New year, new skills to maintain Indiana’s workforce competitiveness
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As we turn the page to 2025, Hoosiers across the state are setting their sights on new goals — and so are Indiana’s employers. For many, the New Year is a time to refocus on the future, and there is no future more critical than the one tied to Indiana’s workforce. The need for upskilling and reskilling our workforce has never been more urgent, as maintaining economic competitiveness depends on equipping workers with the advanced skills demanded by today’s rapidly changing industries.
Consider this: Indiana has only 72 available workers for every 100 open job positions, according to the U.S. Chamber of Commerce. Workforce availability has become the most pressing challenge facing employers in the state, particularly for small and mid-sized businesses. While Indiana’s metro areas have benefited from a surge in migration, the Indiana Business Research Center at the Indiana University Kelley School of Business projects that more than two-thirds of the state’s 92 counties will experience population losses over the next 30 years, with rural communities hit the hardest.
This dual challenge of a tight labor market and declining rural population means employers can no longer afford a passive approach to workforce development. Instead, they must become active co-developers of talent, partnering with education and workforce systems to shape training programs that meet their specific needs.
At Ivy Tech Community College, we’ve seen this shift in action. Over the past two years, Ivy Tech has engaged in nearly 1,400 contracts with employers to deliver on-demand, customized skills training. This training helps employers address immediate workforce challenges while also creating long-term opportunities for employees. Many of these learners can translate the competencies they master in non-credit training into academic credit, seamlessly transitioning into degree programs that open doors to even greater career advancement. The result? A workforce that is not only more skilled but also more adaptable to future demands.
The demand for such training is immense. Recent research conducted by TEConomy Partners in collaboration with Ivy Tech revealed that 69% of projected job openings in Indiana’s key industry sectors over the next decade will require education beyond high school. These roles will demand additional training — whether through stackable credentials, licenses, micro-credentials, or third-party certifications. Research from TEConomy Partners estimates that Indiana will need to upskill or reskill 82,000 learners annually over the next ten years to fill these positions and replace retiring workers. That’s a staggering challenge — and an extraordinary opportunity to invest in our workforce.
Employers are increasingly recognizing the value of this investment. In a recent survey of employers, 88% of respondents reported that Ivy Tech’s skills training programs directly enhanced employee competencies and skills. This type of targeted, employer-driven training will be the difference maker as technologies such as artificial intelligence and automation continue to transform workforce needs.
Scaling this effort statewide will require collaboration and commitment — not just from educational institutions, but also from employers, policymakers, and community leaders. It will require a paradigm shift where businesses move from being consumers of ready-made talent to co-creators of skilled workers. By working together, we can build a system that ensures all Hoosiers have access to the training they need to succeed and all businesses have access to the talent they need to win the future.