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PPI on the SOTU: The Workforce

  • February 6, 2023
  • Taylor Maag

Biden SOTU Must Recommit to American Workers in a New Way

Last year’s State of the Union emphasized the Biden Administration’s commitment to the American worker. In his remarks, the President discussed the need to grow our skilled talent in the U.S. and create new jobs that offer stronger paths to the middle class. As we reflect on the past year, President Biden has kept some of his promises. The economy has continued to grow, with the last jobs report showing unemployment continuing to edge down to 3.4% with over 500,000 jobs created. While this is good news, it does not mean the commitment ends here. This State of the Union, PPI looks to President Bident to recommit to American workers and confront current and future challenges facing our nation, hearing the Administration’s plan to:

1. Prepare people for jobs of the future
. Jobs will continue to change and be created through technological advancements. In addition, as America works to implement the recently passed CHIPS & Science Act, we need a workforce that is skilled at executing this policy’s vision and can grow America’s semiconductor industry.

2. Better support non-degree workers. To meet these skill needs, the Administration has continued to advocate for “college for all.” But most Americans don’t earn degrees, and a bachelor’s or advanced degree — which takes extensive time and resources — shouldn’t be the only path to a good, middle-class jobs. If the Administration truly wants to bolster America’s middle class, President Biden should stop discriminating against non-degree workers and commit to skill development strategies that work, are innovative and don’t promote college as the only postsecondary path.

3. Help eligible workers on the sidelines re-engage with the labor market. The last jobs report showed that our nation’s workforce participation rate, which represents the number of people working or actively looking for work, is at 62.4%, which is only one percentage point higher than it was at the start of the pandemic. This means roughly 37.6% of Americans that could be working are detached from the labor market because they believe there are no jobs available to them, or they are facing personal challenges that make it hard to retain employment. The Administration must address this phenomenon and commit not only to skill development efforts but to other supports, including policies around child care, family leave, and other services that can get American’s re-engaged with the labor market and reboot our nation’s workforce participation rate.

Looking to the next year of the Biden presidency, these issues must be a priority to ensure individuals are prepared for careers of the future, economic opportunity is shared and the U.S. remains competitive in the global economy.

This post is part of a series from PPI’s policy experts ahead of President Biden’s State of the Union address. Read more here. 

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