Skill, education and credentials in the new economy: the case of information technology workers

Abstract

According to many social commentators, we live in a ‘new economy’ in which the nature of work is changing at a rapid pace. Technological change, organizational restructuring, and globalization appear to be having a dramatic impact on the nature and availability of work. Many researchers have demonstrated how labour in the new economy is increasingly contingent and insecure (Castells, 2000a; Cranford et al., 2003; Kalleberg, 2000). Workers face greater risk and uncertainty (Beck, 2000; Castells, 2000a; Smith, 1997). They are encouraged to be flexible, adaptable, and accepting of frequent changes in job content and location (Castells, 2000b; Smith, 1997). While some commentators argue that these changes allow workers more autonomy, flexibility and creativity, others emphasize experiences of job loss, insecurity and stress (Cranford et al., 2003; Sennett, 1998). Widely debated is the impact of this so-called ‘new economy’ upon workers’ skills and education patterns. Over the past several decades, some researchers have argued that economic and technological change has increased the demand for skilled, educated workers (Bell, 1973). Expanding use of computer technologies is said not only to raise, but also to change, the skills required at work, increasing demand for people with problem-solving and analytical skills (Zuboff, 1988: 75). For many observers, the new economy is a knowledge economy, where intelligence and education are rewarded and valued as never before (Karoly and Panis, 2004). Statistics reveal steady growth in jobs requiring higher education, especially in the information technology field