Interesting article highlighting the need for
standardized technical skills.
Why Companies Don't Train
Workers Anymore
Photograph by Ty Wright/Bloomberg
Yesterday my colleague, Matthew Philips, raised an interesting question about the skill gap, pointing to new research that claims the problem is not that workers are unqualified, but that companies’ expectations have changed: They are no longer investing resources in training their staff.
It’s not hard to see why. Training is expensive, and Philips notes that people now spend less time in their jobs, which lowers the expected return on the training investment. Craig Copeland, of the Employee Benefit Research Institute, estimates that in 1983, almost 60 percent of men (ages 45 to 49) had been at their job for more than 10 years. In 2012, only 45 percent had been. Rates of long-term tenure fell for all men under age 60.
If we want companies to revive a commitment to on-the-job-training, it’s worth asking what created our current nation of job hoppers. There are plenty of reasons, including the decline in union membership and the increased portability of benefits. The changing nature of work itself has also encouraged more frequent job changes. When jobs required unique, specific skills, training paid off; it was also harder for a worker to translate his experience into a new environment. Technology, in part, has made some skills far less specific. Take car manufacturing. According to the Center for Automotive Research, auto assembly now requires less mechanical ability and more technical skills—skills that are more standardized. Once, the skills you learned at General Motors were fairly specific to GM; now it’s easier to take them to Ford.
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