Ask any VP of Engineering or CTO, and they’ll tell you hiring talented developers is getting harder. Meanwhile, ask one of the millions of underemployed millennials, and they’ll say they are willing to learn, but can’t get their foot in the door. Apprenticeship was once a commonplace feature of the American economy, but for the last 30 years it has been in decline. Apprenticeships are the critical link to closing the skills gap for employers and reducing unemployment for millennials.
To understand why apprenticeships can bridge the gap, let’s take a look at the marketplace for technical talent.
Traditional Universities are Failing Us
First, the gap between supply and demand for technical talent is widening. On the supply side of the marketplace for technical talent, we have universities. According to the Department of Labor, 400,000 new CS grads will enter the workforce between 2010 and 2020. In that same period, nearly 1.4 million new tech jobs will be created. That’s a shortage – a skills gap of – 1 million more jobs than graduates.
Second, even those students graduating in computer science, aren’t prepared for careers in software engineering. Universities care about helping students become job-ready. But that isn’t their singular goal. Many also seek to teach a liberal arts education and to publish ground-breaking research. Because of this, there is no singular focus on one goal. As a result, students graduate ill-prepared for industry. According to Brad Neese, director of Apprenticeship Carolina, employers are seeing “a real lack of applicability in terms of skill level” from college graduates.
For example, top tier university computer science curricula often include courses in advanced math, physics, compilers, and operating systems. When we surveyed engineers at top companies like Twitter, Facebook, Google, and Amazon, they told us they used less than 25% of their university education in their career. According to Rob Gonzales, co-founder of Salsify, “many ‘core’ CS courses really aren’t that critical for becoming very productive engineers. I’ve never had to write a compiler or operating system in my career, and the last time I thought about finite automata was 2001 when I was studying them myself.”
Meanwhile, few universities teach essential skills a software engineer will use every day. According to Mo Kudeki, a Software Engineer at Twitter, “Although I went to a top Computer Science program, there are software engineering topics that we never covered that are crucial to being a great engineer, like how to methodically debug something, and how to give and receive a good code review.”
All of these factors combined result in a tremendous mismatch between the skills with which American students graduate and the skills needed by employers.
Employers are Hungry But Ill-Equipped to Train
While employers are hungry to recruit great talent, their appetite for growing that talent themselves has been declining for the past decade. According to Lauren Weber of the WSJ, apprenticeships in the US have declined over 30% from 2003 to 2013.
Furthermore, even those companies that want to provision such training may be unable to do so. Training programs require experienced instructors. According to Gonzales, “you must have someone to manage the program full time, including doing daily coaching, code reviews, design sessions, planning sessions, one-on-ones, communication outside of the group to gather requirements, etc. This person should be respected throughout the organization, as getting the program started and effective is going to be a bumpy road that will draw on company resources even beyond the coach.”
Unfortunately, the shortage of technical talent has left most companies without the bench strength to fill existing headcount and also train a large pool of junior developers. According to Marcy Capron, the founder and CEO of Chicago-based Polymathic: “Companies don’t have an infrastructure for ongoing learning. We really need a guide to mentoring junior devs. Hourly consulting firms can’t afford it because you can’t bill mentoring to the client.
We’re Seeing Renewed Investment and Innovation in Technical Skills Training
So with universities failing us, and employers hungry but unable to grow their own talent, a new breed of apprenticeship-like programs have leveraged technology to deliver better outcomes, more affordably than ever before. Computer science bootcamps put students through compressed programs to prepare them for coding jobs. These bootcamp programs have found traction with employers and graduates alike. The first coding bootcamp was founded just four years ago, but Course Report estimates that over 150 bootcamps graduated more than 16,000 alumni in 2015 – a combined estimated market of $180M, up from $0 in 2011.
According to Western Governors University President Bob Mendenhall in the Washington Post “Neither accreditation nor regulation has caught up with the power of technology to impact both the quality and cost and accessibility of higher education.” And last month, Udacity raised $105 Million bringing their valuation to $1 billion, Dev Bootcamp was acquired by Kaplan, and Bloc recently announced a year-long Software Engineering Track, which includes a 3 month apprenticeship, before students start the job search. And now a slew of specialized apprenticeship programs are emerging.
Employees are also more open to non-traditional university education than ever before. According to a 2014 survey by Glassdoor, 72 percent of employees said they value specialized training over earning a degree. What’s more, 63 percent of respondents said they believe that nontraditional ways of learning new skills — such as certificate programs, bootcamps, webinars and massive open online courses — could help them earn a bigger paycheck. This growth for nontraditional skills training may be coming at the expense of graduate programs, with more than half (53%) of employees saying a graduate degree is no longer necessary to be offered a high-paying job.
So What Should We Expect to See in 2016?
As apprentice-like programs cross the chasm from early adopters to early majority, we may see see savvy millennials foregoing the traditional 4-year campus experience in favor of a leaner hybrid, pairing community college with a technical apprenticeship that gets them into the workforce and learning on the job earlier and with less debt.
With the hype around coding bootcamps reaching it’s zenith, we may see these programs coming full-circle, as they begin adding-back curriculum covering the computer science theory that they once eschewed.