Narrative: II. a. 1. B.

“All tables, figures, and charts referenced in the narrative can be found on pages 15 through 72 at the following link:" http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Demographics of the State’s Economy

Age

The U.S. Census Bureau’s 2014 American Community Survey estimates West Virginia’s population 16 years of age and over at 1,510,708. Approximately 53.2 percent of this total is in the labor force, while 49.5 percent of those in the labor force are estimated to be employed. The unemployment rate for this population is 6.9 percent.

The population is separated by age group into seven categories. West Virginians aged 16 to 19 are estimated to number 91,827, with 32.9 percent in the labor force and 26.6 percent employed. The estimated unemployment rate for this group is 19.1 percent, the highest rate among all age groups. Many teenagers have difficulty finding employment because of lack of experience, and because some employers are unable or unwilling to hire teens due to strict labor laws and the inconvenience of scheduling around school functions and extracurricular activities.

The group of 20 to 24 year olds contains an estimated number of 122,531. Of these, 66.9 percent are in the labor force with an estimated 58.4 percent employed. The corresponding unemployment rate is 12.6 percent. In 2014, 97 unemployed within the age range of 19 to 24 exhausted unemployment benefits. In 2015, that number had risen to 227.

The group of 25 to 44 year olds contains 447,092, the largest number among all age groups. Approximately 74.7 percent are in the labor force, with 69.0 percent employed. The unemployment rate for this group is 7.3 percent. In 2014, 931 unemployed within the age range of 25 to 44 exhausted unemployment benefits. That number rose to 1,652 in 2015.

The group containing 45 to 54 year olds has 250,979 people, with 69.7 percent in the labor force and approximately 66.7 percent employed. The unemployment rate is 4.3 percent. In 2014, 473 unemployed within the age range of 45 to 54 exhausted unemployment benefits. In 2015, the number rose to 762.

Those 55 to 64 years of age number 269,224, with 51.3 percent in the labor force and 49.1 percent employed. The unemployment rate for this age range is 4.3 percent. In 2014, the number of 55 to 64 year olds who had exhausted benefits stood at 355, and rose to 668 in 2015.

The number of West Virginians 65 to 74 years of age is estimated at 190,573, with 19.7 percent in the labor force and 19.0 percent employed. The unemployment rate for this age group is 3.2 percent. In 2014, 112 unemployed 65 years and older exhausted unemployment benefits. In 2015, that number had risen to 189.

There are an estimated 138,482 West Virginians 75 years of age or older, with 5.5 percent in the labor force and 5.4 percent employed. The unemployment rate for this group is 2.1 percent, the lowest among all age groups.

Disability

According to the U.S. Census Bureau’s 2014 American Community Survey, West Virginia’s total civilian noninstitutionalized population 16 years of age and older is estimated at 1,481,670 with 343,794 having a disability and 1,137,876 having no disability6. Of this total civilian non– institutionalized population, 50.5 percent are employed. The percentage of those with some form of disability who are employed is 18.3 percent. The percentage of those with no disability who are employed is estimated to be 60.2 percent.

The percent of the total civilian noninstitutionalized population not in the labor force is estimated at 45.8 percent. The percentage of those with some form of disability who are not in the labor force is 78.7. The employed population age 16 and over is estimated to be 748,143. Of this number, 62,963 are estimated to have a disability, while 685,180 are estimated as having no disability.

The total number of West Virginians age 25 and older is 1,269,783, with 328,338 having a disability and 941,445 having no disability. The number of West Virginians 25 and older holding less than a high school diploma or its equivalent is approximately 14.6 percent. The percentage of West Virginians with a disability who did not graduate from high school is estimated at 28.1 percent.

Those state residents 25 and older with a high school diploma, GED, or alternative are estimated at 41.1 percent. An estimated 42.2 percent of residents with a disability are contained in this group. The percent of the population 25 and over with some college or an associate’s degree is approximately 24.9 percent. An estimated 21.1 percent of residents having a disability have some college or an associate’s degree. The portion of the population 25 and older who hold a Bachelor’s Degree or higher is 19.4 percent. An estimated 8.6 percent of West Virginians with a disability are contained within this group.

