Today we are living through the double phenomenon of unemployment and skills shortages. In a world with a population of 7 billion people, 3.1 billion people work and there is an under-employment rate of nearly 20%. There is also a rate of 7% unemployment and 13% part-time or temporary workers. Young people are most affected according to the OECD which estimates this group has 14.2% unemployment, hence the urgency to develop action plans, particularly in France with the development of apprenticeship contracts (see my post of ....). In addition to these dismal figures, a study done by the employment agency Manpower concludes that 34% of employers worldwide complain about not finding the skills they need. This paradox can be explained by the rise in skilled employment.
The McKinsey Global Institute separates employment into three main categories of jobs:
- The job of transformation in which the employee uses their hands or a machine to make something (industry or construction)
- The job of transactions where the employee facilitates the exchange of goods or services (Banks, distribution)
- The job of interaction where the employee uses his knowledge or expertise to create value and often co-produce with the client.
The first type of work is in decline in developed countries, which thus benefits emerging countries, and the second type is starting to be weakened with the arrival of new technologies that automate more and more transactional work.
However, there is a shortage for the third type, hence the need to develop rigorous training programs in companies. This will not only allow people and companies to have the necessary skills for the jobs of tomorrow, but also give them a competitive edge. In particular, this can be done with corporate universities, which I touched on in this blog recently. There is also the need to mobilise the people themselves so they can take over the management of their employability with the creation of things like training savings accounts, training checks, or tax credits for training.
With these two things, developing training in companies and giving employees the possibility to control their employability, we can overcome the battle for skills in the upcoming years, which will reduce unemployment, ensure our economic development and maintain social peace.