The U.S. faces a talent crisis with millions of skilled candidates overlooked due to outdated hiring practices. The SHRM Foundation's Center for a Skills-First Future aims to bridge this gap by transforming how employers approach talent acquisition.

In this HRchat conversation with Bill Banham, SHRM Foundation President Wendi Safstrom reveals why skills-first hiring has moved to the forefront of strategic thinking for forward-looking organizations. "Talent is America's greatest asset," she explains, noting that employers increasingly rely on workforce creativity and innovation to compete. Yet traditional credential-based hiring creates artificial barriers that exclude qualified candidates simply because they lack formal degrees.

The statistics paint a sobering picture: 75% of employers struggle to fill positions, nearly half face retention challenges, and replacing employees costs up to four times their salary. Meanwhile, one-third of working-age adults without four-year degrees possess valuable skills that remain untapped. As AI and technology rapidly transform skill requirements, the disconnect between educational outputs and workforce needs continues to widen.

Beyond addressing the immediate talent shortage, the Center for a Skills-First Future expands support for overlooked talent pools, including military community members and "opportunity youth" aged 16-24 who are neither in education nor employment. The initiative provides HR professionals with practical tools, including a new certificate program focused on skills-first recruitment strategies.

Learn more about the SHRM Foundation to join a movement reshaping America's workplace.

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