job responsibilities for workers, depending on the technical area. The second table identifies the Top Five Occupations linked to each distinct disruptive technology and the challenges employers face that require the specific skills from the first table. In this case, the diversity of assignments that Software Developer/Engineers are asked to address is evident in that this occupation is in the top five for each of IT-based technical area of expertise. Also this is the case for Network Engineer/ Architect and Cyber/ Information Security Engineer/ Analyst. Common and Unique Occupations for Six Disruptive Technologies Addressing the challenges to industries of Big Data & Analytics; placing data on Clouds, and the emergence of Internet of Things has created the rapid growth of information and network security. Employers need workers that can hone their expertise in one or more of these areas. It appears that employers are concerned with what skills are needed (many new tools emerge out of need) and then determine which occupations are best suited to address the need. While a single new occupation at the mid-level now exists for cyber-security, basic skills and knowledge is the job of other positions as well—even an Auditor. Shanahan Resources, Inc 93 Occupations Among the Top Five for Job Postings for the Disruptive Technologies Software Developer/Engineer Network Engineer/ Architect Database Architects Data Scientist Database Administrator Cyber/ Information Security Engineer/ Analyst Auditor Systems Analyst Web Developer Business/ Management Analyst Computer Programmer General/ Electrical Engineering Technician Mechanical/ Electrical Drafter Manufacturing Engineer Electrical Engineer Business Development/ Sales Manager Sales Representative Computer Systems Engineer Architect Marketing Manager Burning Glass, Labor/ Insight Internet of Things Cybersecurity Cloud Computing Data Analytics X X X X X X X X X X X X X Additive Advanced Manufacturing Robotics X X X X X X X X X X X X X X Shanahan Resources, Inc X X 94 X. Labor Market Supply Exploring the Supply-side of the Labor Market In real time, the dynamics that define the available supply of talent at any point in time, or over time are the following: individuals seeking a change of employer or career, career advancement; or those entering the job market seeking full time, permanent employment for the first time. The largest pools of adult workers who become active job seekers are already employed, most full time. This pool includes under-employed workers in temporary or part time jobs, or jobs not fully utilizing their skills and abilities. Some of these workers are enrolled in postsecondary education and training programs to better prepare themselves to meet employer expectations. A second pool of potential job seekers is the recently unemployed seeking reemployment and un- or under-employed workers who live within a feasible daily commute of where job openings are located. Currently, these numbers remain quite large due to lack of job recovery since the recession that began in 2007. As the recovery of jobs continues, it is increasingly evident that these workers are structurally un-or underemployed, meaning that they lack the experience or competencies now being sought by employers. The workplaces from which they were displaced are not the same as exist today, just a few years later. In addition, poor information and spatial disparities create poor connections between employers and job seekers. Finally, employers too often have shown disinterest in hiring from this pool of workers given how long they have now been out of work. A third pool of adults are individuals returning to the labor force after extended absence and seeking employment; or are entering for the first time. Mostly this group is youth and young adults emerging from high school or postsecondary education and seeking full time or permanent employment for perhaps their first time. Shanahan Resources, Inc 95 The Number of Job Seekers is Not Easy to Document. The challenge is to quantify the supply of active job seekers that may or may not be actively pursuing job opportunities based on labor market demand. Some are identifiable; others respond to job ads that cannot be tracked easily. Some register as job seekers in public and private job boards. This is more likely for individuals who are unemployed (who are required to register and actively pursue their options for future employment). Individuals receiving services through WIOA likely are enrolled and tracked by the local workforce system. At least the annual number of completers of high school, vocational training, and college credentials are known. Most are seeking a new job or promotion and are part of the supply of workers during any period when employers are seeking applicants. However, as evidenced in the discussion on job churn, the