facing a deficit of “applied soft skills” such as work ethic, social skills, communication and leadership. Policy issues The need for greater partnership and transfer of information between institutions of higher education is essential in reducing the skills gap for old and young people alike. Expanded internships, returnships, and post-hiring training can help from the employers’ perspective and upgraded and more authentic technical training will help close the gap on the side of educators. The World Bank's 2019 World Development Report on the future of work explains that flexible learning opportunities at universities and adult learning programs that allow workers to retrain and retool are vital in order for labor markets to adjust to the future of work. There is some controversy surrounding the use of retraining to offset economic changes caused by free trade and automation. For example, most studies show that displaced factory workers in the United States on the average have lower wages after retraining to other positions when a factory is closed due to offshoring. A similar issue surrounds movement from technical jobs to liaison jobs due to offshore outsourcing. Such changes may also favor certain personality types over others, due to the changing tasks and skills required. Other research estimates that one academic year of such retraining at a community college increases the long-term earnings by about 8 percent for older males and by about 10 percent for older females. Government policy may make a difference in employability and motivation for retraining and re-entry into the workforce for older workers. In economies with greater regulations surrounding the hiring, termination and wages, reductions in unemployment were difficult to achieve. The very groups harmed by continued higher unemployment were those that the regulations sought to protect. Retraining is sometimes offered as part of workfare programs, which may include support for transportation, childcare, or an internship. Health effects of unemployment As difficult and controversial as it may seem, retraining older and younger workers alike to prepare them to be part of a changing workforce will have a lasting impact on workers across the globe. Unemployed workers are at significantly greater risk for poor physical health, greater stress, alcoholism, marital problems and even suicide. Among young workers, beginning their careers with extended bouts of joblessness results in lower overall earnings and more unemployment throughout their careers. See also Efficiency Labor shortage Standardization Sustainability Trade Adjustment Assistance Vocational rehabilitation References