A lack of training or education is the primary obstacle to career advancement for more than half of employees pursuing a change in employment, according to a recent survey from the Federal Reserve Bank of Minneapolis in partnership with community nonprofits WorkWell MN and Community Action Partnership of Hennepin County.
The results of the survey were released on July 16 during a webinar by Minneapolis Federal Reserve Regional Outreach Director Erick Garcia Luna.
Forty percent said access to affordable housing would be helpful for career advancement. Twenty five percent reported struggling with insufficient time to job hunt. Job seekers cited training and education as most important to reach their career goals. Both employed and unemployed jobseekers cited insufficient pay, lack of schedule flexibility, and requirements above their skill level as deterrents when applying or accepting jobs.
All respondents cited pay as their top priority, with a majority earning between $16 and $20 an hour. These respondents expressed a desire to jump to the next wage bracket of $21 to $25 to better meet their needs.
Though inflation has decreased since it peaked in 2022, respondents said the price of food is still rising. Groceries are one of the main sources of financial stress, topped only by rent expenses. This concern was noted among 20 percent of respondents who reported having no savings; only a fifth stated they had enough savings to cover expenses for more than six months.
Employed respondents are most satisfied with the flexibility and work-life balance of their jobs, while for opportunities for career advancement ranked lowest. Of those desiring changes in their job conditions, most were seeking promotions or a new job; 12 percent were interested in acquiring a second job. Of unemployed respondents, only 7 percent left their jobs voluntarily and almost 80 percent were actively seeking work, according to the report.
Of the respondents, 43 percent are currently employed, 53 percent are unemployed and seeking work and 4 percent are unemployed but not seeking work. Full-time employees made up 64 percent of employed survey-takers. Approximately 70 percent have been at their current job for less than two years, which Garcia Luna said could be due to increased mobility resulting from a tight labor market.