Issuu

FOURTH QUARTER 2025

VIRGINIA’S TALENT PLAYBOOK: RETENTION // ATTRACTION // EDUCATION // ACCELERATION // ALIGNMENT // THE COMMONWEALTH’S GAME PLAN FOR DEVELOPING THE COUNTRY’S BEST WORKFORCE PERSPECTIVES FROM THOUGHT LEADERS

Peter Beard, U.S. Chamber of Commerce Foundation Alison Lands, Jobs for the Future

Groundhog Mountain Overlook, on the Blue Ridge Parkway in Carroll County, features a log observation tower that dates to 1942 and rewards visitors with scenic views of the surrounding mountains.

Contents 16 Inside Virginia’s Push to Become the Top State for Talent Talent attraction, educational alignment, reducing barriers to employment among key issues

22 The Gen Z Talent Conundrum The newest workforce cohort brings tech savvy and tremendous upside to the economy — if it can overcome some systemic challenges

26 From Uniform to Opportunity How Virginia leads the nation in veteran career transitions

30 Virginia Works to Meet the Tech Moment Key investments at Virginia Tech, George Mason, University of Virginia help the Commonwealth position itself as a home for AI innovation

36 Workforce Training at the Speed of Industry

04 Facts & Figures 06 Virginia Wins 10 Putting Talent in the Right Place A Conversation With Peter Beard

34 Durable Jobs, Transferable Skills A Conversation With Alison Lands

48 Thinking Globally, Recruiting Locally 52 Regional Spotlight 62 Economic Development Partners in Virginia

Virginia’s FastForward program offers locally relevant job training and certifications — efficiently and affordably

40 Bespoke Training for Emerging Workforce Needs Award-winning customized training programs help companies ramp up quickly in Virginia

44 Maintaining the Talent Pool Demographic shifts make talent attraction and retention a key priority for states, regions, localities

Subscribe today. Visit www.vedp.org/Virginia-Economic-Review 1

Wintergreen Resort in Nelson County is a four-season resort that offers seasonal skiing, snowboarding, and snowtubing in addition to 45 holes of championship golf and an award-winning tennis program.

How Virginia Plans to Become the Top State for Talent VIRGINIA HAS LONG BEEN CELEBRATED for the quality of its workforce and talent pipelines. A 2025 WalletHub study ranked the Commonwealth as the sixth-most educated state in the country, and the most educated in the South by a wide margin. CNBC ranked Virginia as the top state for education in its 2025 Top States for Business rankings, and the Commonwealth has not finished lower than second in that category since 2018. Factor in best-in-class workforce training solutions like the Virginia Talent Accelerator Program, consistently recognized as the best customized workforce training program in the country in Business Facilities’ rankings — and Virginia’s talent advantage becomes even more pronounced. These successes form the backdrop of our goal to position Virginia as America’s Top State for Talent. With its newly established Talent and Workforce Strategy Team in place, VEDP is in an ideal position to lead on this initiative, but it will take a concerted effort among many partners to achieve this ambitious goal. We have identified three core strategies to advance this goal: attracting and retaining talent, promoting alignment between education and employment, and reducing barriers to employment. This push comes at a key moment in the United States, with birth rates falling and a greater share of Americans reaching retirement age, leading to what Hamilton Lombard, a demographer with the University of Virginia’s Weldon Cooper Center for Public Service, calls an “arms race” and a “war for talent” among states and regions. Preparing talented Virginia natives for the jobs of

tomorrow is of paramount importance, along with effectively positioning the Commonwealth’s economic and qualityof-life assets to attract talent from other states while putting its workforce in position to succeed through relevant training and policies that enable those workers to obtain and succeed in high-quality jobs. In this issue of Virginia Economic Review, we take an in-depth look at Virginia’s talent infrastructure and the ways the Commonwealth invests in its workforce. We discuss the challenges Virginia must overcome to solidify its position as America’s top state for talent, take in-depth looks at key segments of the Commonwealth workforce, and detail some of the training programs that differentiate Virginia’s approach to helping companies capitalize on the talent available within our borders. Also inside are discussions with Peter Beard, vice president of policy and programs at the U.S. Chamber of Commerce Foundation, and Alison Lands, vice president of employer and workforce solutions at Jobs for the Future. We hope you enjoy this look at the world-class talent available in Virginia and the investments the Commonwealth is making to realize this goal: America’s Top State for Talent.

