The SHRM Foundation has launched a national initiative aimed at helping employers shift from degree-based hiring to skills-first strategies, providing tools to identify and grow talent based on ability rather than credentials.
Announced June 2, the new Centre for a Skills First Future (SFF) is described as a central hub for organizations to adopt, scale, and sustain skills-based hiring and workforce development practices. The initiative is designed to help employers address ongoing talent shortages while expanding access to work for those without formal post-secondary education.
“More than half of job descriptions still require a four-year degree, even though two in three working-age adults in the U.S. don’t have one,” the foundation said in a statement.
Tools to support practical change
The centre is organized around four components: a Skills Action Planner, a Resource Library, a professional credential for HR practitioners, and a Vendor Database of implementation partners. These resources are intended to offer evidence-based solutions to common barriers faced by employers in adopting skills-first approaches.
“A skills-first future is not a trend — it’s the direction the workforce is already moving,” said Wendi Safstrom, president of the SHRM Foundation. “Skills-first practices reduce cost-per-hire by up to 30% and cut turnover rates by over 40%. These are compelling data, which reflect real opportunities for employers to build more agile and effective teams.”
Supported by cross-sector partners
Founding investments in the initiative came from Walmart, the Charles Koch Foundation, and Workday. Their support was echoed by leaders from all three organizations.
“We believe we can unlock new talent pools when we give people credit for all the skills and experience they bring to the table,” said Julie Gehrki, president of the Walmart Foundation.
“At the Workday Foundation, we believe that talent is everywhere, but opportunity is not,” said Carrie Varoquiers, chief philanthropy officer at Workday.
The centre is also backed by 11 cross-sector organizations including Business Roundtable, Credential Engine, Grads of Life, and the U.S. Chamber of Commerce Foundation. These partners helped shape the centre’s strategy and tools to align with employers’ real-world needs, the foundation said.
Addressing systemic gaps in hiring
The SHRM Foundation said it developed the Centre for a Skills First Future to respond to long-standing challenges in the labour market: persistent skills gaps, high turnover, and barriers to employment for non-degree holders. The foundation emphasized that the new platform is designed to turn intention into action by offering companies practical tools and peer learning opportunities.
“Organizations that embrace this approach will discover tremendous mutual benefit as they recognize each person’s unique contributions and place the right people in the right roles based on their demonstrated capabilities,” said Ryan Stowers, executive director of the Charles Koch Foundation.
SHRM represents nearly 340,000 members in 180 countries and says its initiatives impact more than 362 million workers and their families.
