Transcript Welcome screen

Michigan
WorkKeys
Conference
Nov. 6, 2007
Dick Ferguson
CEO and Chair – ACT, Inc.
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Michigan WorkKeys Conference
Some Background on ACT
 Founded in 1959
 Education in the ’50s
 A not-for-profit 501(c)(3)
public trust
 Initial service: The ACT®
 ACT’s philosophy
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Michigan WorkKeys Conference
ACT’s Evolution
 Belief: College readiness begins early
 Linking the ACT to college AND career
planning
 Testing to inform decision-making
 Students, Parents, Counselors, etc.
 Creating a college readiness SYSTEM
 EXPLORE , PLAN , and the ACT
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Michigan WorkKeys Conference
ACT’s Evolution
 Development of College Readiness
StandardsTM, benchmarks
 Advocacy for rigor and partnerships
with states, districts, etc.
 Professional/occupational
assessments
 Expanding from college readiness to
work readiness
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Michigan WorkKeys Conference
ACT’s Evolution
ACT’s Workforce Development Division
 Developed in the late 1980s
 Early warnings: Impending crises
in the workforce
 Workforce readiness issues
similar to college readiness
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Michigan WorkKeys Conference
The Perfect Storm
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Michigan WorkKeys Conference
The Perfect Storm
Circumstances:
 Educational pipeline
 Increased reliance on immigrant
labor
 Retirement of baby boomers
 Global competition for natural
resources
 Outsourcing
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Michigan WorkKeys Conference
The Perfect Storm
Threats to the Workforce
Jobs require higher skills
 DOL: 80 percent of jobs will require
some postsecondary education
 DOL: 75 percent of employees must
be retrained to keep the jobs they
have
 Meanwhile, HR professionals report
difficulties in hiring workers with
essential skills
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Michigan WorkKeys Conference
The Perfect Storm
Threats to the Workforce
Shifting demographics:
 BLS: More than 25 percent of the working
population will reach retirement age by 2010
 By 2012:
 U.S. workers aged 55-64 will grow
51 percent
 U.S. workers aged 35-44 will decline
7 percent
 Hispanics: Fastest-growing segment of the
workforce
 However, one-third don’t have a diploma
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Michigan WorkKeys Conference
The Perfect Storm
Threats to the Workforce
Inadequate skills held by workers
 BLS: Employers estimate that skill
deficiencies are held by 39 percent of
incumbents and 26 percent of new
hires
 Adult Literacy Survey:
 50 percent of the U.S. population is
functionally illiterate
 52 percent of high school graduates lack
basic skills required to do jobs adequately
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Michigan WorkKeys Conference
The Perfect Storm
Education Pipeline – Are we preparing students?
ACT studies:
 Rigor at Risk (2007)
 In 2006, only one-fourth of
ACT-tested students met
ALL college-readiness
benchmarks
 1 in 5 met no benchmarks at all
 ACT Curriculum Survey (2007)
 65 percent of college instructors
say state standards prepare
students “poorly”
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Michigan WorkKeys Conference
The Perfect Storm
Skilled Labor Gaps – ACT WorkKeys® Data
0%
7
6
20%
43%
34%
0%
Job Profiles
9/02–8/07
5%
1%
18%
5%
5
32%
4
32%
3
7%
Below 3
4%
Applied Mathematics
6%
All Examinees
9/06–8/07
14%
4,164
N
6
5
4
36%
3
44%
0%
Job Profiles
9/02–8/07
Level
7
Below 3
Reading for Information
6%
17%
28%
25%
16%
8%
All Examinees
9/06–8/07
Level
423,739
3,890
N
421,582
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Michigan WorkKeys Conference
The writing on the wall:
 A Nation at Risk (1983)
 Countries matching/surpassing
U.S. educational achievements
 Educators losing sight of basic
schooling principles
 Foreign products gaining edge
 Other reports: Insufficient
number of skilled workers to
fill jobs
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Michigan WorkKeys Conference
The WorkKeys SYSTEM
 Multiple components:
 Job profiling
 Skills assessment
 Skill training
 Foundational Skills – applicable to
whole workforce
 2007 – Personal Skills added
 Helps employers avoid a ‘shotgun’
approach to training
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Michigan WorkKeys Conference
A ‘ruler’ for skills
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Michigan WorkKeys Conference
TM
 A career skills credential
to be used with diplomas,
resumes, etc.
 Powered by WorkKeys®
 WorkKeys – 14,000 jobs
profiled
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Michigan WorkKeys Conference
TM
Bronze
Automotive Body
Repairers
Butchers & Meat Cutters
Cooks, Cafeteria Workers
Furniture Finishers
Home Health Aides
Housekeeping
Supervisors
Janitorial Supervisors
Machine Set-up Operators
Painting & Coating
Workers
Refuse Material Collectors
Silver
Gold
Accounting Clerks
Computer Programmers
Auto Master Mechanics
Billing Clerks
Electricians
Environmental Engineering
Technicians
Licensed Practical Nurses
Machine Operators
Machinists
Medical Laboratory
Technicians
Executives
Instrumentation
Technicians
Librarians
Semiconductor Processors
Payroll Clerks
Pipe Fitters
Production Inspectors
Training & Development
Specialists
Vocational Education
Teachers
Wholesale & Retail Buyers
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Michigan WorkKeys Conference
TM
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Michigan WorkKeys Conference
TM
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Michigan WorkKeys Conference
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WHY?
 ONE credential, nationally
recognized
 Survives changes in government
 Has MEANING for employers
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Michigan WorkKeys Conference
Michigan – Leading the Way
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Michigan WorkKeys Conference
TM
 Grand Rapids, Mich. – WIRED
project
 Goal: 50,000 NCRCs issued by
2012
 Buy-in from more than 100
regional employers
 Michigan Merit Exam – Making
the NCRC available to ALL
Michigan students
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Michigan WorkKeys Conference
Surviving ‘The Perfect Storm’
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Michigan WorkKeys Conference
Surviving ‘The Perfect Storm’
 Adopt solutions that work
 Work together
 Embrace a common language –
related to skills
 Get business leaders to get
behind a skills-based message
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Michigan WorkKeys Conference
Michigan
WorkKeys
Conference
Questions/Comments?
www.act.org
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Michigan WorkKeys Conference