The West Virginia population age 16 and over for whom the poverty status is determined during the 2014 survey is estimated to be 1,464,695, with 343,308 estimated to have a disability and 1,121,387 having no disability. Approximately 16.7 percent of this total civilian non–institutionalized population was below 100 percent of the poverty level. An estimated 24.0 percent of those having a disability are found in this group. Those at 100 to 149 percent of the poverty level registered at 10.2 percent. An estimated 14.6 percent of those with a disability are contained in this group. Persons at or above 150 percent of the poverty level are estimated at 73.1 percent. An estimated 61.4 percent of individuals with a disability are found in this group. In 2014, the number of unemployed with a disability who exhausted their unemployment benefits was 31. This number nearly doubled to 59 in 2015.

Sex and Race

West Virginia’s population 20 to 64 years of age is approximately 1,089,826 with an estimated 66.9 percent in the labor force. An estimated 62.4 percent of 20 to 64 year olds are employed. The estimated unemployment rate for those aged 20 to 64 is 6.6 percent.

The population aged 20 to 64 years broken out by sex is 545,585 male and 544,241 female. It is estimated that 71.7 percent of males are in the labor force compared to 62.1 percent of females. The breakdown of the labor force 20 to 64 years of age shows that 66.2 percent of males and 58.6 percent of females are employed. In 2014, 807 females exhausted their unemployment benefits. This number jumped to 1,324 in 2015. The number of males exhausting their unemployment benefits stood at 1,158 in 2014 and climbed to 2,153 in 2015.

West Virginia’s population 16 years and older broken out by race and Hispanic or Latino origin stood at 1,510,708 during the 2014 survey period. Of this total, 1,424,805 are White, 54,624 are Black or African American, and 10,309 are Asian. Additional categories include two or more races at 15,016 and Hispanic or Latino origin (of any race) at 16,803. White alone, not Hispanic or Latino stood at 1,412,501.

In 2014, the number of unemployed who exhausted their unemployment benefits can be broken into the following: Hispanic 22, Asian 7, African American 98, and White 1,713. In 2015, this expanded to Hispanic 37, Asian 13, African American 202, and White 2,998.

Race and the Labor Force

The estimated racial breakout of the West Virginia labor force is as follows: 53.3 percent of the White population is in the labor force and 49.7 percent is employed; 51.5 percent of the Black or African American population in the state is in the labor force, and 46.6 percent is employed; 63.8 percent of the Asian population in the state is in the labor force, and 59.2 percent is employed. In additional categories, 48.9 percent of those of two or more races are in the labor force, with 43.1 percent employed; Hispanic or Latino origin (of any race) reported 56.5 percent in the labor force, with 49.6 percent employed; and White only, not Hispanic or Latino, has 53.3 percent of their population in the labor force, with an estimated 49.7 percent employed.

Education and the Labor Force

West Virginia’s population 25 to 64 years of age is 967,295, with 66.9 percent in the labor force and 62.9 percent employed. The estimated number of the state population who did not graduate from high school is 111,289, with 37.4 percent in the labor force and 32.5 percent employed. This group exhibits the lowest amount of employment among the categories of educational attainment, reinforcing the fact that jobseekers without at least a high school diploma experience greater difficulty in attaining employment than their counterparts.

Those with a high school or equivalent education number 392,169, with 63.0 percent in the labor force and 58.5 percent employed. Those with some college or an Associate Degree number 260,722, with 72.4 percent in the labor force and 68.0 percent employed. The number of state residents 25 to 64 years of age with a Bachelor’s Degree or higher is 203,115, with 83.5 percent in the labor force and 81.4 percent employed. The unemployment rate varies proportionately to the level of education obtained. The unemployment rate runs from 13.1 percent for those who have not obtained a high school level education, to 2.3 percent for those who have a Bachelor’s Degree or higher. A look at unemployment benefit exhaustees by education level provides expected results. In 2014, the number of unemployed with no more than a high school education who exhausted their benefits stood at 1,042, while the number of those with an Associate Degree was 66, the number with a Bachelor’s Degree was 150, and the number with a Doctorate Degree was 12. In 2015, these figures changed to High School Graduate at 1,794, Associate Degree at 124, Bachelor’s Degree at 299, and Doctorate Degree at 37, reinforcing the fact that despite a troubled economy, the more education one has, the more likely one is to find employment.

