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Sunday, November 25, 2012

Fake skills gap. Fake need for training too? : blue cheddar

Fake skills gap. Fake need for training too? : blue cheddar:


Fake skills gap. Fake need for training too?

There’s a must-read article over at NYTimes. As part of his exploration into the mysterious American “skills gap” crisis, author Adam Davidson speaks to the CEO of a Milwaukee manufacturer and learns this: “At GenMet, the starting pay is $10 an hour. Those with an associate degree can make $15, which can rise to $18 an hour after several years of good performance. From what I understand, a new shift manager at a nearby McDonald’s can earn around $14 an hour.” The secret behind this skills gap is that it’s not a skills gap at all. I spoke to several other factory managers who also confessed that they had a hard time recruiting in-demand workers for $10-an-hour jobs. “It’s hard not to break out laughing,” says Mark Price, a labor economist at the Keystone Research Center, referring to manufacturers complaining about the shortage of skilled workers. “If there’s a skill shortage, there has to be rises in wages,” he says. “It’s basic economics.” So if the skills gap is laughable, what are we to make of Scott Walker repeating the skills gap meme during the state of the state address and on the recall campaign trail and pushing CNC machinist more »