In the news. Experienced tradespeople are retiring from jobs AI cannot perform, but not enough young workers are ready to replace them, Fortune reports. Part of the problem is perception: The trades are often deemed less prestigious despite strong demand and pay. Meanwhile, hybrid roles such as “AI safety operator” are emerging outside tech, and blue-collar data center jobs pay 42% more per hour than all other postings. For employers, the result is a mismatch between where demand exists and where talent is headed, leaving roles unfulfilled and hurting revenue. [Fortune]

In many cases, workers targeting new positions already have the adjacent skills and can move without sacrificing pay, but the job posting requires a qualification they lack.

On McKinsey.com. The biggest workforce challenge posed by AI and automation adoption may not be a shortage of jobs but helping workers transition to new roles. The McKinsey Global Institute’s Anna Kortis, Diego Castresana, Kweilin Ellingrud, María Jesús Ramírez, and Tanguy Catlin estimate that although roughly 11 million workers in declining occupations may need to change jobs by 2035, only about one in seven has a direct path into growing work. Credential requirements could block otherwise viable moves, while “empowering skills” such as resilience and curiosity will become more valuable. No stakeholder can build these pathways alone; business leaders will need to collaborate with educators, governments, and workers to bridge the skills gap.

Build pathways to better jobs