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Newsletter No. 15 - January 2004

We are seeing increasingly that businesses are having difficulties in finding technically skilled people with a good understanding of how to put their knowledge into a business context. The term "Gold Collar" worker has been used to describe this pool of skilled and sought after people and it is interesting to consider who these elusive people are and how to manage them.

The Gold Collar Worker

There is a wide range of definitions of a Gold Collar worker. In general they combine the "hands on" approach and specific skill of the blue-collar worker with the more general business knowledge of the white-collar worker. They are involved in translating technical information into business growth. Gold Collar workers include those in a range of roles that can be characterized as being complex, technical, problem-solving, and non-routine. These people are imaginative and original and expect to be integrally involved in decision-making and more often than not are more loyal to their profession than the company. One area where the Gold Collar worker is typically prevalent is in information technology. However, these characteristics sit well with many in research and development and typify research areas such as biotechnology.

In a 1995 survey by Cornell Business School of 500 top Business Managers, 80% of them said that the 'Gold Collar' worker of the future would be somebody with a science degree and a further qualification e.g. MBA in business.

Why are they valuable?

Organisations need people with the appropriate technical knowledge and business savvy to respond to the changing work and global environments to maintain a competitive advantage. Gold Collar workers are highly valuable employees because they are flexible, good at self-management, have knowledge in different areas of an organisation, problem solving abilities and commitment to the leading edge.

What this means...

The flexible nature of the Gold Collar worker and the demand for their services means that they are faced with many opportunities - which they can easily take up if they find themselves in an unsatisfactory situation. The opportunistic and competitive qualities of the Gold Collar worker may be valuable when they work for the organisation but it also makes them more likely to move on to one of the many other options open to them.

Given the costs of recruitment of Gold Collar workers, new rules and structures may be needed to retain them. Some of the areas that have been identified as important are:

  • Competitive salaries and benefits
  • Strong leadership
  • The provision of meaningful jobs and the resources to do the job
  • New technology learning opportunities
  • Providing for the workers' personal development

While many of these are not new, they must all be addressed in a way that is appropriate to the Gold Collar worker and the company. For example the opportunity for the person to have a financial stake in the company is increasingly being seen as a means to provide the need for involvement and the incentive for a long term commitment.

As well as specifically considering the management and retention of Gold Collar workers, employers will also need to consider how they can increase the availability of gold-collar workers. The current under representation of women in Gold Collar areas, the knowledge and experience of older workers and highly qualified people forced into low skill employment could all be considered. It is also important to recognise that the "highly skilled" asset of Gold Collar workers does not necessarily mean skill acquired through academic training but possibly skill gained through continual learning or experience. Communication skills are a good example of this.

For the New Zealand environment finding Gold Collar workers is indeed a challenge. Our own pool is small, and our isolation and low wage structure are a disincentive. The fact that many businesses we know successfully attract Gold Workers from offshore is a credit to the quality and appeal of their businesses.

We thank Jacqueline Rowarth, Dean, Graduate School and Director, Research, Unitec, Auckland for bringing this topic to our attention.

 
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