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Mitch Wagner

How Facebook, Paypal & Mozilla Fill the Skills Gap

Written by Mitch Wagner
11/27/2012 34 comments
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The fundamental paradox of the American jobs market is that millions of people are out of work, while millions of jobs are open because employers can't find skilled employees to fill them. Facebook, PayPal, and Mozilla are looking to bridge that disconnect while doing social good, with the help of an organization called Year Up.

Year Up works with disadvantaged young adults to provide training in IT jobs and an internship in IT, which often leads to a job.

"Right now, we've got more than three million jobs open in this country and 10 million unemployed. Why can't we connect them?" said Jay Banfield, Founding Executive Director for Year Up, moderating a panel at the recent E2Innovate conference.

Facebook finds its growth limited by the availability of good people with basic science and math skills, said Steve Ruggiero, director of IT operations for Facebook.

The social network also needs critical problem solving skills; because the company is breaking new technology ground, employees can't count on looking up answers to questions on the Internet. Equally important, IT employees need to be generalists, with soft skills, including the ability to tell stories that get other people passionate about working in teams.

Rapid change in the technology industry means that specific skills are less important than the ability to learn and work in a business environment, the panelists said. For example, strategic technologies such as Hadoop simply didn't exist five years ago. So Mozilla doesn't expect to find job candidates versed in the latest technologies, said Matthew Zeier, senior director of IT for Mozilla. Mozilla places more importance on growth potential in new hires than current skills.

The rate of change will likely continue, with technology moving in surprising directions, Nora Grasham, director of product development for PayPal, said.

Schools haven't been turning out the candidates that companies need. That failure isn't the fault of the schools alone; educational institutions lack the ecosystem of business partners needed to give students the tools they need for the workplace, Ruggiero said.

Grasham said she would like schools to do more to teach teamwork to IT students. If businesses cooperated with schools to designate problems for students to work on, they would benefit by finding the solutions, and students would be able to tell job interviewers about what they accomplished, rather than simply listing the classes they took. The projects would also give students an opportunity to exercise teamwork skills needed in the workplace.

All three companies rely on mentoring to help candidates grow once they've joined the company. Mozilla looks to surround entry level employees with people who can teach them the skills they need to advance.

Similarly, Facebook uses the on-boarding process to identify strengths and passions in new hires, Ruggiero said. Engineers go to a six-week boot camp to study Facebook's technology and methods, and when they're done, the candidates pick their own teams to work with. That allows training to be self-directed.

EBay, which owns Paypal, uses training and opportunities to change jobs within the company to make employees want to stay, said Grasham, who has been with eBay for 12 years.

"If you grow skills in the company, then the skills the company needs five years from now are more likely to be there," Ruggiero said.

All three companies praised Year Up as a source of recruits. The recruits are impressive because they have a passion to succeed, and they're not afraid of failure or taking risks.

"What keeps us coming back [to Year Up] is we know they're going to be incredibly motivated," Grasham said.

Zeier spoke about one rising star at Mozilla who started as a Year Up intern. He started working on desktop support, and took it on himself to fix bugs and push Web content. Now, the employee is part of the team that manages uptime. "He's going to be a leader tomorrow. He doesn't know he's on that path, but he is," Zeier said.

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chuckgregory - I've read that companies which relocate typically find themselves closer to the CEO's home. That's true of companies of all sizes -- some huge multinationals. 

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Excellent points, Rufus. I'm discouraged by internships myself. 

Mitch Wagner
Thinkernetter
Monday December 3, 2012 8:55:36 PM
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Joanne Goldman - It helps keep the students from becoming unemployed. 

Mitch Wagner
Thinkernetter
Monday December 3, 2012 8:54:31 PM
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Bolinbroke - The perennial joke in IT is help-wanted ads that require five years of experience in technologies that only existed for three years at the time of the ad. I've seen those ads myself. 

Mitch Wagner
Thinkernetter
Monday December 3, 2012 8:53:16 PM
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kq4ym - I agree this is the kind of thing that can be abused, but teaching new skills on the job is likely to increase job longevity. 

sarahp
IQ Crew
Friday November 30, 2012 11:53:02 PM
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I have to admit that the more I hear about how the cloud has helped those effected by Hurricane Sandy, the more for it that I am. Now with that being said I do think we shouldn't be placing extremely sensitive info on it, like financial as an example. Instead put those on a local externalhard drive and keep that in a safe with very select few can access it. Other than that, I am all for the cloud and I am glad that it has helped out many companies during Sandy.

chuckgregory
IQ Crew
Friday November 30, 2012 1:20:34 PM
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If you pay based on tasks completed, and quality of work, then you reduce the risk of getting ripped off by telecommuters. As far as getting people into one room and interacting--you are absolutely right, that is a great advantage for a creative project. Put that team together, maybe buy them some pizza, let them loose. You will be amazed at the result.

RufusJones
Rank: Web master
Friday November 30, 2012 1:13:24 PM
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@chuckgregory:  It depends on your view of workers. If you assume that people are not naturally lazy, that they prefer to do good work, so they can get raises and promoted-- and that most people are uncomfortable ripping people off, then telecommute is fairly obvious.

If you view the workplace as a jail, where employees need to be watched over, not so much.

I will say this. There are jobs where you benefit from bringing people together and letting them bounce ideas off each other. A lot of creative work, web design-- and if you like Agile/Team/Scrum, et al, regular programming.  Virtual doesn't always work as well. In fact, when I'm, testing, I prefer to be near the developers.

But there are lot of jobs where it doesn't matter. If you're writing a software manual, you can do that from anywhere.  A lot of clerical or service jobs can be adapted too.

As I tell clients, if you haven't seen the boss in three months, it can be virtual.

RufusJones
Rank: Web master
Friday November 30, 2012 1:02:40 PM
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@smkinoshita and @chuckgregoy:  The usual reasons a business moves are:

  1. Outgrew existng facility / facility was getting old and decrepit.
  2. Sold off or moved dvisions, so current site is too big.
  3. High tax rate in current municipality and/or promised lower rate or abatement from new locale.
  4. Area they're in has gone downhill and executives don't want to drive there.
  5. New CEO or corporate owner wants to "put stamp" on business.
  6. Other companies moving to shiny new buildings.
  7. Wants to be close to suppliers and/or workers.

It was a mix of those. 

Since smkinoshita mentioned this isn't really an issue he's had much experience with, let me throw out a few issues as a thinking exercise. If you move 1,500 people-- of which 1,200 benefit and 300 are inconvenienced, is that a bad decision?  What if the 1,200 are hard to replace and the 300 are easy?

What if you inconveniece people but save lots of money and can grow (or pay more, increase dividends and boost the stock or avoid layoffs)?

Doesn't mean there weren't bad decisions. But you can see the tradeoffs.

That said, let me point out that Sherwin-Williams and AT&T have stayed downdown, that Key and PNC Banks are in facilities (both downtown and west siode) right by both major highways and mass transit stops-- as does Progressive. Some companies do think about this stuff.

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@RufusJones -- Would you happen to know why they'd move in the first place?  Moving is expensive, and it doesn't sound like they really factored in all the issues.

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