(ii) Labor Market Trends. Provide an analysis of key labor market trends, including across existing industries and occupations.

Population

West Virginia’s overall population is expected to decline by 0.5 percent from 2015 to 20207. Regionally, it is anticipated that significant population decreases will occur primarily in the south– west (Boone, Logan, McDowell, Mingo, Wayne, Wyoming), central West Virginia (Fayette, Clay, Roane, Ritchie), and the northern panhandle (Brooke, Hancock, Wetzel), while both the north– central region (Monongalia) and eastern panhandle (Berkeley, Hampshire, Jefferson) are expected to experience substantial growth. Correspondingly, the greatest employment gains are anticipated to occur in many of the aforementioned regions of the state.

Labor Force

The labor force participation rate8 (LFPR) in West Virginia has been declining since 2008, mirroring the national trend. The State’s average LFPR has historically been lower than the nation as a whole for several decades. West Virginia generally follows the national pattern, though it tends to go figure 5). During and immediately after the economic recession of the 1980s, West Virginia’s LFPR diverged significantly from the national LFPR. By the late 1980s, the State began to recover as the LFPR trended upward through the 1990s and early 2000s.

Figure 5 Annual Average Labor Force Participation Rates, 1976–2014 can be found on page 40 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

It is expected that the LFPR will continue to decline for both West Virginia and the U.S. Chart 1 depicts the U.S. Bureau of Labor Statistics (BLS) LFPR projection through 20249.

Chart 1: Change in labor force participation rate by sex can be found on page 41 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

While it is anticipated that the overall LFPR for the U.S. will decrease, it is likely that the West Virginia LFPR will experience a steeper decline due to the State’s relative age demographics. As of 2014, West Virginia ranks as the second–oldest state in the nation, with a median age of 42, compared to 38 for the U.S. Looking at the numeric change in employment by age group between 2010 and 2014, the largest increase was among those age 55 and older, while the biggest losses occurred in the 45–54 age group (Figure 6)10. By 2024, approximately 123,822 of workers in the 55–64 age group will have matriculated into the 65–99 age group. According to the latest Census data, only 19 percent of the 65–74 age group and 3.2 percent of those 75 and older were still employed in West Virginia’s workforce in 2014.

Figure 6 Employment Change by Age Group, 2010–2014 can be found on page 42 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Industries

The service–providing sectors continue to expand in both West Virginia and the Nation as a whole, while goods–producing sectors comprise less and less of the total state economy. It is expected that goods–producing sectors will decline by 2,548 while the service–providing sectors will add 115,081 jobs by 2022 (Figure 7).

Figure 7 West Virginia Industry Composition, 2012–2022 can be found on page 43 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Drilling down to more specific industry sectors it can be observed that, by far, healthcare–related industries and occupations are anticipated to have the fastest job growth through 202212. This is largely due to the expansion of West Virginia’s aging population, a significant driver of demand for health and social services. It is expected that the 65 Years Old or Older age group will increase from 16 percent of the State’s population to 22.9 percent by 203013. Another driver of the demand for healthcare is the relative health of the State’s citizenry. Overall, in 2015 West Virginia ranks 47th in the nation on health and well–being, with significant challenges in regard to Smoking (50th), Diabetes (50th), Drug Deaths (50th), Heart Disease (50th), Immunization (50th), Obesity (49th), and Cancer Deaths (48th)14. Other service–providing sectors where strong growth is anticipated include Education; Professional and Business Services, Government; and Trade, Transportation, and Utilities (Figure 8).

Figure 8 West Virginia Growing Industry Sectors, 2012–2022 can be found on page 44 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Among the goods–producing sectors, the industries anticipated to experience the greatest decline are Manufacturing and Natural Resources and Mining (Figure 9). Most of this decline is a result of the downturn in the demand for coal; however, some of the losses are slightly offset by recent growth in natural gas extraction industries. It is expected that as infrastructure work in natural gas pipelines and structures is completed, employment in these industries will level off and begin to decline by the end of the current decade and into the early 2020’s.

