REGENTS REPORT

NO. 46, July 12,1996 South Dakota Higher Education: Good Investment. Great Future.

Higher Education and the Job Market

Bachelors and Master Degrees Will Fill the Fast Growing Fields

Educational attainment plays an important role in preparing people for careers in the most challenging and rewarding fields. Higher education is also expected to be required for the fastest growing fields through the year 2005. Among the nation's fastest growing occupations are teachers and systems analysts, physical and occupational therapists, and registered nurses.

Growth in Employment and Educational Attainment

The chart below shows projections from the Bureau of Labor Statistics for the percent of job growth by educational attainment. Jobs requiring a bachelors degree are expected to grow by 27%, and jobs requiring a masters degree are projected to grow 28.5% by 2005.

Projected Percent Growth in Employment by Level of Educational Attainment: 1994-2005

SOURCE: US Dept. of Labor, Bureau of Labor Statistics, 1996

This document was produced by the South Dakota Board of Regents.

For more information, contact Zachary Ainsworth at (605) 773-3455, or Email: zacha@bor.state.sd.us

600 copies of this document were produced at an approximate cost of $.03 per copy.

What Does the Hiring Look Like This Year? and in the Past?

According to a survey of employers conducted by the Collegiate Employment Research Institute at Michigan State University, employers expect to hire 4.7% more graduating college seniors in 1996 than they did in the previous year. This is the third straight year for an increase in hiring of college graduates. This survey also found that employers emphasize life-long learning as an essential attitude to cultivate professional skills and to avoid obsolescence in the workplace--including computer skills.

The U.S. Department of Labor published a study that shows the proportion of total workers by educational requirements. To do this analysis occupations were classified by level of education required. This data shows that in the decade from 1983 to 1993, the proportion of total jobs requiring higher education grew by 2.7% and jobs only requiring experience or on-the-job training declined the by the same amount.

SOURCE: Monthly Labor Review, June 1995

The Growing Fields

The fastest growing occupations include workers with all levels of education; however, professional specialty occupations, such as pharmicists, doctors, and attorneys, are projected to increase the fastest and add over 5 million jobs by 2005. Professional specialty occupations were also the fastest growing positions between 1983 and 1994. Executive, administrative, and managerial occupations are also expected to grow faster than average in the next ten years.

In general terms, the service producing sector is projected to have the highest levels of job growth and the goods producing sector is expected to experience declines in job growth--a decrease of 1.3 million manufacturing jobs is projected by the Bureau of Labor Statistics.

E-mail us at: info@bor.state.sd.us

Conclusion

An educated and highly qualified workforce is perhaps the best tool for economic development. Employers seek a willingness to learn in their employees and in a fast changing work environment learning may be the best tool for survival. This employer attitude is reflected in the high rates of growth that is expected for occupations requiring higher education. Investment in higher education can help to attract high paying employers by preparing the workforce for these positions.