Jason El Koubi President and CEO, Virginia Economic Development Partnership

STATE FOR EDUCATION 2025

STATE IN THE SOUTH: EDUCATIONAL ATTAINMENT 2025

43.3% 4

Virginia population 18 years of age and older with a bachelor’s degree or higher Federal Reserve Bank of St. Louis, 2025

#1 #2 #1 #3

Customized Workforce Training

Tech Talent Pipeline

Cybersecurity

AI Jobs Market

2025

BUSINESS FACILITIES TECH TALENT LEADERS

#4 #12 #14

Labor Pool Greater Than 100K D.C. Metro Area

Labor Pool Under 50K Virginia Beach Metro Area

Labor Pool Under 50K Richmond Metro Area

2025

Selected Virginia Wins AstraZeneca 600

New Jobs

$4.5B

CapEx

AstraZeneca, a multinational pharmaceutical company, will invest $4.5 billion to establish a new drug substance manufacturing facility at the Rivanna Futures site in Albemarle County focused on treatments for chronic diseases. The project will create 600 new jobs and is the largest investment in the company’s history. The new facility will produce small molecules, peptides, and oligonucleotides for the company’s weight management and metabolic portfolio, including oral GLP-1, baxdrostat, oral PCSK9, and antibody drug conjugates, a key component for cancer treatment. VEDP worked with Albemarle County and the General Assembly’s Major Employment and Investment (MEI) Project Approval Commission to secure the project for Virginia. The site had previously been awarded a $9.7 million grant from VEDP’s Virginia Business Ready Sites Program, and support for AstraZeneca’s job creation will be provided through the Virginia Talent Accelerator Program, ranked as the No. 1 Customized Workforce Training Program in the United States by Business Facilities the last three years. All training and education, including at Virginia community colleges and universities, will be aligned with international best practices and standards.

Eli Lilly and Company 650

New Jobs

$5B CapEx

Eli Lilly and Company, a global leader in pharmaceutical innovation, will build a $5 billion state-of-the-art manufacturing facility at the West Creek Business Park in Goochland County, a significant expansion beyond the initially planned $2.1 billion investment. The project will create 650 high-wage jobs and produce both critical drug components and finished medicines. Based in Indianapolis, Lilly has more than 49,000 employees worldwide and manufacturing facilities in nine countries, with U.S. facilities in four states and Puerto Rico. The new site will be the company’s first dedicated, fully integrated active pharmaceutical ingredient and drug product plant for Lilly’s emerging bioconjugate platform and monoclonal antibody portfolio. These treatments are primarily used to treat cancer but are being explored for autoimmune diseases and other conditions as well. VEDP worked with Goochland County and the General Assembly’s MEI Project Approval Commission to secure the project for Virginia. Support for Lilly’s job creation will be provided through the Virginia Talent Accelerator Program.

Selected Virginia Wins Central Virginia

Shenandoah Valley

Jobs: 600 New Jobs CapEx: $4.5B Locality: Albemarle County

Jobs: 500 New Jobs CapEx: $3B Locality: Rockingham County

AstraZeneca

Merck & Co.

Greater Richmond

Southern Virginia

Jobs: 100 New Jobs CapEx: $28.5M Locality: Henrico County

Jobs: 825 New Jobs CapEx: $457M Locality: Halifax County

ABB

Hitachi Energy

Dover Food Retail

Nathan Trotter

Jobs: 300 New Jobs CapEx: $20M Locality: Chesterfield County

Jobs: 118 New Jobs CapEx: $65M Locality: Henry County

Eli Lilly and Company

Southwest Virginia

Jobs: 650 New Jobs CapEx: $5B Locality: Goochland County

VFP, Inc.