Figure 9 West Virginia Declining Industry Sectors, 2012–2022 can be found on page 45 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Turnover rates are another important aspect to consider in reviewing employment trends. Turnover rates can vary by industry and by a variety of demographic characteristics, such as education, race, sex, and age. In West Virginia, industry sectors with the highest average turnover rates include Accommodation and Food Services; Arts, Entertainment, and Recreation; and Administrative and Support and Waste Management. Sectors with the lowest turnover rates include Utilities, Educational Services, and Government (Figure 10). High turnover rates in industry sectors can indicate a number of possibilities, including, but not limited to, seasonality, short business cycles, part–time employment status, employee dissatisfaction, and health risks.

Figure 10 Average Turnover Rates by Industry Sector, 2010–2014, West Virginia can be found on page 46 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Among the various demographic characteristics, between 2010 and 2014 turnover rates were higher among males (9.0%) compared to females (8.1%). In regard to race, turnover rates were lowest among Whites (8.4%) and Asians (9.2%); the highest turnover was among Native Hawaiians (11.7%), African Americans (11.9%), American Indians / Alaska Natives (12.1%) and Mixed Race (12.6%). Turnover rates were highest among those age 14–24 and lowest among those age 45–64. Also, higher levels of education corresponded with lower levels of job turnover, with the average turnover rate for those with less than a High School diploma at 9.4 percent compared to 7.1 percent for those with a Bachelor’s degree or higher.

From a regional perspective, overall employment turnover ranged from 9.3 percent in Workforce Investment and Opportunity Act Region 1, to 7.8 percent in Workforce Investment and Opportunity Act Region 5 (Figure 11).

Figure 11 Average Regional Turnover Rate, 2010–2014 can be found on page 47 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Occupations

Healthcare–related occupations dominate the list of highest growing jobs through 2022. Of the top 10 occupations with the most annual growth openings, six are healthcare related. Those six include Registered Nurses, Licensed Practical Nurses, Home Health Aides, Personal Care Aides, Nursing Assistants, and Medical Assistants16. Again, as with industry sectors, service–providing occupations in general are expected to have the highest growth. The number of new jobs by major occupational group can be observed in Figure 12. The groups with the highest expected growth include Healthcare Practitioners; Personal Care and Service; Healthcare Support; Office and Administrative Support; Food Preparation and Serving; and Education, Training, and Library occupations.

Figure 12 West Virginia Growth by Major Occupation Group, 2012–2022 can be found on page 48 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Regionally, Healthcare Practitioners was the highest growth occupation group across all seven of West Virginia’s WorkForce Innovation and Opportunity Act (WIOA) regions. Commonalities among all seven regions include Healthcare Practitioners and Healthcare Support near the top of the rankings, Personal Care, Food Preparation, Education, and Office and Administrative Occupations. It is difficult to overstate the demand for healthcare in West Virginia. The top six occupational groups ranked by growth for each WIOA region can be seen in Table 6.

Table 6 Occupational Groups ranked by Growth within WorkForce Region, 2012–2022 can be found on page 49 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

While there are many commonalities that speak to the economic direction of the state as a whole, there are unique characteristics found in some of the regions. (See Figure 13 for a regional map). Region 1

Region 1, represents the south–eastern portion of West Virginia. Growth by occupational group generally follows the pattern of the state, and does not vary in any statistically significant manner. In regard to declining sectors, it is expected that Coal Mining, which is a substantial portion of the region’s employment, will see the largest job losses17.

Region 2

Region 2, which represents the south–western section of West Virginia, also does not vary significantly from the state in regard to occupational job growth. However, this region is known for its high concentration in Coal Mining, which, as in Region 1, is anticipated to be the industry experiencing the most job losses through 2022.

Region 3

Region 3 is in the unique position of representing only a single county: Kanawha. The top occupational groups in this region mostly follow the state pattern, with two exceptions: 1) Business and Financial Operations, and 2) Management. The largest contributor to Business and Financial Operations occupations come from the Professional, Scientific, and Technical industry sector. This sector has the 4th highest growth for the region, just behind Administrative and Support Services, State Government, and Ambulatory Health Care. Management occupations have a high concentration in this region for a couple of reasons. First, the State’s Capitol, and thus the vast majority of state government administration, is located here. Second, a significant number of business headquarters and administrative offices are located in the Kanawha Valley. Industry sectors with the most anticipated job losses are Coal Mining and Chemical Manufacturing.

