Tag Archives: skilled labor

Deskilling

Is a lack of demand for skilled labor contributing to America's stubbornly high unemployment rate?

What explains the current low rate of employment in the U.S.? While there has substantial debate over this question in recent years, we believe that considerable added insight can be derived by focusing on changes in the labour market at the turn of the century. In particular, we argue that in about the year 2000, the demand for skill (or, more specifically, for cognitive tasks often associated with high educational skill) underwent a reversal. Many researchers have documented a strong, ongoing increase in the demand for skills in the decades leading up to 2000. In this paper, we document a decline in that demand in the years since 2000, even as the supply of high education workers continues to grow. We go on to show that, in response to this demand reversal, high-skilled workers have moved down the occupational ladder and have begun to perform jobs traditionally performed by lower-skilled workers. This de-skilling process, in turn, results in high-skilled workers pushing low-skilled workers even further down the occupational ladder and, to some degree, out of the labor force all together. In order to understand these patterns, we offer a simple extension to the standard skill biased technical change model that views cognitive tasks as a stock rather than a flow. We show how such a model can explain the trends in the data that we present, and offers a novel interpretation of the current employment situation in the U.S.

He’s More Than a Dirty Guy

Mike Rowe, the Dirty Jobs dude, testified before Congress about the lack of skilled labor we have in the US and the related problem of the marginalization of vocational education in our society:

I believe we need a national PR Campaign for Skilled Labor. A big one. Something that addresses the widening skills gap head on, and reconnects the country with the most important part of our workforce.

Right now, American manufacturing is struggling to fill 200,000 vacant positions. There are 450,000 openings in trades, transportation and utilities. The skills gap is real, and it's getting wider. In Alabama, a third of all skilled tradesmen are over 55. They're retiring fast, and no one is there to replace them.

Alabama's not alone. A few months ago in Atlanta I ran into Tom Vilsack, our Secretary of Agriculture. Tom told me about a governor who was unable to move forward on the construction of a power plant. The reason was telling. It wasn't a lack of funds. It wasn't a lack of support. It was a lack of qualified welders.

In general, we're surprised that high unemployment can exist at the same time as a skilled labor shortage. We shouldn't be. We've pretty much guaranteed it.

In high schools, the vocational arts have all but vanished. We've elevated the importance of "higher education" to such a lofty perch that all other forms of knowledge are now labeled "alternative." Millions of parents and kids see apprenticeships and on-the-job-training opportunities as "vocational consolation prizes," best suited for those not cut out for a four-year degree. And still, we talk about millions of "shovel ready" jobs for a society that doesn't encourage people to pick up a shovel.

I think he's absolutely right.  College isn't for everyone.  Desk jobs aren't for everyone.  Our society needs to get back to the point where we applaud and appropriately reward hard work, whether or not it takes place on a computer or in a ditch.

By the way, my favorite part of his testimony was at the beginning when he was talking about his grandfather, a jack of all trades, who inspired him to create Dirty Jobs:

I remember one Saturday morning when I was 12. I flushed the toilet in the same way I always had. The toilet however, responded in a way that was completely out of character. There was a rumbling sound, followed by a distant gurgle. Then, everything that had gone down reappeared in a rather violent and spectacular fashion.

Naturally, my grandfather was called in to investigate, and within the hour I was invited to join he and my dad in the front yard with picks and shovels.

By lunch, the lawn was littered with fragments of old pipe and mounds of dirt. There was welding and pipe-fitting, blisters and laughter, and maybe some questionable language. By sunset we were completely filthy. But a new pipe was installed, the dirt was back in the hole, and our toilet was back on its best behavior. It was one of my favorite days ever.

I loved this part because, quite frankly, I've held the role of Turd Man of Alcatraz for far too long and I'm in the midst of a long-term land war with my septic system.  Let's just say my appreciation and admiration of those who do the dirty jobs is quite high.