#United States #Washington #Skills-based Hiring #Opportunity@Work #STARs

Opportunity@Work Unveils a New Policy Playbook

In preparation for the upcoming midterm elections, Opportunity@Work has introduced a comprehensive Policy Playbook intended to facilitate the transition to a skills-based hiring approach across the United States. This nonprofit organization, dedicated to creating a labor market that prioritizes skills over traditional credentials, aims to enhance opportunities for over 75 million skilled workers in the country.

The Policy Playbook, aptly titled Building an AI-Ready Workforce: A Policy Playbook for a Skills-Based Labor Market, offers a valuable resource for public-sector leaders. This document includes model policy language, guidance on implementation, and practical examples to help policymakers implement skills-focused initiatives effectively. This initiative seeks to address the current labor market's challenges by ensuring that workers are recognized for their capabilities rather than simply their educational credentials.

As voters in 36 states prepare to elect governors and local leaders, this Playbook arrives at a crucial juncture. The need for a responsive and adaptable workforce is paramount, especially given the rapid changes brought about by technological advancements and economic shifts. The Playbook includes ready-to-use model executive orders and legislative options, case studies, best practices, and tangible guidance for effective policy implementation.

More than 30 states have already made significant strides toward skills-based hiring, with notable leadership from governors who have taken proactive measures to eliminate unnecessary degree mandates. Maryland serves as a prime example, having collaborated with Opportunity@Work in 2022 to pioneer efforts aimed at rectifying hiring biases that exclude talented workers from non-traditional educational backgrounds. This collaboration is essential as the organization strives to create a more inclusive labor market.

The Playbook serves as a practical guide for various stakeholders, including policymakers, agency heads, and advocates operating at the state and local levels. Its purpose is to turn skills-centric goals into actionable policies, fostering collaboration among stakeholders and employing data-driven approaches to assess effectiveness.

Blair Corcoran de Castillo, Senior Vice President of Public Sector Policy at Opportunity@Work, emphasizes the importance of this initiative, stating, "The public sector has been at the forefront of advocates for skills-based hiring. As AI continues to transform job roles and required skills, smart policy is critical in building systems that recognize the talents of millions of U.S. workers, particularly STARs, or those Skilled Through Alternative Routes."

The release of the Policy Playbook aligns with the organization's focus on creating pathways for success amid an evolving labor landscape influenced by AI. The accompanying research report, Reach for the STARs, investigates how AI impacts job transitions and the skills workforce needs. Notably, this report finds that approximately 50% of the U.S. workforce consists of STARs, who have gained expertise through alternatives to a four-year degree, such as community colleges, military training, and on-the-job experience.

Research have shown that the tasks performed by workers are fundamental to skill development. As AI technologies reshape job responsibilities, it is imperative to ensure that workers have access to various pathways that enable skill building and advancement, reducing disparities in hiring and promotion.

Furthermore, Opportunity@Work’s analysis of job transitions highlights skill similarity as a critical factor in career progression. The organization reveals that changes have begun to emerge, with an increase of 783,000 STARs now occupying well-paid roles—an positive deviation from previous trends. This shift highlights the potential for proactive policies to cultivate an environment where workers can thrive.

Notably, as employers gradually remove rigid degree requirements and focus on skills demonstrated by candidates, there has been an increase in the willingness of employers to consider STARs for open positions—77% of employers are now more likely to hire STARs compared to just a few years ago.

In summary, Opportunity@Work’s newly released Policy Playbook is a significant step toward integrating skills-based policies into hiring practices, particularly as the nation heads into a decisive election season. With the growing understanding that skills are foundational to successful job performance and advancement within the labor market, this initiative positions itself as a crucial resource for all stakeholders involved in shaping the future of work in America.

For more details about the Policy Playbook or the Reach for the STARs data initiative, please contact Rena Ramirez at [email protected].

About Opportunity@Work
Opportunity@Work is a nonprofit organization dedicated to transforming the U.S. labor market for the over 75 million workers who are Skilled Through Alternative Routes (STARs). Through collaborative efforts with various partners across sectors, Opportunity@Work strives to promote upward mobility opportunities and increase economic prospects for these skilled workers. By 2035, the organization aspires to connect 1 million STARs with 10 million jobs, thereby generating an additional $100 billion in earnings. To learn more, visit www.opportunityatwork.org.