Worker Skills and Job Requirements: Is There a Mismatch?

Abstract

This publication provides an overview of the current skills mismatch debate in the US. The prevalent belief is that the education and skills of American workers are inadequate in terms of the demands of jobs in the modern economy. The view is that these mismatches will worsen as the workplace becomes more service-oriented and ‘high-tech’. The author suggests that many assumptions about the skills mismatch in the US labour market do not hold true on closer examination. It is argued that, although improving education and training are still important, the skills of American workers are not as weak as they appear nor are job requirements changing as quickly as popularly thought. The study takes a closer look at the available research and, finding it limited and not entirely consistent, questions the existence of the skills mismatch so frequently asserted. One clear message to emerge from the study is that better data on issues relating to skills mismatch in the labour market is required. The chapters are as follows: Introduction; Skills mismatch as a social problem; Workers’ skills: education and test scores; Job skill requirements: trends and cross-sectional evidence; Evidence for skills mismatch; Conclusion.