largest numbers of workers being hired by employers are workers seeking to leave their current jobs. Data on the large numbers that change jobs one or more times during a year is hard evidence they are succeeding. Employers Also Hire From Outside the Region. Many employers have strategies and resources devoted to recruiting workers from outside the region; perhaps even outside the country. The prevalence and success of this strategy is highly conditional to the time and situation, as well as level and sophistication of the jobs. Short term shortages in the local supply of workers needed for oil and gas fracking operations, for example, produced high wages and induced substantial numbers of distant workers to relocate to where the jobs are, if only temporarily. For the jobs of most importance to fill, employers will find a way to do so. While availability of a quality workforce is highly important to business plans to expand or relocate, no research has found evidence that growth options were lost due to lack of qualified workers. Important Insights on Demographics of Workers Employed in 2014 Shanahan Resources, Inc 96 The Cleveland Center for Community Solutions recently released a labor force report for the NOW region of NEO in support of the WIOA regional planning effort. The purpose was to report on the working age population of the eight-county region and their status in the labor market and to determine differences by age, gender, race and ethnicity and level of education. Key findings as reported by them are:16 In 2011‐2013, the labor force in northeast Ohio numbered nearly 1.5 million persons ages 16 and over. The labor force participation rate in the region was 63 percent, lower than the 2008‐2010 rate of 66 percent. Total employment in the region numbered 1.3 million workers, 58 percent of the population 16 and over, a slight decline from 59 percent in 2008‐2010. There were 148,000 unemployed persons in northeast Ohio in 2011‐2013, 10.0 percent of the labor force. This is not significantly different from the 10.4 percent unemployment rate in 2008‐ 2010. Unemployment rates were highest among younger workers, 29.2 percent for 16‐to‐ 19 year‐ olds, and 15.1 percent for those 20 to 24. Although males had higher labor force participation and percent employed than females, they also had larger unemployment rates (11.1 percent) than females (8.9 percent). Compared to other racial/ethnic groups, African Americans had lower labor force participation and percent employed. Their unemployment rate (20.5 percent) was almost three times that for Whites (7.9 percent). Hispanics had high labor force participation (69 percent) and percent employed (60 percent), but also a high unemployment rate (13.6 percent). Increasing educational attainment was associated with higher labor force 16 Joseph Ahern; Demographic Profile of the Labor Force in Northeast Ohio, 2011-2013; Center for Community Solutions, June 2016 Shanahan Resources, Inc 97 participation and percent employed, and decreasing unemployment. The unemployment rate among those with no high school diploma (26.9 percent) was four times as high as that for those with at least an Associates degree (6.5 percent or lower). Almost three‐fourths of workers worked full‐time in the past year (i.e., 35 or more hours per week), and 61 percent worked full‐time and full‐year (50 to 52 weeks). A lower proportion of younger (under 25), older (65 or over), female, African American, Hispanic, and less-educated workers were full‐time/ full‐year. More than half of all employed workers were found in: Manufacturing; Health Care and Social Assistance; Retail Trade; Education; and Accommodation and Food Services. Unemployment was still ten percent or more for those previously employed in: Administration, Support, and Waste Management; Construction; Arts, Entertainment, and Recreation; and Accommodation and Food Services. These accounted for 30 percent of all unemployed workers. Median annual earned income for all workers in the region in 2011‐2013 was $29,980 (in 2013 dollars), lower than the median of $30,351 in 2008‐2010. For those who worked full‐time, full‐year, the median in 2011‐2013 income was $43,028, not significantly different from the 2008‐2010 median of $43,432. Females working full‐time, full‐year had a median earned income of $37,255, only 75 percent of the median for males ($49,708). Full‐time, full‐year medians for African Americans ($32,541) and Hispanics ($31,980) were only 71 and 70 percent, respectively, of the median for Whites ($45,941). The impact of level of education attainment on employment status is dramatic for those living in northeast Ohio. Only 52% of adults with only a high school credential were employed at the time they responded to the census. In contrast, 72% of working-age adults with an Associate degree were employed. Having a college degree