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Home News Workforce

Apprenticeships Could Solve High-Turnover, Low-Pay Crisis

Millions in the U.S. workforce find themselves in jobs with low pay and historically high turnover rates. A new study suggests apprenticeships are a viable way out.

Dominic CatacorabyDominic Catacora
September 28, 2023
in Workforce
Reading Time: 2 mins read
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Apprenticeships Could Solve High-Turnover, Low-Pay Crisis

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Recent research published by Multiverse in collaboration with the Burning Glass Institute has unveiled a concerning trend in the U.S. labor market: over 36 million workers are ensnared in “high-churn, low-pay jobs.”  

These jobs, characterized by having a median job tenure of 18 months or less and a median hourly wage of $17 or less, include positions like delivery/sales workers, retail salespersons, and cashiers. Such jobs were found to offer limited career advancement opportunities. However, these workers often possess skills that are highly transferable and valuable to in-demand industries. 

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A solution, as proposed by the research, lies in expanding apprenticeships to roles that have traditionally depended on conventional credentialing pathways. By doing so, millions of workers could transition into better-paying jobs, simultaneously addressing talent shortages faced by employers, according to the report. 

The research explains that many sought-after skills by employers, such as customer service, communications, and management, are already prevalent among the high-churn, low-wage workforce. These skills can be further honed and applied in “apprentice-able” roles like IT Project Managers, Data Scientists, and Software Developers. Notably, these target jobs not only offer better wages but also provide more growth opportunities, superior benefits, on-the-job training, and often don’t require a college degree. 

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This urgency to reskill is only heightened by the looming threat of automation. The study found that a staggering 73% of low-wage roles are highly susceptible to automation, with positions like telemarketers and receptionists being particularly at risk.  

Labor shortages and the foreseeable need for widespread reskilling demands a total shift in how the U.S. workforce approaches education and training. The research presents apprenticeships as a possible solution, one that could enable companies to tap into a vast reservoir of untapped talent, bridging the skills gap, and ensuring a more equitable and prosperous future for all workers. 

Source: PR Newswire
Tags: Career GrowthInvestmentWorkforce
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Dominic Catacora

Dominic Catacora

Dominic Catacora is a Staff Writer for Allwork.space. He is based in Pittsburgh, PA. He graduated from Radford University in 2017 with a Bachelor of Science degree in Media Studies - Journalism. He has previously covered the Historic Triangle as a journalist living in Williamsburg, Va, and is now focused on writing related to the future of work.

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