Finding and retaining talent to support today’s business needs is one of the most critical challenges facing employers. The latest workforce trend, dubbed the “Great Talent Stagnation,” has employers struggling to find qualified applicants amid an employee exodus, as half of U.S. workers are expected to switch jobs this year.

Adding to these challenges is the reality that, despite news of a positive labor market and high demand for skilled talent, many new graduates find themselves in jobs that don’t align with their education or skill set. In fact, 52% of graduates have jobs that don’t make use of their credentials. This disconnect between the workforce’s capabilities and the demands of the job market highlights a fundamental mismatch that hampers both individual career growth and the productivity of an organization.

Employers rightly recognize that training will improve recruitment and boost employee retention. However, companies that want to enrich the careers of their employees must balance role-specific upskilling with educating employees in a broader range of competencies that will remain relevant throughout their working years.

A Dual Approach to Workforce Development

Rather than choosing between optimizing workers’ skills for their current roles or developing broader competencies, employers should adopt a dual approach. This strategy involves teaching job-specific technical skills alongside transferrable soft skills that allow workers to remain relevant across various roles, responsibilities and industries throughout their careers.

For example, in the health care field, nurses might receive compliance training in specific medical procedures and the latest treatment protocols relevant to their department, while also developing broader skills in patient communication, cultural sensitivities and stress management. Similarly, hospital administrators should receive training in healthcare-specific financial management and regulatory compliance, but also in leadership, change management and strategic thinking to ensure they can navigate the complex and ever-changing health care landscape. This dual approach ensures that these professionals are not only proficient in their immediate roles but also equipped with versatile skills needed to adapt to new challenges and advance throughout their careers.

There are tremendous benefits for both the employee and the employer when investing in this balanced approach.

• Talent Retention: By investing in both specific skills and broader employability, organizations create a culture of continuous learning and growth, fostering employee engagement and satisfaction. Employees who feel valued and supported in their immediate role and long-term career development are more likely to remain loyal to their employer.
• Adaptability and Resilience: Rapid technological change and market shifts are a given in today’s world. A workforce equipped with both deep expertise and adaptable skills is better positioned to navigate evolving job demands. The ability to excel in current roles while being prepared to pivot to new positions or industries enhances organizational resilience and competitiveness.
• Internal Talent Pipeline: Focusing on specific and broad skills encourages internal mobility, enabling organizations to tap into their existing workforce for new roles or projects. This strengthens the talent pipeline, reduces the need for external hiring and promotes knowledge sharing within the organization.
• Talent Attraction: Companies that prioritize both immediate and long-term skill development become more attractive destinations for top talent. A reputation for investing in employee growth across multiple dimensions can be a competitive advantage in a tight job market.
• Workforce Productivity and Innovation: Employees with a combination of deep expertise and diverse, adaptable skill sets are better able to tackle novel, complex challenges, collaborate across teams and drive innovation. This enhances the productivity of the overall workforce and fosters a culture of continuous improvement.

From Vision to Reality: Implementing a Balanced Upskilling Strategy

Transitioning to a balanced approach to upskilling initiatives and cultivating long-term employability involves a cultural shift within the organization. It requires genuine commitment from leadership to prioritize both immediate performance needs and long-term career development, providing employees with the necessary resources, opportunities and support to expand their skills and competencies.

This approach should encompass several aspects, such as:

• Leadership Buy-In and Advocacy: Senior leaders must champion this balanced mindset, communicating its importance and aligning organizational policies and practices to support it.
• Robust L&D Programs: Organizations should invest in a range of learning opportunities, including role-specific training, online courses, workshops, mentorship programs and cross-functional projects, to enable the development of both specialized and versatile skills.
• Performance Management and Recognition: Performance evaluation processes should be redesigned to recognize and reward employees’ efforts to excel in their current roles while also developing new skills, embracing challenges and pursuing personal and professional growth.
• Career Coaching and Planning: Personalized career coaching and mentorship programs can help employees identify their strengths, interests and potential growth paths within and beyond their current role, resulting in tailored learning plans that support their long-term career aspirations.
• Continuous Feedback: Regular check-ins and advice should be routine to assess the effectiveness of any employability initiative. Necessary adjustments should be made to ensure they remain relevant and impactful in cultivating both current job skills and career development for the future.

The challenges facing employers are daunting, but by prioritizing both job-specific skills and broader employability, organizations can build a workforce of agile, lifelong learners who excel in their current roles and are prepared for the future.

This approach goes beyond short-term upskilling efforts or vague “employability” training. Instead, it focuses on equipping employees with a balanced set of specific technical skills and broader soft and transferable skills that enhance their current performance and will transcend their current roles. This versatility not only enhances individual career growth but also fosters organizational resilience, competitiveness and employee longevity and loyalty.