TAWB EDUCATION PAPER 2014 By Tyane Dietz

ABOUT TAWB The Texas Association of Workforce Boards Members represent the 28 local Workforce Development Boards (Workforce Solutions) in Texas Majority of members represent the private sector (approx. 750 businesses statewide); all are volunteers Make recommendations on workforce development, education and training from the employer’s perspective, in order to ensure a future workforce that will be ready to meet the needs of employers and grow the state’s economy

TAWB’s Primary Objective Address employer workforce needs and labor market trends on an on-going basis

Texas’ Economic Health The health of a state’s economy is largely influenced by the composition and characteristics of its current and future workforce 1. Dictates the jobs and employers it can support and retain 2. Dictates new employers and new jobs it can attract 3. Dictates the standards of living enjoyed by the workforce

If Texas Were a Country Ranked 14 th worldwide for Gross Domestic Product, ahead of South Korea and Indonesia, in 2012 Texas competitive advantage will not continue unless we make significant changes in our approach to education and the preparation of the workforce Ranked 10 th worldwide for Gross Domestic Product, ahead of Russian, India and Brazil, in 2008

Skills Gap A significant gap between an organization’s current capabilities and the skills it needs to achieve its goals. It is the point at which an organization can no longer grow or remain competitive because it can not fill critical jobs with employees who have the right knowledge, skills and abilities.

Fueling the Skills Gap By 2020: 1. 37% of the working population will be 55 or older 2. Shortage of 1.5 million college graduates in the workforce 3. The number of workers with a high school diploma or less will increase 4. The number of jobs requiring postsecondary education and certifications will rise By 2030: million Baby Boomers will have left the workforce

Texas Educational Attainment 19 of 100 Texas 8 th graders complete a post-secondary credential within 11 years; only 11 of 100 Hispanic or African American 50th in percent of people 25+ years who have completed high school or have GED (81.1%) 30th in percent of people 25 years and over who have completed a bachelor’s degree (26.4%) 41st in percent of 18 to 24 year-olds enrolled in colleges and universities (39.6%)

Projected Labor Force Education Attainment Rates

Expected Declines In Household Income

TEXAS FAST GROWING SCHOOL AGE POPULATION (Age 5-17) Grew by 675,000 students to 4.9 million from , In ,000 English Language Learners (17%) enrolled in public schools, 91% of those spoke Spanish Between Projected to grow by 4.5 million to 9.4 million (91.5%)

Texas’ Changing Demographics Texas will continue to see explosive population growth 35.8 million by 2040) The percentage of the population 65+ will nearly double (18% by 2040) Our population will continue to shift to urban areas Hispanics will be majority in every age group under age 60

TAWB’S Conclusion: Our K-12 education system requires significant changes for Texas businesses to effectively compete in the global economy of the future. TAWB’S Solution Educate and prepare our future [and current] Texas talent supply to meet the current and future needs of Texas employers

Preparing Our Workforce We must stop focusing on high school as the start and end point for the training of our emerging workforce. Grades K-8 must be the central focus of education and workforce development

PRE-K TO CAREERS MODEL 1. Provide career path information to students from pre-K through middle school, and beyond 2. Renew focus on basic literacy and numeracy in pre-K and elementary 3. Ensure students read and perform math at the high school level before exiting middle school 4. Teach problem solving, critical thinking and working in groups

PRE-K TO CAREERS MODEL Continued 5. Stop teaching to tests 6. Curriculum is context based 7. Improve teacher quality 8. Expand Career and Technology Education (CTE) – Dual Credit and Industry Certifications 9. Expand STEM Pipeline

Other Recommendations Postsecondary Alignment Degree and Certificate Programs to Careers Research and Investments to Job Creation and Economic Development High School Exit Tests to College Entrance Exams

Business--Education Partnership School officials across the country rank businesses and business coalitions as the most important partnerships moving forward Businesses outranked 1. Parent Organizations 2. Booster Clubs 3. Chambers of Commerce 4. Existing Community Partnerships

The Role of Business Business—Education Partnerships should develop and implement master plans for their regions 99% of Texas Employers surveyed said the government and educational institutions were not doing enough to prepare the workforce 49% of those employers said they had never contacted anyone to explain what it is they want from the education system

BUSINESS-DRIVEN EDUCATION SYSTEM Regional partnerships between employers and educators Organized by relevant industry clusters/sectors Focused on education and skills demanded by regional employers Focused on an evolving and in-demand talent pipeline Focused on continuous process improvement

What Businesses Can Do Now 1. Participate in career fairs 2. Allow on-site field trips 3. Teach subject matter when asked 4. Mentor 5. Community Outreach – let parents know what we need and will hire

OUTCOMES OF A BUSINESS DRIVEN EDUCATION SYSTEM 1. Produces employees with knowledge and skills needed by employers 2. Aligns curriculum at all levels with actual jobs 3. Creates seamless pathways to good jobs 4. Addresses talent shortage 5. Eliminates need for remedial education at college level 6. Produces graduates with the fundamental skills needed for lifelong learning 7. Provides paths for up-skilling/re-training incumbent workers

Education = Economic Development The two most significant growth drivers for Regions 1. Talent 2. Innovation Regions with a competitive advantage consistently support innovation and velocity of innovation

TALENT + INNOVATION = ECONOMIC DEVELOPMENT A Region will not yield the best if a region does not cultivate the best

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