creates the largest increase, with more modest increases in rates of employment the higher the level of college degree. Shanahan Resources, Inc 98 Occupations with the Largest Percentage of Workers between 55 and 64 years of age The median percent of all workers ages 55 to 64 is 19% for all occupations. There are 26 occupations with percentages ranging from 30 to 37%. Most of these were in Production jobs in 2014. Next are specific occupations in Installation, Maintenance and Repair. The region’s blue-collar workforce is aging rapidly. No other cluster of occupations presents such a major loss of individuals over the next five to ten years. Most of these jobs are in manufacturing industries. With only select market niches adding manufacturing jobs, it is not clear which of these jobs will need to be Occupations with Largest Percentage of Workers 55 to 64, 2014 SOC 11-3061 11-9032 11-9161 11-1011 25-4021 27-3042 43-2011 43-5051 47-4011 49-9045 49-2093 49-9044 51-4023 51-4032 51-4061 51-4062 51-4111 51-4191 51-4194 51-6052 51-8011 51-8012 51-8013 51-8021 51-8092 53-6051 Description Management Purchasing Managers Education Administrators, Elementary and Secondary School Emergency Management Directors Chief Executives Education, Training and Library Librarians Arts, Design, Entertainment, Sports, and Media Technical Writers Office and Administrative Support Switchboard Operators, Including Answering Service Postal Service Clerks Construction and Extraction Construction and Building Inspectors Installation, Maintenance and Repair Refractory Materials Repairers, Except Brickmasons Electrical and Electronics Installers and Repairers, Transportation Equipment Millwrights Production Rolling Machine Setters, Operators, and Tenders, Metal and Plastic Drilling and Boring Machine Tool Setters, Operators, and Tenders, Metal and Plastic Model Makers, Metal and Plastic Patternmakers, Metal and Plastic Tool and Die Makers Heat Treating Equipment Setters, Operators, and Tenders, Metal and Plastic Tool Grinders, Filers, and Sharpeners Tailors, Dressmakers, and Custom Sewers Nuclear Power Reactor Operators Power Distributors and Dispatchers Power Plant Operators Stationary Engineers and Boiler Operators Gas Plant Operators Transportation and Materials Moving Transportation Inspectors Age 55-64 % of Occupation 30% 31% 31% 31% 34% 30% 30% 32% 30% 38% 30% 31% 34% 31% 33% 37% 34% 32% 36% 32% 31% 38% 30% 31% 36% 32% filled with new workers. The Shanahan Resources, Inc 99 net result is that it is not clear that the aging of the workforce employed in 2014 should be a major concern for workforce development. Occupations with Largest Concentration of Workers of Prime Working Ages 35 to 44 The median percent that this age group comprises in all jobs in NEO is 21%. Computer and Mathematical occupations and jobs in Protective Services (or law enforcement) have the greatest number of specific occupations with 30 to 34 % of all workers between the ages of 35 and 44. For the IT occupations listed, this likely results from the more recent and rapidly growing need for IT workers in number and as a percent of all jobs in the economy. In law enforcement, the demanding physical nature of jobs for police and firefighting personnel likely explains why this age group is the largest pool of workers in these jobs. Occupations with Largest Percentage of Workers 35 to 44, 2014 Age 35-44 % of Occupation SOC Description 11-2031 Mangagement Public Relations and Fundraising Managers 30% 11-3021 Computer and Information Systems Managers 32% Computer and Mathematical (IT) 15-1132 15-1141 15-1142 15-1143 Software Developers, Applications Database Administrators Network and Computer Systems Administrators Computer Network Architects 30% 30% 30% 34% Scientists 19-1099 19-1042 Life Scientists, All Other Medical Scientists, Except Epidemiologists Healthcare Professional and Technical 36% 33% 29-1041 Optometrists 30% 29-1081 29-1122 29-1123 Podiatrists Occupational Therapists Physical Therapists 30% 30% 31% 33-1012 33-2011 33-3021 33-3051 33-3052 47-2171 47-4021 Protective Service First-Line Supervisors of Police and Detectives Firefighters Detectives and Criminal Investigators Police and Sheriff's Patrol Officers Transit and Railroad Police Construction and Extraction Reinforcing Iron and Rebar Workers Elevator Installers and Repairers 32% 32% 35% 34% 35% 33% 30% Both of these two occupational clusters have a below average concentration of older workers. An important implication for the IT workers of prime age is the need for incumbent training. Given how rapidly skills required and jobs change, employers and workers alike Shanahan Resources, Inc 100 should have concern for how these experienced workers stay current and how they can add skills in pursuit of advancing careers. Occupations Dominated by Male Workers Males comprise from 90 to 100% of all workers for 164 