With the ongoing rollout of 5G and fiber connectivity making the world more plugged in and our internet speedier than ever, telecommunications is at an exciting stage of development. The industry is looking to increase its workforce and ramp up hiring to make that rollout happen. Unfortunately, telecom companies are facing difficulties finding digitally skilled workers, especially among the next generation of the workforce. Exacerbating that trend is the fact that those skilled workers have experienced an unprecedented wealth of job opportunities across many other adjacent industries while wage growth in telecoms has remained fairly stagnant.
Additionally, the needed skillset in telecom roles is evolving in real time. Innovative solutions like AI are being deployed into field and service operations, and with it the need for more sophisticated cybersecurity measures. Companies in the industry need to act soon to ensure that they’re bringing on the right people in the right numbers to stay competitive in the coming years.
Investment is pouring in
Reliable, affordable, and high-speed broadband access has become so crucial that it’s practically a prerequisite for our lives today. But a United States Census Bureau survey found that in certain areas of the country, a quarter or more of the population doesn’t have internet access, disproportionately affecting people living in low-income or rural areas, as well as predominantly Black, Hispanic, and tribal communities.
In order to address this divide, Congress passed the Bipartisan Infrastructure Law in 2021, which has funded over 20,000 different projects thus far and has invested over $60 billion toward ensuring every American has reliable access to high-speed broadband.
Continuing this momentum, the CHIPS and Science Act was passed last year. It invested $1.5 billion to help develop Open Radio Access Networks (Open RAN) which make it easier for service providers to use a variety of non-proprietary components in their mobile network architecture, resulting in a shorter time-to-market for services and increased innovation across the industry. The CHIPS Act also bolsters telecom supply chains and includes investment in STEM workforce development to the tune of $13 billion.
The bottom line? Investments are pouring in and the need for telecom companies to shift into the next gear is immediate. Unfortunately, the industry’s pipeline of qualified workers leaves a lot to be desired.
The need for skilled workers
According to the Government Accountability Office (GAO), the telecommunications industry is short thousands of workers that it needs to build the infrastructure that all this additional funding represents.
Just ask the CEO of Charter Communications, Tom Rutledge, who said “For all the construction that has to be done, there is no skilled labor force that’s currently out there doing it that can be repurposed. It has to be built and trained.” While the money is there, the workforce isn’t showing up as they’re needed. “There is no labor force anywhere for any jobs...We have thousands of unfilled positions.”
Ohio-based Horizon CEO Jim Capuano agrees, stating, “It’s not really about aptitude anymore, we just flat out have a shortage of people. I don’t know if there's enough people in the country to support the growth we have right now. I’m really not sure how this gets solved. There’s a lot of great jobs out there, it's just we don’t have people for them.”
So despite being at an exciting inflection point in bringing 5G and fiber-optic communications to the people, deployment is being slowed down considerably due to the lack of workers. Why is this?
In part, it’s a perception problem, especially among Gen Z and millennials. Research by the Economic Policy Institute found that over the course of the last four decades, the share of younger telecom workers has fallen from around 19% to 7%. As the high-tech sector boomed, companies like Apple and Google attracted younger workers with better benefits, higher wages, and modern tools, and the perception gap between these tech giants and telecoms widened—with the latter viewed as less forward-thinking and more antiquated.
It’s also a skills problem; a full third of the top networking and operations roles have become ill-equipped to build out new innovative offerings. According to an analysis by talent intelligence platform Eightfold AI, the key skill sets for telecom workers are changing. Skills in LTE, 5G, IoT, cloud computing, edge computing, AI, big data, and the aforementioned Open RAN are in high demand, whereas expertise in sales management, VoIP, IP protocols, and Microsoft Office are phasing out of importance.
So how can the industry solve its labor and skills shortage? Focusing on workforce development and early career programs like internships and apprenticeships is the key.
Bolstering the talent pipeline
Just as these government programs are investing in developing infrastructure to ensure broadband access for all Americans, telecom companies need to invest the right resources in their early career and upskilling programs.
In fact, the US Department of Labor’s Employment and Training Administration and the FCC specifically recommend “promoting and improving the recruitment in workforce development programs” as one of the key strategies to address workforce needs in the industry.
Workforce development programs, like internships and apprenticeships, enable organizations to grow a strong talent pipeline of workers equipped with the skills required to move the industry forward. Additionally, interns and apprentices have higher retention rates than other employees, helping telecom companies keep much-needed workers in the industry. In fact, interns are 15% more likely to be retained than non-interns over 5 years, and registered apprentices have a 89% retention rate over three years, compared to non-apprentice college grads who have a 70% turnover rate. Reskilling and upskilling programs also support retention strategies by empowering employees, whose roles may become obsolete or who may seek growth opportunities elsewhere, to move laterally or vertically and close the skills gap.
So how can telecoms strategically up their game when it comes to workforce development programs and attracting early talent?
- Invest in diversity, equity, and inclusion initiatives, and partner with organizations and schools that serve diverse talent. According to a Glassdoor survey, 76% of job seekers report that a diverse workforce is an important factor when evaluating potential employers. Prioritizing DE&I and ingraining accountability into your organization’s company culture will help attract and retain talent, especially among Gen Z and Millennials.
- Enable remote and hybrid work opportunities where possible. This opens a company’s gates to larger pools of interested parties no matter where in the country, or beyond, they may live. And it doesn’t have to be done alone - in 2020, Verizon hosted its first-ever virtual internship program with the National Academy Foundation (NAF) in order to continue their over-a-decade long partnership providing work-based learning opportunities to underrepresented students.
- Building an apprenticeship program, especially a Registered Apprenticeship Program (RAP), from the ground up can be a lot of work. However, apprenticeship programs have significant ROI in developing highly trained workers with the right skill sets. Partnering with an intermediary like YUPRO Placement or TIRAP, the Telecommunications Industry Registered Apprenticeship Program, can ease the burden of getting started.
- Have the right tech stack in place. Early career programs are often run on spreadsheets or multiple tools in conjunction, leading to inconsistent and poor experiences. Program data, which is needed to iterate and innovate, also becomes difficult to track. The latest in internship and apprenticeship management software can streamline the whole process, from program acceptance to alumni engagement, facilitating engagement and ensuring equal visibility so no program participant has a bad experience.
Telecom companies should also demonstrate the potential career opportunities that begin with an internship or early career role with the company, and the job security that can be achieved for workers trained in the skills most important to the industry’s future. The more attractive the jobs and careers in this industry become—and the more innovative and forward-looking the skills training is—the more we’ll see applicants funnel in.
No time like the present
It can be hard to get a handle on what the workforce might look like for telecoms 15, 10, or even just five years from now. But by implementing effective recruiting strategies and leveraging early career and upskilling programs, telecommunication companies can build a future-ready pipeline of workers and ensure we have the infrastructure to provide reliable, affordable, and high-speed broadband access to all.
