All Hands on Deck in Solving Philly's Workforce Challenges

The unemployment rate is hovering at its lowest mark nationally (and in the Philadelphia region) since the Great Recession of 2008. However, the labor force participation rate hasn’t come close to recovering since pre-recession levels. You can refer to the chart below from the Bureau of Labor and Statistics (BLS):

This decline in labor force participation is especially concerning, since employers’ demand for talent has been steadily increasing. 

Overlooked talent pools

Cities like Philadelphia possess significant groups of people who desperately need employment, but too often, they are not considered as candidates by employers who are hiring. These overlooked talent pools include (and are not limited to) previously incarcerated individuals, veterans transitioning back into civilian life, people with disabilities, and people struggling with homelessness. 

Because the well-being of our society depends on providing all people with the opportunity to be productive and realize their potential, the US Department of Labor and cities like Philadelphia are incentivizing employers to consider employing people with barriers to employment through laws and tax credits, such as:

• Work Opportunity Tax Credit
• Ban the Box or Fair Chance Hiring legislation
• Philadelphia Re-Entry Program (PREP) Tax Credit

Lack of awareness and time

However, many businesses which are struggling to find the right talent -- especially small businesses who account for the majority of net new jobs -- continue to overlook these talent pools, despite their need for talent and the incentives that are in place. This is a problem that stems from both time and awareness. Many business owners and executives are unaware of:

• The overlooked talent pools
• How to begin targeting these talent pools
• Why it makes financial sense to target these talent pools

Plus, business owners and executives do not have the time to figure out how to:

• Target these talent pools.
• Take advantage of incentives, such as tax credits. 

A collaborative solution

The solution to these workforce and societal challenges -- which are both macro and micro in nature -- involves true collaboration between government, nonprofits, and businesses. In Philadelphia, there are companies like Wash Cycle Laundry and Brown’s Super Stores which are working with government organizations (e.g., Philadelphia Works) and nonprofits (e.g., Back On My Feet) to satisfy their talent needs while employing people with barriers to employment.

In order to make this type of collaboration the norm instead of the exception, here are three areas that each sector must focus on improving:

• Federal, state, and local governments need to make it easier for people to discover and learn about overlooked talent pools, and how to take advantage of the incentives involved with employing people from these groups.
• Nonprofits in the workforce development space need to revamp their programming by reverse-engineering the talent needs of employers.
• Businesses need to do a better job of understanding their own talent needs, and communicating their needs to the government and nonprofit organizations that are on the front lines of workforce development. 

Let's get the conversation started

Please note that all three sectors will move towards each other by taking the actions described above. This is one of the reasons why we’re excited to get people from all three sectors in one room by co-hosting a panel discussion called "Workforce Win-Win: The Intersection of Business, Nonprofits, and the City of Philadelphia."

Here are the details:

• Thursday, June 8, 2017, 6:00 PM to 8:00 PM EST
• WeWork, 1900 Market St., Philadelphia, PA 19103
• REGISTER HERE FOR FREE