of over 700 detailed occupations with jobs in NEO in 2014. The median percent of males among all occupations is 67%. The range across the more than 700 occupations was from 3% to 100%. Clearly the gender imbalance from one occupation (or family) to another is extreme. There are too many detailed occupations to be captured in a table, so important types of occupations in which males dominate with 90 to 100% of all workers are: Extraction and Construction Transportation and Materials Moving Installation, Maintenance and Repair Production Protective Services Engineering Management The top five are no surprise; all have been traditionally jobs held by men.. Male workers, in contrast, are the majority of IT workers but to this extreme. Efforts to improve the inclusion of women into Management and STEM career employment may improve the overall effectiveness of the region’s workforce to support economic development based on technology advance and new business processes. Occupations with Most and Least Concentration of African American Workers About twenty percent of the over 700 detailed occupations have little to no African American workers. For the over five hundred occupations, the median percent of African American workers is 12%. Shanahan Resources, Inc 101 Occupations with the highest concentration of African American workers, which range from 30% to 43% of all workers filling jobs in 2014 These are clustered in several types of occupations: Healthcare Support Services Protective Services Personal Care and Service Production Transportation and Materials Moving Shanahan Resources, Inc 102 In each, however, the specific occupations are not the most skilled Occupations Concentration of African American Workers, 2014 SOC Description 21-1013 21-1093 Community and Social Service Marriage and Family Therapists Social and Human Service Assistants jobs within the occupational family. Transit workers dominated the specific occupations under Transportation…not truck drivers or forklift operators. Production jobs are not in manufacturing but laundry and dry cleaning. Jobs for African Americans in Protective Services are not in police and fire services but private security. 43% 35% 39% 38% 39-6011 39-6012 39-9021 Home Health Aides Psychiatric Aides Nursing Assistants Orderlies Protection Services Gaming Surveillance Officers and Gaming Investigators Security Guards Transportation Security Screeners Building and Grounds Cleaning and Maintenance Maids and Housekeeping Cleaners Personal Care and Service Baggage Porters and Bellhops Concierges Personal Care Aides 39-9041 Residential Advisors 40% 33-9031 33-9032 33-9093 37-2012 Americans are rarely present were 43-3041 43-5053 51-6011 51-6021 These represent significant barriers to entry for African 53-3011 Americans into most of the middle- 53-3021 53-3022 53-4041 53-6021 skill opportunities identified in this 40% 31% 38% 35% 43% 36% 33% Sales 41-2012 Professional and Technical. 31% 32% Healthcare Support Services 31-1011 31-1013 31-1014 31-1015 Occupations in which African Managerial; STEM; and Healthcare Black or African American 53-6061 Gaming Change Persons and Booth Cashiers Office and Administrative Support Gaming Cage Workers Postal Service Mail Sorters, Processors, and Processing Machine Operators Production Laundry and Dry-Cleaning Workers Pressers, Textile, Garment, and Related Materials Transportation and Materials Moving Ambulance Drivers and Attendants, Except Emergency Medical Technicians Bus Drivers, Transit and Intercity Bus Drivers, School or Special Client Subway and Streetcar Operators Parking Lot Attendants Transportation Attendants, Except Flight Attendants 31% 32% 32% 31% 34% 34% 39% 31% 37% 37% 32% report. Economic Inclusion as a WIOA Goal What does Economic Inclusion mean? Does this necessarily mean assisting ‘hardest to serve’ with the goal of gainful employment? A couple of definitions are provided that reflect different perspectives. Shanahan Resources, Inc 103 “Economic inclusion is a term used to describe a variety of public and private efforts aimed at bringing underserved consumers into the financial mainstream.” It means connecting people to jobs, housing and small business, rebuilding local networks and connections.17 “True economic inclusion exists when traditionally underrepresented individuals and businesses are included in the economy in a meaningful way. It means that there are legitimate opportunities for minorities to participate in the economy as business owners, as leaders, as executives, and as workers.”18 A practical definition is adopted for the WIOA plans that focuses on workers lacking the skills valued by employers. The focus on economic inclusion is limited to identification of the skills employers seek that are lacking by most that are not sharing equally in the region’s economic recovery in terms of gainful employment. Who