Stackable certificates could be a lifeline for governments facing an IT talent crisis

Local and state governments are grappling with a severe shortage of skilled IT workers, particularly in critical areas such as cybersecurity, data analysis, and artificial intelligence. With their higher salaries and more attractive work environments, the private sector and the federal government are poaching talent from local and state governments. 

Compounding this workforce shortage is a retention crisis. The “Great Resignation” significantly impacted the public sector, with many employees leaving their jobs for retirement, better pay, benefits, or due to burnout. A 2022 survey revealed that more than half of state and local government workers were considering leaving their jobs.

So, how can the public sector bridge this widening talent gap and improve retention? The answer may lie in upskilling current employees through stackable certificate programs.

Stackable certification is an education and training program designed to be approachable and flexible for working adults. Classes are designed to be cumulative, with each credential building upon the skills and knowledge of the previous one, offering a flexible, incremental approach to earning higher-level degrees or certifications. 

Stackable certificates are often developed in close partnership with employers to meet specific skill needs. In this context, the collaborative efforts between local and state governments, community colleges and universities can be tailored to close the tech gap facing the public sector. 

For example, a local government employee might enroll in a community college and earn a basic certificate in IT fundamentals with a few months of coursework, qualifying them for entry-level IT help desk jobs. After working for a while, the staff member could take more courses to earn an advanced certificate in network administration, with their IT fundamentals certificate also counting toward this new credential. They might then decide to pursue an associate degree in IT, with many of the courses from their network administration certificate stacking into the associate degree requirements, allowing them to complete the remaining courses without starting from scratch. Later, the employee could transfer to a university degree program to earn a bachelor's in information technology, with the stackable associate degree covering a significant portion of the requirements, enabling them to complete the degree in less time than if they had started with no prior credentials.

It's a win-win situation—workers gain skills and advance their careers while local and state governments build the necessary capabilities. The design of these programs also makes them more financially feasible for local and state governments in this era of fiscal constraint, compared to hiring someone with technical skills in the labor market who may not fit well with the agency culture.

The success stories of stackable certificate programs are not just theoretical; they are tangible and proven. In Tennessee, a partnership between the state labor department and online learning platform Coursera equips workers with in-demand skills like data analytics. Similarly, Virginia's community college system has seen higher employment rates and wages for previously unemployed adults who complete stackable credentials, demonstrating the effectiveness of this strategy in a practical setting. These are not isolated instances. Other states, including Indiana, Kentucky and North Carolina, have also implemented stackable certificate programs with encouraging results, showcasing the versatility and adaptability of this approach.  

Despite those successes, stackable credentials are not yet widespread. They are most commonly available in technical fields like IT, health care, advanced manufacturing, and mechanic trades. Significant work remains to scale up consistent, high-quality stackable pathways that will be recognized by employers. State and local policymakers and education leaders can accelerate the growth of options by targeting investments, strengthening employer partnerships, and improving information and advising for students.

Local and state governments must get the implementation right to make upskilling stick. That means forging close partnerships with educators to keep curricula cutting-edge, offering flexible learning options to fit employees' schedules, and providing incentives like tuition benefits and promotions to encourage participation.

Implementing stackable certificate programs is not without challenges. Some employees may resist change or hesitate to invest time in learning new skills. Local and state governments must also secure funding to sustain these programs long-term by integrating them into their human capital strategy. Addressing these concerns head-on and having open conversations with stakeholders, including employees, technical experts, and educators, can help mitigate potential obstacles.

The benefits of investing in workforce development and retention go beyond plugging short-term skill gaps. By investing in their people, local and state governments can reduce costly turnover and engender loyalty. Workers are likelier to stick with an employer supporting their growth and development. Moreover, providing continuous learning and development opportunities can make government employment more attractive in general. 

In an era of breakneck digital transformation, local and state governments can't afford to be left behind. Stackable certificates offer a practical, cost-effective, and agile strategy to upskill their tech workforce. By doing so, they can build a more resilient, capable, and loyal workforce ready to deliver the services constituents expect in the 21st century.

Nelson Lim is a senior social scientist at RAND, where he directs the workforce, development, and health program in RAND Project AIR FORCE and spearheads human resource management projects for federal agencies as well as the city of Los Angeles and the city of San Diego. He is also a professor of policy analysis at Pardee RAND Graduate School.