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Building Globally Competitive Regions:
Coordinated Approaches to Economic
and Workforce Development

NAWDP 2012 Annual Conference
May 7, 2012
http://tipstrategies.com/geography-of-jobs/
Outline
• Skills shortage: fact or fiction and what does it
  mean for #econdev and #workdev?

• Why coordinating #econdev and #workdev is
  so difficult and what we can do about it

• Promising models—federal and state trends
  shaping environment for collaboration and
  how regions are responding

May 7, 2012 | NAWDP 2012 Annual Conference
http://www.statesman.com/business/state-could-face-shortage-of-skilled-trade-workers-2295654.html
Meme (mēm)

Unit of cultural
information, such as a practice
or idea, that is transmitted
verbally or by repeated action
from one mind to another
http://research.stlouisfed.org/fred2/


May 7, 2012 | NAWDP 2012 Annual Conference
Manufacturing: Highest Priority?
                                                                          Annual Median
Rank Occupation                                                         Openings  Wage
1                 Sales and related                                      920,329   $13.26
2                 Office and administrative support                      747,477   $14.81
5                 Business and financial operations                      410,511   $23.12
8                 Healthcare practitioners and technical                 332,311   $32.16
9                 Transportation and material moving                     328,948   $14.64
10                Production                                             266,598   $14.99
13                Arts, design, entertainment, sports, and media         213,697   $14.03
16                Computer and mathematical science                      139,654   $32.55
18                Community and social services                          100,676   $16.40
    Source: EMSI. Annual openings are 2006-2011. Median wage is 2011.


May 7, 2012 | NAWDP 2012 Annual Conference
Projected Openings (No Degree)
                                                                       Annual Median         Training
Occupation                                                           Openings  Wage      Requirement
Customer service representatives                                      111,781   $14.53      Moderate
Truck drivers, heavy and tractor-trailer                               65,317   $17.95          Short
Bookkeeping, accounting, audit clerks                                  52,532   $15.47      Moderate
Licensed practical, vocational nurses                                  38,912   $18.96 Postsec award
Maintenance and repair workers                                         37,908   $15.95      Moderate
Insurance sales agents                                                 35,206   $16.25 Postsec award
Construction laborers                                                  28,259   $14.57      Moderate
Industrial truck and tractor operators                                 21,249   $14.20          Short
Medical assistants                                                     21,249   $14.20      Moderate
Automotive service techs & mechanics                                   20,728   $18.14 Postsec award
 Source: EMSI. Annual openings are 2006-2011. Median wage is 2011.


May 7, 2012 | NAWDP 2012 Annual Conference
Skilled Trades Shortage? (Texas)
• 2,500 job postings out of 367,000 total jobs in
  skilled trades (0.7% posting/job ratio compare
  to 0.9% for all occupations)

• Job Printers (9.2%), Stationary engineers and
  boiler operators (5.5%), Numerical tool and
  process control programmers (4.8%)

• Machinists (0.5%), Welders (0.4%)
Source: EMSI, Indeed. Definitions of skilled trades by SOC from Virginia Manufacturers Association.


May 7, 2012 | NAWDP 2012 Annual Conference
More Urgent Shortages? (10x avg)
                            Computer specialists                                                                        33%
                               Physician assistants                                                               29%
Occupational therapist assistants                                                                           23%
Agricultural & food science techs                                                                     14%
                              Chemical engineers                                                      14%
                                        Sales engineers                                            14%
       Speech-language pathologists                                                                13%
                                        Sales managers                                            12%
                     Occupational therapists                                                     12%
            Physical therapist assistants                                                       10%

                                                                             0%            5% 10% 15% 20% 25% 30% 35% 40%

Source: EMSI, Indeed. Data is for Texas, selected occupations with at least 300 job postings.


May 7, 2012 | NAWDP 2012 Annual Conference
http://nistmep.blogs.govdelivery.com/2012/04/26/skills-gaps-or-wage-gaps/
Retiring Boomers
70%
                Total Occupations
60%             Skilled Trades
                                                         51%
50%                                 46%
40%                                          37%   36%
30%

20%
                12%
10%                   6%                                       4% 5%
   0%
                 19-24                25-44         45-64       65+

Source: EMSI.


