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Future of Work: Job Growth and Tech Transformation by 2028

October 22, 2024
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The American workforce is on the brink of a massive change. As technology evolves and the population ages, the job market is set to shift sharply over the next few years. The Pearson Skills Map U.S. study offers a full forecast of America’s job market in 2028, and it shows how technology and demographics together will create new jobs and reshape whole industries. Below are the key findings from the report and how employers, educators, and policymakers can prepare for the future of work.

Key Take-Aways of the Pearson Skills Map U.S. study:

  1. New Job Growth: Projected 1.9 million new jobs by 2028, despite some losses from automation.
  2. Tech-Driven Job Evolution: Over 2 million new tech jobs across all industries.
  3. Healthcare and Education Expansion: Healthcare and education will add 517,000 jobs due to aging populations and tech needs.
  4. Top Tech Roles: Software engineers, systems managers, and programmers will see 319,970 new jobs.
  5. Industry-Specific Growth: Manufacturing gains from high-tech processes and government initiatives like the CHIPS Act.

A Shifting Workforce Driven by Technology

The report finds that by 2028, the American job market will add 1.9 million new jobs. These jobs will come from a mix of economic growth (+11.25 million jobs), setting up and maintaining technology (+1.87 million jobs), and job losses from automation and augmentation (-11.2 million jobs). This shift is a fundamental change in how we work, the skills we will need, and the types of jobs that will lead the market.

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One key insight from the report is that tech advances are creating new roles in tech fields and also widening what counts as a “tech job.” Across industries, jobs will need more tech skills, and technology will become a core part of daily work in every sector. So tech expertise will be critical for success in any field, from healthcare to education to manufacturing.

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For instance, the healthcare industry is expected to see major growth in tech-driven roles. Think of nurses using data analytics to transform patient care, or doctors using AI tools for diagnosis. These are examples of how technology will redefine traditional roles. This growing demand for tech talent across all sectors is more proof that all jobs, in some way, are becoming tech jobs.

Growth in Key Sectors: Healthcare, Education, and Manufacturing

Technology will drive change across all industries, but several sectors are expected to stay top employers through 2028. The healthcare, education, and manufacturing sectors will see major growth as they adapt to new technology and changing workforce needs.

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1. Healthcare: As the baby-boom generation retires and ages, healthcare is expected to be one of the fastest-growing sectors. The Pearson Skills Map U.S. study says demand for healthcare workers will rise to meet the needs of an aging population. Healthcare professionals, from nurses to physicians, will need to blend tech skills with traditional medical knowledge. That's how they'll keep up with new advances in patient care, telemedicine, and AI-driven diagnostics.

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2. Education: The education sector is also expected to grow a lot, adding an estimated 517,000 new jobs by 2028. This growth comes largely from the rising need to prepare the future workforce for a tech-driven economy. Educators will play a key role in giving students both technical and human-centric skills so they can thrive in the changing job market.

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3. Manufacturing and Construction: High-tech processes, robotics, and green building tech are transforming manufacturing and construction. They're opening paths to well-paid, tech-driven roles. The Pearson Skills Map U.S. study suggests that government programs will add to job growth in these sectors. These include the CHIPS Act, which aims to boost semiconductor production. Semiconductor processing technicians, for example, will see rising demand as the nation focuses more on making advanced technology at home.

Tech Expertise: The Key to Success in 2028

One of the biggest takeaways from the Pearson Skills Map U.S. report is that tech expertise will reach well beyond traditional IT or engineering roles. Every industry will need tech-savvy professionals to stay competitive as things change fast. For example, HR professionals are using AI-powered tools more and more to analyze and map the skills their businesses will need today and in the future.

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This trend will also show up in sectors that have relied less on tech in the past. In 2028, retail will still be one of the largest employers. But it's expected to lose traditional roles as e-commerce grows and logistics and warehouse work become more critical. Workers in these sectors will need to embrace technology to stay relevant.

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The Pearson Skills Map U.S. report predicts that by 2028, a few roles will see some of the highest growth in the job market: systems software engineers, computer and information systems managers, and computer programmers. These roles will grow 15.4%, which adds up to 319,970 new jobs. They're essential for supporting the tech infrastructure that will power industries across the economy.

Demographics and the Aging Population

Population shifts are another key factor reshaping the workforce. The U.S. Bureau of Labor Statistics expects labor force participation to drop from 62.2% in 2022 to 60.4% by 2032, mainly because the baby-boom generation is retiring. As older, experienced workers leave the workforce, a major skills gap will open up. This is especially true in sectors like healthcare, where their departure will leave a vacuum.

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This demographic change is driving more demand for healthcare professionals. It's also creating new openings for younger workers who have digital fluency and adaptability. Younger people grew up with technology, so they'll be well placed to fill these gaps and lead the way in tech-driven industries.

Human-Centric Skills Still Matter

Technology and automation are reshaping the job market. Even so, the Pearson Skills Map U.S. report stresses that human-centric skills will stay in high demand. Skills like communication, teamwork, and organization can't be replaced. They'll remain critical in sectors that need personal interaction and physical dexterity. More and more, employers see the value of these skills alongside tech skills.

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In healthcare, for example, technology may aid diagnosis and treatment, but human-centric skills like empathy and communication remain at the core of patient care. In education, teachers who can combine technical know-how with strong people skills will be in high demand.

Preparing for the Future of Work

As the job market evolves, employers, educators, and policymakers must take proactive steps to prepare for the future. The Pearson Skills Map U.S. offers several recommendations:

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1. Employers: Invest in upskilling and reskilling your workforce. Find the tasks that can be automated and free up employees’ time for ongoing learning.

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2. Educators: Build curricula that blend technical skills with essential human-centric abilities. This prepares students for a tech-integrated future.

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3. Policymakers: Promote policies that encourage lifelong learning and ongoing skill growth to address job shifts caused by automation.

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4. Workers: Embrace lifelong learning, especially in industries facing major tech-driven changes. Staying competitive in the future job market will take both technical skills and adaptability.

Conclusion

The Pearson Skills Map U.S. gives a clear roadmap for the future of work in America. It stresses the need to adapt to tech advances and demographic changes. As employers, educators, policymakers, and workers face these shifts, it's essential to invest in ongoing learning and embrace new opportunities.

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For businesses working through these changes, Employer of Record (EOR) services play a critical role. EOR services can help companies manage their workforce needs efficiently during this period of change. They handle employment compliance, onboarding, and HR tasks. As technology reshapes industries, EOR providers can help businesses expand quickly into new markets and manage contingent or remote workers. They also help businesses stay compliant with ever-changing labor laws.

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By handing off the admin burden to EORs, companies can focus on upskilling their teams, adding new technologies, and adapting to the shifts the report predicts. This helps businesses stay agile and competitive in a fast-changing market, so they can grow and thrive in the tech-driven future of work. From managing a remote workforce to staying compliant with employment rules, EOR services will be invaluable for companies preparing for the next wave of workforce change.

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