Region 4

Region 4 encompasses the north–western area of West Virginia. Like Regions 1 and 2, occupational job growth is not expected to differ significantly from the state. In terms of declines, the biggest job losses are expected in the Primary Metal Manufacturing sector and the Chemical Manufacturing sector.

Region 5

Region 5 represents the northern panhandle of the state. Like regions 1, 2, and 4, this area does not differ appreciably from the state regarding occupational growth pattern. Overall, the region has been historically heavy on concentration in manufacturing which is experiencing declines. This downward trend for manufacturing is expected to continue, with the heaviest job losses falling in the Primary Metal, Petroleum and Coal Products, and Chemical manufacturing areas. Coal Mining is expected to encounter the most job losses through 2022.

Region 6

Region 6 is located in the north–central part of West Virginia. In terms of absolute numbers, this region has the highest employment of any region in the state. To an extent, the expected occupational growth mirrors the state’s growth, but with a much heavier portion for healthcare and related occupations. The strongest job growth for healthcare occupations throughout the state can be found in this region. It also houses the highest concentration of jobs in Professional, Scientific, and Technical Services and Educational Services. Region 6 has also been the primary beneficiary of natural gas development in recent years as the region is geographically situated atop the Marcellus Shale field. The only notable declines are expected in Coal Mining and Chemical Manufacturing.

Region 7

Region 7 occupies the eastern panhandle of West Virginia and shares four Metropolitan Statistical Areas with Maryland, Pennsylvania, Washington D.C., and Virginia. While production occupations are expected to decline slightly across the state as a whole, they are expected to have at least moderate growth in Region 7 due to the high concentration of manufacturing in the eastern panhandle. Most of the region’s manufacturing employment is in Food Manufacturing, but the strongest growth will be in the Wood Products Manufacturing sector, which is estimated to add 235 new jobs by 2022. Production occupations should experience even stronger growth as the Proctor and Gamble manufacturing plant begins adding 300 jobs in 2017. By 2019 it is anticipated that the facility will reach full capacity of 700 full–time jobs18. However, some of the growth may be offset by slight declines in Food Manufacturing. Comparatively, this region is anticipated to have the fewest job losses among all of the WorkForce West Virginia regions, with the only significant losses in Printing and Related Support Activities.

Figure 13 West Virginia Regional Map can be found on page 53 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

(iii) Education and SkiII LeveIs ofthe Workforce. Provide an analysis of the educationaI and skiII leveIs ofthe workforce.

Education

Over the coming decade, it is expected that West Virginia’s job market will trend toward jobs that require more postsecondary education. Presently, based on 2014 data from the U.S. Census Bureau’s American Community Survey (ACS)19, West Virginia ranks last in percent of population age 25 years or older with a Bachelor’s degree or higher. As of 2014, 19.2 percent of West Virginians age 25 and older have a Bachelor’s degree or better compared to 30.1 percent nationally. Based on WorkForce West Virginia’s employment projections (2012–2022), it is expected that jobs requiring a Bachelor’s degree or higher will increase 11,613 (Table 7). More broadly, the trend is toward more education, and the demand for jobs necessitating any postsecondary education will be greater than jobs that do not. Categorically, occupations requiring a High School Diploma or less are anticipated to grow by 18,322, while jobs requiring formal education beyond high school will expand by 20,790.

Table 7 Projections by Level of Education can be found on page 54 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Beyond formal secondary and postsecondary education, some occupations require additional on– the–job–training. In general, it is expected that jobs requiring this additional training will comprise a slightly smaller share of the total employment by 2022. Table 8 depicts the expected change by job training between 2012 and 2022. For most categories, the relative share of employment is expected to change only slightly. It is notable that jobs requiring no additional training are anticipated to make–up a larger share of the employment.

Table 8 Projections by Training can be found on page 55 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Education attainment scales with both poverty status and median annual earnings. As educational levels increase, earnings increase, and consequently poverty decreases. In Table 9, data from the U.S. Census Bureau21 depict the relative poverty levels by educational attainment. Across the board,rates are higher for females than for males.

