Summary: Addressing the Skills Gap in Latin America

Speakers:

• Diego Bustamante, Fulbright/LASPAU Scholar, Columbia University
• Peter DeShazo, Executive Director of the Latin American Scholarship Program of American Universities (LASPAU)
• Sam Fouad, Americas Emerging Markets Leader, Ernst and Young LLP
• Deanna Laird, Global University Hiring Programs Leader, IBM
• Christopher Sabatini, Senior Director of Policy, Americas Society/Council of the Americas (Moderator)

Summary

A May 16 AS/COA panel focused on how Latin American and international businesses can make up shortfalls in the labor force and help workers gain education, training, and experience for high-skilled jobs. Representatives from the private sector and educational institutions offered insight on the evolving demands of businesses and human resource development, as well as strategies to reform education systems. Panelists also discussed the importance of public- and private-sector partnerships to improve education in the region. 

[[nid:49683]]

The Changing Demands of Businesses

The globalization of markets and technology has altered the skills that businesses seek in their employees. Panelists noted that the role of technology in today’s market demands certain “hard skills,” including business analytics, social networking, and familiarity with cloud computing and other advanced technical abilities not traditionally taught in schools and universities. A robust work force also demands employees with “soft skills,” such as the ability to adapt and translate certain skills to different international workplaces. Language skills, an understanding of global affairs, and adaptability to quickly evolving work environments have become crucial qualities in future employees, panelists said. 

Human Resource Development

In light of the increasingly global business world, speakers underscored the need to adapt strategies to marshal the strongest possible workforce and take advantage of the full range of skills available. Deanna Laird of IBM highlighted the challenge of tapping resources outside of large, well-known universities—most of which are U.S. universities. While some successful candidates who studied at U.S. universities are Latin American, the majority are not. Businesses should partner with Latin American universities to change this trend, Laird noted. Local universities must understand the specific qualities and skills required by companies so they can cultivate a talented workforce. She also noted that IBM and other businesses are looking for lifelong employees who not only have the skills necessary for short-term success, but who also demonstrate the agility necessary to evolve with the company as it grows and changes.

Reforming Education Systems

Against the backdrop of traditionally underfunded education systems in the region, businesses face the challenge of finding the skills they need locally. To create a viable international workforce that will begin to bridge the skills gap in Latin America, the panelists agreed that education systems must be improved to effectively develop the hard and soft skills sought by businesses. 

Peter DeShazo of LASPAU noted that improvements to education have traditionally focused on increasing access, but the priority must now shift to improving quality. Panelists highlighted the importance of investing in university professor training, so that instructors are equipped to address the needs of their students. Touching on the recent evolutions in online education, panelists agreed that online courses are valuable for developing specific skills useful to businesses, but are less effective at endowing students with the critical adaptability and social skills that businesses increasingly demand.

Rural Development and Broadening Access to Education

Limited access to a quality education in rural areas, particularly for women, presents a major obstacle to closing the skills gap in Latin America. Fulbright scholar Diego Bustamante urged businesses and governments to invest in bringing more educational opportunities to rural and poor areas, and to improve access to schooling for girls and young women. Such efforts will help to ensure that Latin America is taking advantage of the full range of human resources it has available. Businesses and universities must take steps to break down structural barriers and enable companies to recruit talent from outside of the region’s elite, panelists said. Establishing training and mentoring programs for students and teachers, increasing access to and awareness of scholarship programs, and sponsoring student exchange programs include some of the ways this can be accomplished.

Developing Public-Private Partnerships

Increased collaboration between the public and private sectors is the most effective way to expand access to quality education and to narrow the skills gap, panelists said. Sam Fouad of Ernst and Young noted that private-sector contributions to sustainable development in rural and underserved areas originate not only from a sense of altruism, but also from a commitment to good business. Companies are beginning to recognize that they must lead the effort to create opportunities for groups that are traditionally excluded from the workforce in order to marshal the greatest talent. To this end, the panelists agreed that government organizations and non-profits should partner with the private sector to develop comprehensive programs not only to boost education in underserved areas, but also to address other basic needs such as access to nutrition and adequate housing. Doing so will help build strong education programs and carve out new paths for future leaders who until now have missed valuable opportunities to contribute to the workforce.