1. Moving Existing Workers Through the Education / Workforce Pipeline
John Keckhaver
Wisconsin Council on Children and Families
Special Committee on Building Wisconsin’s Workforce
September 23, 2008

2. Demographics and Workforce Facts
An aging workforce
In about 20 years the number of 65-year olds in the state will equal the number of 18-year olds, currently about twice as many 18-year olds.
(Source: Center on Wisconsin Strategy)
About 2/3rds of our 2020 workforce is already beyond the reach of our K-12 system.
(Source: Center on Law and Social Policy)
Already high work participation rate
70% vs. 66% nationally.
(Source: Bureau of Labor Statistics and Department of Workforce Development)

3. Adult Skill and Credential Levels Do Not Match Emerging Employer Needs
384,000 adults (25 and older) lack a high school credential.
Over 1.6 million Wisconsin adults at high school level or below.
(Source: U.S. Census Bureau)
24 of the 30 fastest growing occupations require postsecondary education or training.
(Source: Crosley, Adair and Brandon Roberts. Strengthening State Policies to Increase the Education and Skills of Low-Wage Workers. Working Poor Families Project. Spring 2007)
College graduates now earn 75% more than those with a high school diploma, 25 years ago the difference was 40 percent.
(Source: Duke, Amy-Ellen and Julie Strawn. Overcoming Obstacles, Optimizing Opportunities: State Policies to Increase Postsecondary Attainment for Low-Skilled Adults. Center on Law and Social Policy prepared for Breaking Through. March 2008.)

4. Adult Skill and Credential Levels Do Not Match Emerging Employer Needs
Employers report an inability to locate adequately skilled workers in a wide range of jobs, entry level to skilled manufacturing, health care, and others.
80 percent of employers in National Association of Manufacturers survey report a shortage of qualified workers overall, and
more than 90 percent report a moderate or severe shortage of qualified skilled production employees.
Employers report a lack of basic skills in addition to specific technical skills.

5. Resulting Challenge
How to bridge the gap between our workers’ skills and credential levels and what employers need for existing jobs and ones that would or could be created in the future – how to bridge the skills gap?
In most cases, that means how to help more existing workers gain postsecondary credentials and skills?

6. Adults in the Pipeline
Because of low-skills, many adults are not qualified to enter directly into postsecondary programs.
30% of students entering two-year colleges in Wisconsin required remedial education courses in reading, writing, and math in 2001.
11% of students entering Wisconsin’s four-year colleges needed remediation in math, 7% in English.
(Source: Jenkins, Davis and Katherine Boswell. State Policies on Community College Remedial Education: Findings from a National Survey. The Education Commission of the States. Summer, 2002.)
Completion rates of adult basic education are typically low and transition rates to postsecondary programs are very low (varying methods of measuring outcomes).

7. Adults in the Pipeline Challenges for Adult Learners
Family commitments
Limited time for study
Financial constraints
Lack of confidence and support from others
Lack of recent experience in academic arenas, low study and learning skills

8. Other States Taking Steps
Facing similar challenges, a number of states have taken steps to ensure that more adults get into and through postsecondary programs.
Streamlining of adult education/workforce training by contextualizing/co-teaching
Examining remedial education practices
Developing “bridge” programs to postsecondary
Providing enhanced student supports to returning adults
Designing financial aid that fits the financial needs and enrollment behavior of working adults

9. Other States Taking Steps
Washington State I-BEST program
Arkansas Career Pathways Initiative
Kentucky’s Adult Education – College Transitions Partnership Program
Ohio Career-Technical to Credit Transitions Project

10. Financing Adults in the Pipeline
Need-based aid is critical to many working adults
Challenges of traditional financial aid tools
Designed with the traditional student in mind – full load, can devote all or much of time and resources to their studies.
Often required to carry at least a half time load.
Earnings of working adults may disqualify them from receiving need-based aid.

11. Other States Taking Steps
Most state action has centered around enrollment status:
Georgia Hope Grant
Illinois Monetary Award Program
Massachusetts Need-based Tuition Waiver Program
Minnesota State Grants
Washington State Opportunity Grants

12. Recommendations Short term:
Invest in programming and financial aid proposals that are based on successful efforts elsewhere, such as the following:
Technical Colleges System
Next Generation Workforce proposals (includes efforts by individual colleges to contextualize basic education and build bridge programs)
University of Wisconsin System
Growth Agenda (including the Adult Student Initiative)
Opportunity Grants
Skills Jump Start Pilots (bridge program pilots)

13. Recommendations Long term:
Examine remedial and basic education practices.
Examine costs and benefits of larger scale financial aid eligibility changes (less than part time, income limit, undocumented students, etc.).
The legislature could ensure that statewide goals be established and worked toward – increasing completion rates of adult basic education and transitions to postsecondary programs, attainment of associate’s degrees and bachelor’s degrees.

14. Contact Information
John Keckhaver
Research Analyst
Wisconsin Council on Children and Families
555 West Washington Avenue, Ste. 200
Madison, WI 53703
x305