are the mandated populations, priority populations, and populations facing labor market barriers or personal hardships? What responsibility does WIOA leadership have to set metrics for the region to promote economic inclusion strategies? How do we address this in the regional and local plans? WIOA Mandated Populations Youth: New emphasis on disconnected youth; ISY (14 – 21); OSY (16 to 24) Dislocated Workers—(more to it than unemployed, also includes underemployed) Adults seeking help in finding gainful employment —also includes under-employed (universal customer) and low-income, public assistance, skills deficient, etc. Priority or Population with Special Needs Veterans and Military Family Members receive “priority of service” that cuts across the three-mandated population of clients. 17 Walter White, Cleveland State University, in response to an email from Grace Kilbane 18 Commission on Economic Inclusion, Greater Cleveland Partnership Shanahan Resources, Inc 104 Under the WIOA Adult program, priority for individualized career services and training are provided to low-income individuals, public assistance recipients, or individuals who are basic skills deficient. Some persons may be employed in low-skill, part-time or temporary jobs. Persons with disabilities qualify for special assistance if this poses a hardship to completing training or securing and performing jobs that provide gainful employment. Barriers that individual job seekers face in accessing training or gainful employment These barriers can be further distinguished based on: Limited evidence of an ability to perform or sustain jobs Employer biases that exclude job seekers for reasons other than their ability to perform the duties needed for the job (i.e. non-economic reasons) Local labor market failures that create barriers to job entry and limits choice of employers and job seekers Challenges face individuals who wish to work due to past economic exclusion. Individuals who lack skills and a demonstrated positive workplace behavior (especially in full-time, permanent middle-skill jobs); language barriers from lack of English skills; lack of financial and geographic mobility that limits access to jobs or ability to manage family responsibilities and perform job duties; and limited transportation to work and arrangement for care of children or other family members. Labor market failures occur when access to jobs is impeded by geographic or informational barriers or by employers whose hiring decisions are based in part on factors other than qualifications. The individual’s limited career choices or employment aspirations also can result in self-imposed limitations on employment outcomes. Any of these barriers can result in lower employment rates and over or under representation of individuals by industry and occupation. Both self-imposed and employer-imposed barriers often occur along race or ethnicity, gender, and age of individuals. New employer-imposed barriers arose during the Great Shanahan Resources, Inc 105 Recession as employers shied away from job seekers unemployed for longer than six months. Individual (potential) job seekers can qualify for or experience any combination of these circumstances. What in-demand jobs are truly opportunities for these groups, especially where their lives can be improved through skill building and educational attainment that prepares them for pre- or entry-level positions? The focus of research is on economic factors that can impact the labor market outcomes of those experiencing some measurable degree of exclusion from better job opportunities. Occupations of Choice by Job Seekers Job Seekers in Ohio Labor Exchange Over 33,000 individuals are registered in the Ohio Labor Exchange during the last six months. As with total jobs, most (46%) live in Cuyahoga County. Next is Summit with 19%. Geauga County has the fewest with 2%. Most of these job seekers are currently unemployed persons perhaps still receiving unemployment benefits. General types of employment for Onet Family Title Grand Total Management 10236 Business & Financial 4023 Computer & Mathematical 2681 Architecture & Engineering 2273 Life, Physical & Social Science 943 Community & Social Service 1156 Legal 402 Education, Training & Library 2999 Arts, Design, Entertainment, Sports & 2875 Media Healthcare Practioner & Technical 1798 Healthcare Support 2569 Protective Service 1126 Food Preparation & Serving Related 3436 Building & Grounds Cleaning and 3999 Maintenance Personal Care & Service 1568 Sales & Related 6341 Office & Administrative Support 13034 Farming, Fishing & Forestry 548 Construction & Extraction 9634 Installation, Maintenance & Repair 4484 Production 10298 Transportation & Material Moving 6983 Military Specific 611 Not Identified 128 Totals 94145 Unique Individuals 33867 % 10.9% 4.3% 2.8% 2.4% 1.0% 1.2% 0.4% 3.2% 3.1% 1.9% 2.7% 