The Brookings Institution said that Mismatches in supply and demand for educated workers boost U.S. unemployment and add as much as 2 percentage points to the jobless rates for some cities.
Cities with larger gaps in education levels between workers and available positions have lower rates of job creation and new openings, the institution’s Jonathan Rothwell said in a report published today. San Francisco, Washington and San Jose, California, have the most demand for college graduates, according to the report.
“It’s harder for employers to fill open positions if they’re in metro areas with a low-educated workforce,” Rothwell said in an interview. “There are very few job openings available for workers with less education. We need to create more openings for middle-to-lower educated workers.”
Jobs in the 100 largest metropolitan areas require more education than the workforce can provide, according to the analysis of online employment postings, occupations and educational attainment from January 2006 to February 2012. A bachelor’s degree or more is required for 43 percent of jobs, while 32 percent of adults ages 25 and older have attained that education level, according to Rothwell, a senior research associate at Washington-based Brookings.
“Metro areas with the most highly educated workers relative to demand also have the lowest unemployment rates for both less educated and less experienced workers,” Rothwell wrote. “Opportunities for those with the least education are often in the metro area labor markets with the most education.”