INDIANA NEWS SERVICE - A new report predicted Indiana and the rest of the country are heading toward a skilled labor shortage as millions of baby boomers plan to retire.
The study estimated by 2032, the U.S. will need more than 5 million additional workers with a post-high school education.
Nicole Smith, chief economist at the Georgetown University Center on Education and the Workforce and the report's co-author, said the report found some of the most concerning shortages are expected in industries requiring a college degree.
"It is most noticeable in managerial professions, which are, of course, along all aspects of industry," Smith reported. "We talk about registered nurses and nurse practitioners that have significant shortages, of course, education and teaching. So, this should come as no surprise."
The report revealed the U.S. is expected to face a shortage of more than 600,000 teachers and child care workers by 2032. Only about 57,000 of the jobs will require a high school diploma or less. Indiana's population trends in 2024 show a decline in births and increasing death rates, raising questions about whether the state's population can support the needed labor force growth.
The report noted if current trends continue, skills shortages could negatively disrupt the U.S. economy and broader social well-being for years to come. Smith pointed out there is also an immigration issue, arguing U.S. politicians have taken a very assertive strategy toward limiting immigration of both skilled and unskilled workers.
"If we focus only on the skilled, we see what happened recently with the legislation changed to H-1B visas," Smith observed. "Those visas predominantly were held by people in the technology sector to people in health care."
Smith believes the U.S. must increase competition levels to retain top talent or risk tanking the economy, slashing tax revenue and slowing productivity. The report urged policymakers to boost education for high-demand jobs by investing in training and support for workers reentering the job market. Recommendations included expanding loan forgiveness, employer or government-funded training and more apprenticeships or learn-and-earn programs.
Terri Dee wrote this article.
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