Discussion Paper

Making It a Priority: How State Workforce Goals and Higher Education Align

Abstract: In order to ensure that a state's workforce development infrastructure is prepared to support their workforce needs, states seek to understand and publicize the jobs that will be in future demand. Occupational projections provide a glimpse into aggregate, long-term trends, but states seek more targeted information to align their supply of workers to meet any imminent shifts in demand. Since there is no national standard for how states determine these high-demand jobs, the criteria they choose provide insight into a state's economic and policy goals. Our analysis of the Fifth District shows that states often focus on jobs that are expected to experience occupational growth, earn higher mobility wages, and/or meet certain educational requirements. With the implementation of Workforce Pell and the recent reemergence of gainful employment regulations, there is increased pressure on higher education institutions — and community colleges in particular — to ensure that programs align with workforce needs. By providing information on occupations in the state that are in high demand or have strong growth potential, state leaders can shape individual decisions on skill development, education, and career pathways. These designations can also be used to help align education, workforce, and economic development policies around common goals.

Bibliographic Information

Provider: Federal Reserve Bank of Richmond

Part of Series: Regional Matters

Publication Date: 2026-09-22