Building the workforce should be Ohio’s No. 1 priority
The Great Recession of the late 2000s was a crushing blow for the U.S. economy, but it was particularly devastating to Ohio — hundreds of thousands of lost jobs, unemployment over 11%, countless businesses shuttered and communities mired in hopelessness.
Understandably, job loss became the defining issue of the 2010 gubernatorial campaign between John Kasich and Ted Strickland, and following Kasich’s victory, jobs became the singular metric of the administration’s — and Ohio’s — economic success or failure. By that measure, the Kasich administration and his innovative economic development nonprofit Jobsohio succeeded, as during the eight years Ohioans created more than a half-million jobs and earned back all the jobs lost during the Great Recession. By 2018, there were more jobs in Ohio than at any point in state history.
Today, according to Ohio Means Jobs, there are more than 150,000 job openings in Ohio, with nearly 60,000 of them paying salaries of more than $50,000 per year. Simply put, today, unlike a decade ago, Ohio has the jobs. And while job numbers and employment will always be important measures of Ohio’s economy, increasingly the economic performance metric more important to Ohio businesses and our economic success is the number of workers in our workforce.
For the CEO members of the Ohio Business Roundtable and for businesses across the state, workforce development is the top priority, as employers cannot find the workers they need to fill current and future job openings. Exacerbating the problem is the fact that our workforce is aging and shrinking. Today, there are 330,000 more jobs in Ohio than there were in 2008, but there are 190,000 fewer Ohioans in the workforce.
Equally alarming, by 2028
Ohio is expected to have a net shortfall between jobs and talent of approximately 700,000 open positions. Until we can better align workers’ skills with the jobs of the future, Ohio’s economy cannot continue to grow.
Fortunately, Gov. Mike Dewine fully understands the enormity of this challenge, as evidenced by the fact that shortly upon assuming office, he designated his Lt. Gov. Jon Husted to lead Ohio’s workforce development efforts. As director of the Governor’s Office of Workforce Transformation, Husted has attacked the issue with aggression and innovation.
Ohio’s new Techcred program will help workers move up the value chain by attaining industry-recognized credentials for in-demand jobs, while helping employers hire Ohioans for stubbornly unfilled technology jobs. The administration has worked closely with the business community to accurately identify current and future hiring needs through the in-demand-jobs survey.
Further, the current state budget will provide micro-degrees to 10,000 incumbent workers to help them reskill and advance in their careers, and will also expand industry sector partnerships in which local businesses, education providers and community leaders can collaborate to ensure that schools are arming students with the skills they’ll need for the jobs that are out there.
While such measures represent great progress, government alone cannot solve this vexing problem. A number of Ohio’s largest businesses have taken it upon themselves to ensure their own future workforce needs will be met. To upskill its workers in a rapidly changing economy, Honda recently announced its plan to offer job training opportunities to 50,000 of its current and future workers by the year 2025.
Similarly, Huntington has partnered with Columbus State Community College and Franklin University to provide a career path for its entry-level workers, helping them attain a college education while maintaining their full-time jobs.
Finally, the Ohio Business Roundtable, in collaboration with AEP, the U.S Business Roundtable, Jpmorgan Chase and Columbus State, announced the creation of the Office of Talent Strategy — a strategic center for training workers for central Ohio’s workforce needs in data analytics, cyber security and cloud technologies.
Until Ohio can solve its workforce development issue, we are in danger of falling behind the states that solve theirs, as population and businesses look elsewhere in search of talent and workers. It is therefore imperative that businesses, policymakers, educators and the economic development community are working cooperatively and hand in glove to ensure that we are all rowing in the same direction.
If Ohio gets this right, every Ohioan benefits — business and labor, rich and poor, rural and urban, Republican and Democrat – and can all prosper and continue to call Ohio their home.