1.2% 3.6% 4.2% 1.7% 6.7% 13.8% 0.6% 10.2% 4.8% 10.9% 7.4% 0.6% 0.1% 100.0% these job seekers who have prior work experience and/ or are seeking employment are Shanahan Resources, Inc 106 skewed to segments of the economy hardest hit in the recession, still lag in recovery and tend to be lower-skill occupations. Half of all choices picked by individuals fall in the shaded titles. This corresponds with the educational attainment of these 33,867 (mostly) prior workers. Almost half (45%) have only a high school credential. Only 22% have an Associate degree or above. Fortunately, Education Attainment of Individuals in Ohio Labor Exchange Education Level DOCTORAL DEGREE MASTERS DEGREE BACHELORS DEGREE ASSOCIATES DEGREE SOME COLLEGE VOCATIONAL/TECHNICAL DEGREE OTHER POST-SECONDARY DEGREE OR CERTIFICATION HIGH SCHOOL GRADUATE OR EQUIVALENCY LESS THAN HIGH SCHOOL GRADUATE DID NOT PROVIDE Grand Total Grand Total 218 1191 4076 2457 5960 859 113 15904 4450 91 35319 % of Total 0.6% 3.4% 11.5% 7.0% 16.9% 2.4% 0.3% 45.0% 12.6% 0.3% 100.0% only 13% have less than a high school credential. Almost half (47%) are over 45 or older Two of three are male African Americans are slightly over represented in this database when compared to their presence in the workforce. Graduates from the region’s postsecondary education providers of Associate Degrees in IT totaled 2,688 over the most recent five-year period—2010 through 2014. The number of graduates fluctuates greatly from year to year—a low of 459 in 2010 to a high of 607 in 2013 and back to 471 in 2014. The year to year fluctuations is the same for each type of institution However, individual institutions do not always follow this pattern. Stark State has the most graduates each year but the numbers swing up and down on alternate years. Stark averages 94 each year, growing from a low of 74 in 2010. University of Akron is the next largest pool of graduates, averaging 66 grads. Cuyahoga Community College produced about the same number as Akron, averaging 60 grads per year. Lorain County Community College averaged 40 per year. Number of Completers of Associate Degrees in IT by Type of Institution, 2010 to 2014 Institution Type For Profit Private, Non-profit College Public Community College or Branch Campus Total 2014 162 15 294 471 2013 229 24 354 607 2012 228 56 305 589 Shanahan Resources, Inc 2011 222 28 312 562 2010 207 21 231 459 Total 1,048 144 1,496 2,688 107 Is this rate of increase in the region’s potential IT job seekers large to impact NOW NEO Has 28enough Associate Degreesthe IT Majors Computer and Information Sciences, General Computer and Information Sciences, Other Computer Programming, Specific Applications A Computer Science Computer Support Specialist Computer Systems Analysis/Analyst Computer Systems Networking and Telecommunications Information Technology Web Page, Digital/Multimedia and Information Resources Design Computer and Information Sciences and Support Services, Other Computer Graphics Computer Programming, Other Computer Programming, Vendor/Product Certification Computer Programming/Programmer, General Computer Software and Media Applications, Other Computer/Information Technology Services Administration and Management, Other Data Entry/Microcomputer Applications, General Associate's degree - Data Entry/Microcomputer Applications, Other Associate's degree - Data Modeling/Warehousing and Database Data Processing and Data Processing Technology/Technician Informatics Information Science/Studies Information Technology Project Management Web/Multimedia Management and Webmaster System, Networking, and LAN/WAN Management/Manager Network and System Administration/Administrator Modeling, Shanahan Resources, Inc Virtual Environments and Simulation 108 skills gap? Probably not. Is the number of graduates from the 28 different IT degree concentrations have the right mix of skills given the IT skills and jobs most in demand? It is impossible to say until more is known about what specific skills and IT jobs align best with each of the 28 programs and mix of skills stressed. Students can choose among 28 different Associate degree programs in IT, each with at least slight to major differences in curriculum and focus of IT knowledge and expertise. These are offered at 30 different locations by nine public institutions; 3 private, nonprofit institutions; and 18 locations of for-profit providers. The approach for deciding for each program aligns best with the skill needs of each of the 34 IT professional occupations is complicated. As already noted, most IT occupations require more than an Associate degree. So, job seekers that have not earned a Bachelors degree previously will be at a disadvantage in the job market. Employers overwhelmingly stipulate only those with a Bachelors need apply. Shanahan Resources, Inc 109
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