Indiana will need to upskill or reskill more than 82K working learners with nondegree credentials every year for the state to meet its workforce demands and ensure economic growth.
That’s the bottom-line finding of a new study from Ivy Tech Community College, the state’s two-year college system, and TEConomy partners, a research firm. Ivy Tech currently enrolls 25K learners annually in skills training and other workforce-related programs, such as apprenticeships. So the system will need to dramatically ramp up those programs to meet the expected workforce demand.
A workforce crisis is driving the urgency in Indiana, with both a shrinking working-age population and inadequate labor force participation. As a result, only 72 workers are available for every 100 open jobs in the state, a problem that’s hitting small and midsize businesses the hardest.
“Simply put, the availability of skilled and credentialed talent does not match the pace of Indiana’s growing innovation and digital economy,” the report says.
The good news is that Ivy Tech and the state’s K-12 schools have been pushing hard on employment-aligned education paths in recent years. Meanwhile, employers in Indiana increasingly realize they can no longer wait for talent to arrive fully skilled, according to the report, with many transitioning from being reactive consumers to “co-developers” of talent.
The two-year college system has seen a big jump in demand among employers for customized skills training, says Molly Dodge, Ivy Tech’s senior vice president of workforce and careers, and landed roughly 1,600 contracts for those programs during the last couple years. That has been the primary driver of Ivy Tech’s skills training enrollments.
“Employers are feeling the pressure to stay competitive as the economy continues to evolve,” Dodge says. “What’s driving the demand for our customized training is our ability to get workers job-ready with targeted, hands-on programs built around exactly what each company needs.”
Firms across advanced manufacturing, business, and healthcare are leading the way on skills training partnerships with Indiana’s community colleges. Dodge says the biggest training contracts include robotics with Cummins, pharmaceutical manufacturing process with Eli Lilly and Company, and welding and office productivity tools with Lippert Components.
Strength in Numbers: The system has had success in getting employers to the table through industry-sector partnerships and talent associations, where multiple employers join forces to create shared training cohorts. For example, the campus in Anderson is launching a countywide manufacturing academy in May, with eight companies having signed on. The academy’s initial two-week bootcamps will lead to industry certifications and college credits.
Dodge says this approach lets employers shape the curriculum based on real job needs while building a stronger regional talent pipeline.
“It’s smarter and faster when companies train together,” she says. “They share the cost of training, shape the curriculum, and build a stronger talent pool for everyone.”
The report used data from federal sources, Lightcast, and the World Economic Forum to identify demand for skills education and training. Much of the growth will come from four key industry sectors: advanced manufacturing, transportation and logistics, healthcare, and IT.
“Many of the most in-demand roles in Indiana’s key sectors don’t require a full degree but do need a certificate or technical certificate—often just 18 to 34 credit hours,” Dodge says.
The research also identified ways the system could more directly embed industry-specific training. For example, the report said, Ivy Tech could bundle courses for intensive, short-term training programs—ones that could be completed in two to four weeks, or even two days.
There’s no single solution to meeting the annual demand for 82K skills credentials, Dodge says. Apprenticeships will be a big part of the mix. Led by an unusually broad coalition of educators, employers, and philanthropists, the state recently set an ambitious goal for creating 50K youth apprenticeships over the next decade.
That sort of partnership will be needed for Indiana to meet its workforce goals, as Ivy Tech won’t be able to do it alone. But Dodge is confident that the two-year system will pull its weight.
The Kicker: “Companies know we can deliver training that fits their industry, their schedule, and their talent goals.”