As the modern workplace evolves and information becomes more accessible, companies are actively working to create a more level playing field. In the past, high-income jobs were often reserved for those with access to prestigious universities and exclusive internship opportunities. Today, however, we’re seeing a shift towards greater inclusivity and opportunity for everyone regardless of background or education. The future is skills-based.
The Shift from Prestige to Practicality
Whether this change is driven by social pressure or a genuine desire to be on the right side of history, we’re here for it – because the workforce should look a little more like the world it’s meant to serve.
With the cost of higher education consistently increasing, hiring based on skills instead of pedigree is opening the door to a more equitable job market. In fact, according to TestGorilla, 73% of employers embraced skills-based hiring last year, a jump from 56% in 2022. Tech companies have been leading the charge, with IBM testing the waters as early as 2017. As online certifications and bootcamps become more popular, a new wave of applicants is emerging – eager to dive into the job with fresh perspectives and portfolios in hand.
The Benefits of a Skills-Based Gateway
It’s not just the candidates who benefit. As diversity, equity and inclusion (DEI) initiatives take center stage, companies are finding that skills-based hiring can help cut through the fog of unconscious bias. After all, when everyone on the team has the same degree from the same target school, the culture can become homogeneous. That reputation can be harmful for companies, especially since studies show that top millennial and Gen Z talent prioritize diverse company culture.
Skills-based hiring not only expands the talent pool but also forces hiring managers to focus on what really matters: does this candidate have the ability to do the job? This approach promotes equity at every step, moving away from vague “culture fit” criteria (often code for “do you fit in with everyone else here?”) to job descriptions that emphasize the specific skills needed for the role. The interview process follows a standardized path for all candidates, complete with skills-based assessments to answer the ultimate question: Can you do the work?
This new approach has increased diversity by 90% and slashed time to hire by 81%. Even better than that, it’s a win for the bottom line – employers report a 78% decrease in hiring costs and a 91% increase in employee retention. We call that a win for any organization.
Tech-Driven Solutions for People Problems
A common response from companies struggling with diversity is that they don’t know where to find multicultural talent. Talent Infusion, a fast-growing matching platform designed to connect employers with quality talent of color. With 93% of the talent pool identifying as Black or African American and 50% identifying as women, we’re here to help you diversify your workforce with ease.
Our user-friendly platform makes matching the skills to the right jobs easy, and we put a high priority on soft skills too. (Because we’ve all met a software engineer who could use some work in that department!) As we move into 2025, we’re fine-tuning our filters even further, with cutting-edge AI and machine learning technology. All with the aim of increasing equal opportunity.
