This blog is the first in a series that examines the technology talent gap by major metro area serviced by Genesis10. Coming up we will also be looking at Austin, Cleveland, Des Moines and Kansas City.
Summary
- Milwaukee faces a projected need for 31,000 additional tech workers over the next five years—excluding potential new jobs like Foxconn—raising concerns about whether current supply can meet demand.
- Wisconsin’s STEM graduate output has grown faster than the national average, supported by strong school–business partnerships.
- Employers report widening skills gaps beginning in K–12 and too few candidates actively seeking roles.
- Hardest roles to staff include cloud, application development, security, and BI/data analytics.
- Contributing factors include low unemployment, limited applicant pools, and uncertainties around immigration and talent misrepresentation.
- Short-term responses include engaging retirees, upskilling/reskilling, tapping veterans and junior talent, and location strategy.
- Education–industry collaboration is expected to narrow gaps over the next five years.
Background: Demand Forecast and Context
Does Milwaukee have the tech talent it needs to meet forecasted demand? That's a question civic, business and technology leaders are asking in the wake of the recent publication by local companies of Milwaukee's Tech Talent Impact: An Overview of Tech Occupations and Tech-Dependent Industries.
The study shows that the region may need 31,000 more workers in the next five years to fill technology roles vacated by those retiring or changing careers. This forecast does not include the thousands of jobs expected to be created, including those Foxconn proposed earlier this year when it announced that it is building a U.S. headquarters and other facilities in the Milwaukee area, as we mentioned in the recent blog, Milwaukee Tech Talent Study Reveals Need for Workforce Strategy.
Even though a group of executives is collaborating on a new talent supply and demand study which will propose solutions to address the workforce challenges facing the region, let's look at the region's current workforce composition and respond to the question:
Core Question
Does Milwaukee have the workers it needs to meet projected demand for 31,000 workers?
Based on a recent CompTIA survey of IT Business Executives across the U.S., nearly half see growth in the technical skills gap and related technical gaps currently experienced by their organizations. While there are many reasons for the gap, 87% of the execs believe that colleges and universities are not preparing students properly to be successful in this current technology landscape. Another 89% believe this tech deficiency begins in K–12 schools. Consistently we hear how crucial the STEM (Science, Technology, Engineering, Mathematics) talent pipeline is to the global economy and in the State of Wisconsin it is no different.
STEM Pipeline Trends in Wisconsin
To this end, the National Center for Education Statistics' IPEDS database shows that the number of graduates in STEM fields has been steadily growing since 2009. In Wisconsin from 2010 to 2015, the number of graduates from these programs increased at a rate higher than the national average, reflecting the quality of Wisconsin's STEM education and the increased focus its institutions have been placing on partnering at the State and Local level.
"Through focus, investment, commitment and innovation, more schools in Wisconsin have the resources to offer their students a STEM education that equips them with in-demand skills, valuable knowledge and encouragement to create...The most successful STEM schools in the state have close partnerships with local businesses, who will often donate funds, materials and technology. They, in turn, see the fruits of this investment in internships, apprenticeships and full-time employees."
The strides Milwaukee has made are encouraging and will help build workforce capabilities through education and partnership over the next 5 to 10 years.
Current Labor Market Realities
In comparison, the current landscape tells a different story which underscores the need for candidates with technology skills. The figure below highlights how few candidates are actively looking for a technology position. Tight labor markets and sheer demand for tech talent have created challenges in attracting and retaining the "right tech talent" to meet immediate resourcing needs. Immigration reform and talent misrepresentation have created additional uncertainty in the staffing process.
Hardest Roles to Staff
Based on Genesis10's experience in Milwaukee, the most difficult skills to recruit for are, according to Anna Huf, Genesis10 Milwaukee Team Leader: Cloud, Developer and Business Intelligence / Data Analytics. Our experience over the past six months is consistent with the ComputerWorld 2017 Survey indicating that Security, Application Development and Business Intelligence and Analytics are the top three skills most difficult to recruit for in a tight talent market.
Why Positions Are Hard to Fill
Key reasons employers cite for difficulty filling open positions include:
- Lack of applicants
- Gaps in hard and soft skills
- Low unemployment
Short-Term Strategies to Expand Capacity
Staffing companies and consulting firms alike are looking at talent pools through a different lens to increase the workforce in the short term:
- Bringing back retirees
- Training to upskill or reskill
- Tapping returning military veterans
- Developing junior talent
- Capitalizing on location strategy to shift where the work is performed
Outlook: Next 5–10 Years
Over the next five years, we expect workforce gaps will be reduced due to the strong collaboration between Corporate America and our education system, but in the short-term, the gap will require creative approaches and investment to increase workforce capacity.
Q&A
Question: Does Milwaukee currently have enough tech talent to meet the forecasted demand?
Answer: Not in the short term. The region is projected to need 31,000 additional tech workers over the next five years just to backfill retirements and career changes—excluding potential new jobs like those tied to Foxconn. Employers report widening skills gaps and too few active candidates, suggesting immediate shortfalls. However, growing STEM output and stronger education–industry partnerships point to improvement over the next five years.
Question: What’s driving the tech skills gap in the Milwaukee area?
Answer: Multiple factors are at play. According to a CompTIA survey, 87% of IT executives believe colleges and universities aren’t adequately preparing students, and 89% say deficiencies begin in K–12. Tight labor markets, low unemployment, a small pool of actively searching candidates, and uncertainties around immigration and talent misrepresentation further complicate hiring.
Question: Which tech roles are hardest to fill right now?
Answer: Cloud, application development, and business intelligence/data analytics top the list locally. This aligns with national findings (e.g., ComputerWorld 2017) that security, application development, and BI/analytics are among the most difficult skills to recruit in a tight market.
Question: What short-term strategies can employers use to close immediate gaps?
Answer: Employers are broadening their talent lens. Tactics include engaging retirees, upskilling or reskilling current staff, tapping returning military veterans, developing junior talent, and using location strategy to shift where work is performed.
Question: What’s the outlook for the next 5–10 years, and how might education–industry collaboration help?
Answer: The pipeline is trending positively. Wisconsin’s STEM graduates grew faster than the national average from 2010 to 2015, and schools with strong business partnerships are converting collaboration into internships, apprenticeships, and hires. As these efforts scale, workforce gaps are expected to narrow over the next five years, though near-term needs still demand creative investment.
