Human Capital and Community Development

The basic principles of community economic development remain consistent. However, the landscape of America’s economy continues to experience profound changes such as the societal impacts of the COVID-19 pandemic. In light of persistent wage stagnation, a growing number of individuals are opting out of the conventional labor market, resulting in communities encountering difficulties in filling available positions. Moreover, the economic development process increasingly overlooks rural communities and those lacking evidence of surplus human capital. To foster growth and advancement, community leaders must acknowledge the prevailing labor market dynamics and the mounting demand for human capital while the supply diminishes due to the retirement of baby boomers and prime-age workers choosing to exit the labor market. Furthermore, the global scenario is becoming increasingly intricate, particularly regarding labor market accessibility. Community economic developers must actively engage with their local training pipeline, support system, and overall human capital to ensure adopting a long-term strategy aligned with economic development objectives.