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Today, there is a widening gap in the United States between the skills employers are looking for and the skills potential employees have. Most U.S. companies are searching for graduates with the right “employable skills,” not just degrees to grow their businesses.

According to a report from JFF (Jobs For The Future), 81% of employers think they should be hiring based on the skills someone has, rather than the degree they were awarded. Between 2020 and 2030, BLS projects that about 60 percent of new jobs in the economy will be in occupations that don’t typically require an associate’s, bachelor’s, or graduate degree.

Mike Rowe, a leading skills career advocate, believes Gen Z will become “the next toolbelt generation.” They are more willing to consider the trades, which he believes is positive. “The color of collars is no longer the thing it used to be,” Rowe said, referencing the classification of blue-collar versus white-collar workers. “I just don’t think it matters.”

Parents, students, employers, and educators are starting to understand why having a skill, and not just a degree, can provide a ladder into the middle class and beyond. If blue collar employees are traditionally trade workers, and white-collar workers are traditionally those with four-year degrees, then what are new-collar professionals?

These new-collar professionals constitute a tremendous segment of our population who are: smart, high-aptitude, and in most cases skilled individuals who, for whatever reason, decided not to pursue a degree—thus, the Gen Z new-collar professionals.

For the longest time, everyone has been told college, and a four-year degree is the only way to succeed. There is growing skepticism about the return on a college education, the cost of which has soared in recent decades. Now, rising pay and modern technologies in fields from welding to machine tooling are giving trade professionals a face-lift.

In his new book, Terry Iverson challenges the assumption that sustainable careers may only be achieved through a college education. Iverson contends that careers in manufacturing offer stability, security, and prosperity for our entire nation. Inspiring Champions in Advanced Manufacturing provides parents and students a roadmap for career success, self-fulfillment, and a zero-debt foundation.

The SkillsUSA Championships is the premier showcase of America’s most highly skilled career and technical education students. It’s also one of the largest hands-on workforce development events in the world. Held in conjunction with SkillsUSA’s National Leadership & Skills Conference each June, this awe-inspiring event features more than 6,000 state champions from across the United States competing head-to-head in 115 skilled and leadership competitions.

With their eyes wide open, students will be free to envision the monumental potential that awaits them in a manufacturing career. The time has come to relook at apprenticeship programs that offer low or debt-free education to a substantial number of students. Apprenticeships aren’t just for the trades.

Apprenticeships

Apprenticeship programs, where individuals earn a living while learning with a mentor, are turning the workplace into the new learning campus. This learn-and-earn model is spawning new apprenticeship programs based on traditional registered apprenticeships, including pre-apprenticeships, mini-apprenticeships, youth apprenticeships, and apprenticeship degrees.

This expansion of apprenticeship programs has solid support among Americans, including employers and young adults, especially from Gen Z. Gen Z is the first generation to grow up with smartphones. That is how they communicate, consume information, connect to opportunities and, more importantly, learn new things.

An American Staffing Association survey found more than 9 in 10 Americans (92%) have a favorable view of apprenticeships, with more than 6 in 10 (62%) saying that apprenticeships make people more employable than going to college. More than two-thirds of Gen Z high schoolers say their ideal post-high school learning should be on the job, through internships or apprenticeships. Only a third say their ideal learning would be only through coursework.

High school apprenticeship programs combine work-based, on-the-job learning, with relevant technical education in the classroom. Students who participate in these programs graduate with a high school diploma, college credits and industry credentials. High school apprenticeships benefit businesses as well by providing a fresh source of talent developed from within their community.

One such initiative is the Apprentice X Dual-Enrollment Pre-Apprenticeship Program for 11th and 12th graders offered by The Apprentice School, a degree granting and accredited institution with over 100 years of history with Newport News Shipbuilding. This enrichment opportunity allows high school pre-apprentices to participate in The Apprentice School’s World Class Shipbuilder Curriculum (WCSC) via virtual classes during a portion of the school day. The WCSC academic curriculum makes available the latest techniques and information enabling students to be the best in their craft.

According to a 2022 study from the American Apprenticeship Initiative Evaluation, of the 68 employers surveyed, 96% cited improved company culture as a benefit, and more than 90% reported that their apprenticeship programs led to improvements in their talent pipelines and increased employee loyalty.

Skills-based Hiring

Most employers and governors are adopting skills-based hiring practices for recruiting employees that prioritizes a candidate’s competencies over more “traditional” qualifications like degrees. This hiring strategy can remove barriers that currently screen out qualified job candidates and bring a more diverse range of perspectives and skill sets into the workforce for both the public and private sectors.

Virginia Governor Glenn Youngkin joined the growing number of states moving toward skills-based hiring. The Commonwealth will change its hiring practices by eliminating degree requirements, preferences, or both for almost 90% of state classified positions to extend opportunities to all Virginians. “On day one we went to work reimagining workforce solutions in government and this key reform will expand opportunities for qualified applicants who are ready to serve Virginians,” said Governor Youngkin.

Skills-based hiring is incredibly important because it helps level the playing field. Organizations can equitably assess candidates based on what they can do, as opposed to what is historically shown to have been done. The use of objective and standardized assessments in the selection process will help reduce biases and increase fairness.

However, the biggest challenge in implementing skills-based hiring is being able to assess skill sets. Skills-based hiring aims to identify the right fit for the job by matching the candidate’s skill set with the job requirements, leading to better job performance, improved overall satisfaction and increased retention rates.

New-Collar Career Pathways

Now is the time to recommit the nation to expanding new-collar career pathways opportunities in our schools by providing new graduates with ladders into the middle class through apprenticeships and other CTE skills-based programs. Schools are collaborating with local businesses to provide Work-Based Learning opportunities for students to focus on the different types of methods of instructional preparation and take place in partnership with local businesses or organizations in a real-world work environment. 

In Virginia, New Horizons Regional Education Centers (NHREC) is a premier regional education organization offering specialized programming to create empowered individuals and a world-class workforce. The Good Life Solution Program (GLS) is a collection of partnerships between NHREC Career & Technical Education initiatives and local employers who pledge to recruit, hire, onboard and retain their graduates right out of High School. GLS provides a robust talent pipeline of local high school seniors looking to transition from high school to full-time employment (with benefits) in various career pathways. The success of this program is reflected in number of skilled career-ready citizens who signed on with their future employers at the 2024 Career Selection Day shown here:

In Virginia, the schools in partnership with local businesses are offering learning opportunities which include job shadowing, service learning, mentorship, externship, school-based enterprise, internship, entrepreneurship, clinical experience, cooperative education, youth registered apprenticeship, and registered apprenticeship are being deployed for students to earn one credit toward graduation in addition to any credit earned through the associated CTE courses. 

Youth Registered Apprenticeship programs are still evolving in response to the needs of students, parents, and employers. Youth apprenticeship programs exist at the intersection of education and workforce development, serving young people and employers by connecting the learning needs of youth with the talent and employable skill needs by industry.

Apprenticeships are the new gold standard, states Harry Moser, Founder/President, the Reshoring Initiative. “All countries, even Germany, are having problems attracting and training skilled workforces. The U.S. will sustain manufacturing jobs at home and bring back from offshore millions of manufacturing jobs when its apprenticeship system goes from being a laggard to a world leader.”

The Gen Z new-collar professionals are becoming the toolbelt generation who are choosing good paying vocational careers over degrees, while stepping up to fill important jobs that keep America’s economy running.