Table 9 Poverty Rate by Education Level – West Virginia can be found on page 56 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Similarities can be observed when comparing median annual earnings by educational attainment (Table 10). Again, higher levels of education correlate to higher levels of earnings, with females earning comparatively less in all categories.

Table 10 Median Annual Earnings by Education Level – West Virginia can be found on page 56–57 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Based on 2014 Census data22, levels of unemployment correlate with levels of education (Table 11). The higher the level of education, the higher the level of participation in the labor force and, conversely, the lower the rate of unemployment. Individuals with less than a high school diploma or equivalent had an unemployment rate (13.1%), nearly six times higher than individuals with a Bachelor’s degree or higher (2.3%), and more than twice the unemployment rate of individuals with only some college or an Associate’s degree (5.9%).

Table 11 – Employment Status by Education Level – West Virginia can be found on page 57–58 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Also, as education levels increase, job turnover rates decrease. Using combined Census and BLS data from 2nd quarter of 2010 through 3rd quarter 2014, we calculated the average turnover rate23 (Table 12).

Table 12 – Turnover Rate by Education Level – West Virginia can be found on page 58 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

The educational makeup of West Virginians in the labor force, specifically those who were employed as of the 4th quarter, 2014, varies considerably by region of the state. As a whole, between 1997 and 2014, the number of West Virginia job holders increased at all levels of education. Over this 17 year period, jobholders with less than a high school diploma increased by 18.9 percent, while those with a High School diploma or equivalent increased by a slim margin of 0.48 percent. West Virginia job holders with either some college or an Associate degree increased by 12.33 percent, and jobholders with a Bachelor’s degree or higher increased by a mere 2.82 percent.

Regionally, the percent change in employment by education varied considerably by region. Figure 14 depicts how these changes occurred over the 17 year period. The areas with the largest changes in positive growth were Region 6 (North Central WV) and Region 7 (Eastern Panhandle). Both of these regions have also experienced the greatest population growth over the past decade, and are anticipated to have the strongest population growth in West Virginia through at least 202025. In terms of jobholders with at least some college completion, Region 7 has experienced the fastest growth, followed moderately by Region 6.

Figure 14 Regional Change in Employment by Education can be found on page 60 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Conversely, Region 4 (Northwestern WV) and Region 5 (Northern Panhandle) experienced an increase in jobholders with less than a high school diploma only, with all other levels of education having decreased. The picture for Region 3 (Kanawha County) was mixed, with increases in jobholders with less than a high school diploma and some college or an Associate degree, and declines in those with Bachelor’s degrees and a high school diploma or equivalent. Region 1 (Southeastern WV) saw modest increases in jobholders with all levels of education, while Region 2 (Southwestern WV) experienced slightly less growth at all education levels except a high school diploma or higher, which declined slightly. For a map of West Virginia’s Workforce Regions see Figure 13.

(iv) Describe apparent ‘skill gaps’.

The term Skills Gap, defined as “a significant mismatch between the needs of employers for skills and the current capabilities of available workforce”, has been a constant source of conversation and debate for many years. The unemployment rate is relatively high in West Virginia, and businesses have expressed concerns about finding skilled workers to fill vacancies.

1. Communication Skills

Communication skills are expected to have the greatest demand in West Virginia through 2022. Those specific skills are Active Listening, followed by Social Perceptiveness, Speaking, Service Orientation, and Reading Comprehension (Table 13). Active Listening may be defined as “giving full attention to what other people are saying, taking time to understand the points being made, asking questions appropriately, and not interrupting at inappropriate times”26. This simple and basic skill is necessary in many occupations, especially in healthcare and other service–related fields that require good communication and comprehension between service provider and customer. Over the next ten years, employers will need at least 452,472 employees with this skill, while the current supply is 421,376. This means we need more than 30,000 people to acquire or develop this skill to meet the expected demand. The occupational group with the highest demand for this skill falls mostly in healthcare support occupations, with 12,000 workers, who share 38.75% of the total need.

