Nearly two hundred years ago, many people considered Texas the “new promised land” because of its great natural resources, chief of which was land—plenty of it at affordable prices. As a result, they journeyed here from all over the world seeking their fortunes and a new way of life. Gradually, the fertile land spawned great fortunes that were dependent upon the vast acreages. First it was cattle, sheep, and cotton; then oil, natural gas, and related business activities.
Through the years, the necessary infrastructure to support these and other burgeoning industries was developed and constantly enhanced. The coming together of roads, pipelines, suppliers, processors, wholesalers, and retailers, to name just a few, has greatly benefited all Texans today. Without them, our economy would definitely be hamstrung, even with all the natural resources the state possesses.
As we look to the future, what will drive our economic engine for tomorrow? That’s an easy question to answer—our greatest resource. I’m not talking about land; I’m referring to our growing workforce. But for maximum benefit, top notch training and educational resources must be provided.
Over the past decade, the population of the Lone Star State expanded at a faster rate than that of the US. Texas is the second most populous state in the Union. Unfortunately, Texans have not kept pace with this growth educationally. Among the ten states with the largest number of residents, Texas lags behind them all in the percentage of persons age 25 years and over who have completed high school—only 79.2%.
Although the state compares more favorably in the number of people 25 or older with a college degree, there is still a growing need for a better-educated and trained workforce. As the economy continues to evolve toward technology-based production methods and business solutions, employees must evolve as well.
Skill levels are rising in many occupations, from entry level to management. The dynamics of today’s global marketplace are putting pressure on many workers to refine their skills and enhance their abilities to remain viable employees. As industrial shifts occur, a shortage of skilled workers may result. To meet this challenge, work-related training must be elevated to a level of greater prominence.
Training is the gateway to employees’ advancements in wages, positions, or responsibilities. It also leads to better job performance, resulting in greater productivity for the business or industry and the economy as a whole.
The economic advantages we have enjoyed through the years are the result of both private and public ventures, as well as partnerships between these various entities. All levels of government—national, state, and local—have played important roles. But even greater efforts will be required for success tomorrow.
The 1998 Workforce Investment Act (WIA) has greatly improved the coordination of federal programs related to job training, adult education, employment services, and vocational rehabilitation. The WIA was certainly an important step toward a more rational system of federally-funded workforce training and related services. Even so, a major component of the workforce training and education system remains the responsibility of the state.
A key benefit of a premier state program for training is the competitive advantage it gives us with companies considering locations within Texas. Many economic development corporations work with higher education providers to facilitate workforce training for such companies. However, the availability of local resources varies widely. Coordination of such efforts at a statewide level would greatly enhance the possibilities.
The competition for quality corporate locations is continually escalating. Areas with strong incentive programs are emerging as the winners. Economic development professionals agree that the ability to offer quality training can be the deciding factor for firms considering various locations. Many of the states Texas competes with for desirable locations provide special training programs to meet the expected needs of these companies. Texas must adopt similar methods.
Several groups are now examining the most effective ways to develop and implement optimal mechanisms. I am confident that these studies will result in useful tools and techniques for positive enrichment of our greatest resource—our growing workforce.