SHRM Foundation’s Skills-First Program Proves Effective in Transforming Hiring Practices

ALEXANDRIA, Va. – Today SHRM, the trusted authority on all things work, worker, and the workplace and the SHRM Foundation unveiled transformative findings from their pilot program evaluating the effectiveness of various tools and training materials across differing levels of resource and time investment. The eight-month initiative, with funding from WorkRise and local Georgia SHRM chapters, underscores the potential for employers to overcome persistent talent shortages by adopting skills-first hiring strategies – an approach that involves evaluating candidates based on skills and competencies rather than traditional qualifications like degrees. 

As the business landscape evolves, SHRM research shows 1 in 4 organizations report newly opened roles demand new skills, and 3 in 4 organizations struggle to find qualified candidates to fill these positions. Traditional hiring practices emphasizing degree requirements often exclude qualified candidates and limit workforce diversity.

The findings from the pilot program’s research reinforce that, when employers have access to organized, structured tools, trainings, and resources related to skills-first hiring and advancement, they can adopt those strategies and see benefit. These tools and training programs do not have to be resource-intensive or costly.  The results support the launch of the SHRM Foundation’s Center for a Skills First Future later this year, which will consolidate and organize hundreds of skills-first resources. This will provide employers a way to effectively search for and use these resources to adopt skills-first strategies quickly and effectively.

“We at the SHRM Foundation believe skills-first hiring is not just a solution to today’s talent challenges, but also a vital strategy for building inclusive, future-ready workplaces,” said Wendi Safstrom, President of the SHRM Foundation. “This program demonstrates how employers, with the right tools and guidance, can make meaningful progress toward adopting skills-first practices. These efforts will bridge talent gaps and create stronger, more diverse organizations to thrive in a competitive landscape.”

The Pilot Program and Approach:

The SHRM Foundation’s skills-first hiring education and technical assistance program was piloted with 20 employers in Georgia between October 2023 and June 2024. Employers participated in one of three levels of support:

• Low-touch (unassisted): Access to self-guided tools and resources.
• Medium-touch (technology-assisted): Tools supplemented with digital resources.
• High-touch (fully-assisted): Comprehensive coaching and project support.

The program’s design aimed to test the effectiveness of varying levels of intervention to identify scalable solutions for skills-first hiring adoption.

Key Findings:

• Scalability Potential: Employers across all support levels saw a reduction in barriers related to skills-first hiring and an increase in the implementation of these practices. The results indicate that low- and medium-touch approaches can aid in the adoption of these strategies without requiring resource-intensive systems, making skills-first strategies more accessible and scalable.
• Breaking Barriers to Adoption: Before the program, 75% of employers cited unclear pathways for including skilled credentials in talent acquisition and development as a barrier to considering non-degree candidates. This figure dropped to 35% post-pilot, reflecting the program’s effectiveness in clarifying implementation steps.
• Impact on Job Postings: Participating employers revised job descriptions to align with skills-first principles. Job postings requiring a degree decreased from 34% to 18%, while those highlighting skilled credentials increased from 25% to 58%.
• Collaboration as a Catalyst: Participants emphasized the value of internal co-champions and external peer networks in sustaining momentum for skills-first initiatives. Shared learning and support proved vital for overcoming implementation challenges.

The pilot program’s findings reinforce the need for accessible, structured resources to support skills-first hiring adoption. Through its commitment to innovation and inclusion, the SHRM Foundation’s Center for a Skills First Future offers a roadmap for addressing today’s workforce challenges.

By empowering employers to focus on skills and potential, the initiative widens pathways to opportunity and drives progress toward a more equitable and competitive labor market.

About the SHRM Foundation

SHRM Foundation empowers Human Resources as a force for social good. As the nonprofit arm of SHRM, the world's largest HR professional society, the Foundation believes that HR holds a unique position to lead change in the face of complex challenges within the world of work. The organization mobilizes and equips HR to ensure the prosperity and thriving of talent and workplaces. The Foundation works by widening pathways to work for more skills-first candidates and more kinds of talent; tackling societal challenges, with a current focus on workplace mental health and wellness; and strengthening the HR field with even more diversity, growth, and readiness to address these needs. SHRM Foundation works with SHRM, courageous partners, and bold investors to generate awareness, action, and impact to build a world of work that works for all. Discover more at SHRMFoundation.org.

About SHRM 

SHRM is a member-driven catalyst for creating better workplaces where people and businesses thrive together. As the trusted authority on all things work, SHRM is the foremost expert, researcher, advocate, and thought leader on issues and innovations impacting today’s evolving workplaces. With nearly 340,000 members in 180 countries, SHRM touches the lives of more than 362 million workers and their families globally. Discover more at SHRM.org.

WorkRise

WorkRise is a research-to-action network on jobs, workers, and mobility based at the Urban Institute. WorkRise connects workers, employers, researchers, and advocates to build evidence to inform and shape policies and practices that bring economic security and upward mobility for all US workers—opening new opportunities for workers to thrive at work and in life.