May 7, 2012 | NAWDP 2012 Annual Conference
Why does this matter?
• Not just an academic
  argument—important
  implications for policy
• Employer-driven or
  people-driven?
• Need better insight to
  drive investments and
  regional partnerships

May 7, 2012 | NAWDP 2012 Annual Conference
Coordinating #econdev and #workdev
Why is this so difficult?
• #econdev is usually reactive, secretive, and
  negotiated under unforgiving timelines

• Most companies and #econdev practitioners
  have poor understanding of #workdev

• Performance measures are usually not aligned
  in a way that motivates collaboration


May 7, 2012 | NAWDP 2012 Annual Conference
#Econdev Pearls of Wisdom
• #Workdev is where
  unemployed people
  go to get benefits
• What does #workdev
  know about industry?

• We can always go to
  #workdev later for
  training money
May 7, 2012 | NAWDP 2012 Annual Conference
How I Learned to
Stop Worrying and
  Love Economic
    Developers


        Image by: fivetwelvestudios.com
Partnership Opportunities
• Economic developers love data. They just
  don’t want to have to do it themselves.

• Economic developers love grants. They just
  don’t want to have to write them or master
  the nuances of federal agencies.

• Economic developers love winning. Help them
  see workforce as a competitive advantage.

May 7, 2012 | NAWDP 2012 Annual Conference
http://www.wfscapitalarea.com/images/stories/full%20report_state%20of%20workforce.pdf


May 7, 2012 | NAWDP 2012 Annual Conference
Look for opportunities to align programs, such as
using the WIB board as CEDS committee or using
    the same data analysis for environmental
   scans, target occupations, and CEDS annual
                     update.
http://clustermapping.us
http://clustermapping.us
http://www.statsamerica.org
http://www.statsamerica.org/innovation
Custom Regions allows
you to get past the data
 challenges of service
   area boundaries.




               http://www.statsamerica.org/innovation
http://www.statsamerica.org/innovation
http://www.pennyrilefuture.com
http://www.reditn.com
Federal/State Context:
Washington & Governors Go “Bottom-Up”
http://www.americanprogress.org/issues/2011/11/jobs_accelerator.html
http://www.whitehouse.gov/the-press-office/2012/02/21/we-can-t-wait-obama-administration-announces-steps-boost-rural-economy-p
http://www.nado.org/mobilize-maine-asset-based-regional-economic-development/
With direct and deliberate consideration and a new collaborative learning process, effective bridges can be built
  between areas that are experiencing innovation-driven growth and those that are economically distressed.




                                                                                            http://www.spurinitiative.org/
http://www.unitedtribestech.com/news/story/102711_02.asp


May 7, 2012 | NAWDP 2012 Annual Conference
Wordle™ of remarks prepared for delivery by Matt Erskine, Acting Assistant Secretary of Commerce for Economic
Development, at National Association of Development Organizations 2012 Washington Policy Conference in Arlington, VA, on
                                                                                                        March 20, 2012.
http://nyworks.ny.gov
http://www.colorado.gov/cs/Satellite/OEDIT/OEDIT/1251595201376
http://ceds.alabama.gov
http://www.nctomorrow.org
Summary: #Workdev Call To Action
• Challenge conventional wisdom and help us
  improve our understanding of #workdev

• Be aggressive about pursuing new federal
  inter-agency funding opportunities

• Think broadly about opportunities for
  partnerships and take risks


May 7, 2012 | NAWDP 2012 Annual Conference
Brian Kelsey, Principal
Civic Analytics LLC
brian@civicanalytics.com
512-731-7851
         http://civicanalytics.com

         @brianjkelsey

         facebook.com/economicdevelopment

         linkedin.com/in/brianjkelsey

May 7, 2012 | NAWDP 2012 Annual Conference

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NAWDP 2012 Annual Conference