Table 13: Skills Gap 2012–2022 can be found on page 62 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

The state’s workforce will require more than 66,000 additional employees to develop Social Perceptiveness, Speaking, and Service Orientation skills by 2022. These communication skills depict a substantial need, particularly in the healthcare support industry, in which occupations related to customer services are in high demand. Reading Comprehension is also an issue for many West Virginians in the workforce. This skill refers to the person’s ability to read and understand information presented in written form. Good readers interact with text, making and validating predictions, and connecting the text events to their knowledge and experiences. Generally, this skill, together with Critical Thinking and Writing are acquired during K–12 education.

Figure 15 : Skills Gap Distribution can be found on page 63 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Figure 15 depicts how the skills gap varies by region. While Active Listening is still the highest need in all WIOA regions, the demand for other skills vary. Social Perceptiveness and Service Orientation take second and third places in almost all WIOA regions. The need for Speaking and Reading Comprehension skills rank second and third respectively in Kanawha County (WIOA Region 3).

Table 14: Gain/Loss of Workers in Each WIA Region/Statewide; by Educational Attainment Level, 2008–2014 can be found on page 63 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

3. Knowledge and Ability also create a big effect on Skills gaps

As we talk about the skills gap, it will be important to understand the relationship among Knowledge, Skills, and Abilities. Knowledge is a level of information or experience that an individual must have to be qualified for a position. Skills are learned or trained, and can be developed through the transfer of knowledge. Abilities are the enduring attributes of the individual that influence performance. A person’s ability can affect their capacity to perform the job. Many recruiters use KSAs (Knowledge, Skills, and Abilities) to determine who the best applicants are among candidates.

Among West Virginia’s workforce, the greatest gap in knowledge is Customer and Personal Service (see Table 18). More than 30,000 positions will be needed by 2022 that require competency with the principles and processes for providing customer and personal services; including customer needs assessment and evaluation of customer satisfaction. English, surprisingly, is the second–highest knowledge gap requirement. The growing healthcare sector needs at least 10,000 employees who have knowledge in Psychology and Medicine and Dentistry. The occupations that require most Medical knowledge are Registered Nurses (2,543 employees), Licensed Practical Nurses (1,174 employees), and Medical Assistants (783 employees). An estimated 8,000 Personal Care Aides, Home Health Aides, and Customer Service Representatives are in positions that require knowledge of Customer and Personal Service and English.

Table 18: Knowledge Gaps can be found on page 64–65 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

By 2022, West Virginia employers will need more than 30,000 employees who have the ability to comprehend and express information orally (see Table 19). Additionally, people with Problem Sensitivity will also be in high demand (27,885 in total). Aside from communication abilities, people with visual acuity will be in demand (20,362 employees).

Table 19: Ability Gaps can be found on page 65 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Skills Gaps for West Virginia (2012–2022)

The skill with greatest expected demand and gap is active listening. Literacy and communication skills top the list, comprising four out of the top five skills. Active listening is followed by social perceptiveness, speaking, service orientation and reading comprehension. The complete list skills projected to be in demand can be found in Table 20.

Table 20: Skills Gaps can be found on page 66 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

Content skill ranking for most of the WIOA Regions follow the same pattern as the state. Active listening is, by far, the highest demand skill across all WIOA Regions. All four communication skills (i.e., active listening, social perceptiveness, speaking, and reading comprehension) rank in the top five in each region with the exception of Region 6, where critical thinking moved into the top 5, replacing reading comprehension.

Appendix

A. Knowledge

O*Net generates 33 requirements related to knowledge for all occupations in United States as shown in Table 21.

Table 21: Knowledge Requirements can be found on page 67–69 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

B. Skills

Like knowledge skills can learned and developed with experience. More than that, through study, a skill represents a person’s ability to develop knowledge, enhancing his or her capacity to perform the work. Each occupation requires different skills with different levels of importance. Generally, employers evaluate their employees’ skills based on 6 groups: Basic, Social, Resource Management, System, Technical, and Complex Problem Solving Skills (Table 22).

Table 22: Skill Requirements can be found on page 70–71 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf

C. Ability

Ability is what someone is capable of doing. Employers assess their employees’ ability based on 52 elements in 4 groups (Table 23).

Table 23: Ability Assessment can be found on page 71–72 http://lmi.workforcewv.org/Unified_State_Plan_ICRUpdate3716pj.2.cover.pdf