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Saturday, 05 November 2011 17:15 |
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T he United States unemployment rate was 9.1 percent in September, with millions of Americans looking for work, while there were scads of jobs that employers were unable to fill.
The problem, as we see it, is a mismatch between job openings and the skills of those looking for work. In economics jargon, this is termed a problem of “structural unemployment,” in contrast to the “cyclical unemployment” caused by a downturn in the business cycle.
“As businesses adapt to a shifting economy, they leave behind a glut of unemployed workers from waning industries who are not qualified for the new jobs being created,” Minn. Gov. Mark Dayton said recently.
The problem is serious because joblessness continues to be relatively
quite high. From 1948 to 2010, the U.S.’ unemployment rate averaged 5.7
percent, reaching an historical high of 10.8 percent in November 1982.
(A record low of 2.50 percent occurred in May 1953.)
Regarding possible solutions, we like the ideas of Peter Cappelli, management professor at the University of Pennsylvian.
Cappeli urged turning to some old-fashioned methods that companies used
to use, including apprenticeships and on-the-job training. Then figure
out ways to make them both attractive to job-hunters and affordable to
their employers.
The idea is time-tested and could pay off for savvy employers.
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