Jobs: 200 New Jobs CapEx: $35M Locality: Scott County

Red River Foods

Jobs: 23 New Jobs CapEx: $15.5M Locality: Henrico County

Multiple Regions

Hampton Roads

CapEx: $9B Locality: Chesterfield County, Loudoun County, Prince William County

Google

KCG Engineering Group

Jobs: 60 New Jobs CapEx: $185K Locality: City of Chesapeake

Northern Virginia Cailabs U.S. Inc.

Jobs: 16 New Jobs CapEx: $300K Locality: Arlington County

Systems Planning & Analysis

Jobs: 1,200 New Jobs CapEx: $46.9M Locality: City of Alexandria, Fairfax County

Roanoke Region New River Valley

Southwest Virginia I81-I77 Crossroads

Northern Shenandoah Valley

Washington, D.C.

Northern Virginia Shenandoah Valley Central Virginia

Greater Fredericksburg

Northern Neck

Middle Peninsula Greater Richmond Lynchburg Region

Eastern Shore South Central Virginia

Southern Virginia

Virginia’s Gateway Region Hampton Roads

PUTTING TALENT IN THE

A CONVERSATION WITH PETER BEARD Peter Beard is vice president of policy and programs at the U.S. Chamber of Commerce Foundation, where he leads workforce development projects and initiatives. VEDP Senior Vice President of Talent and Workforce Strategy Megan Healy spoke with Beard about talent in Virginia and the rest of the country and the ways states and regions can help ensure alignment between skill development and employer needs.

Megan Healy: As a representative connected with one of the country’s largest business associations, what is the current state of talent in the United States? Peter Beard: I’d answer this in two ways — looking at the headwinds and tailwinds we face. If we start with the tailwinds, we’re seeing a lot of positive movement around this whole idea of skills-first or skills-based hiring and advancement. We’re seeing the Society for Human Resource Management (SHRM) Foundation step up, and more and more employers focusing on skills, which is really important. I also think one of our tailwinds is that we continue to have a strong economy in the United States today, which is really, really important. The final tailwind is that we’re seeing states innovate in this space, which creates opportunities to think about leveraging that in a good way. Unfortunately, the headwinds are also pretty significant. First, as many of us know, there’s a lot of uncertainty in today’s world, particularly with artificial intelligence. One of the biggest challenges is that skills are changing at such a fast pace. Lightcast has done research on this, and over the last three years, the average job in the United States has faced a 33% change in its skills. If you’re in the top 25% of jobs, it’s a 75% change in skills. That’s only going to accelerate. And then, unfortunately, we also have a demographic headwind. Baby boomers are aging out of the workforce, and at the same time we have fewer and fewer people coming into it.

Healy: Here in Virginia, we’re thinking about what our future talent strategy needs to be. What do you think it would take for a state like Virginia to have a legitimate claim as America’s top state for talent? Beard: I’m going to break it into two parts. One, I think an element of claiming you’re the top state for talent is how are you preparing that workforce of the future — individuals and students currently in the education system who are navigating their way through it — to enter the workforce for the first time? I know in Virginia you’ve got probably about 315,000 students in grades 9–12, which means every year, 75,000 folks enter the workforce from Virginia. We need to think about how we’re preparing them for this future economy. I read an interesting article in Forbes recently that described the importance of what they call the five C’s: communications, collaboration, critical thinking, curiosity, and creativity. If folks were leaving the public school system with those skills developed during their time in high school, Virginia would be in a very good place. Anyone graduating from a Virginia educational institution should be highly proficient in Excel, and potentially Tableau for visualization, because

Excel is the foundational basis for data analytics, which will be a critical skill going forward. As we think about that, how are we helping folks acquire these skills so they can be competitive in this changing labor force? The other part is the current workforce. You’ve got a workforce of about 4.5 million people in Virginia. One way to think about it is we need 100% of the eligible workforce with skills at the highest levels possible, which means focusing in on an equation that someone once shared with me. The two ways to grow an economy are people and productivity, and productivity is a function of skills and technology. As we confront that demographic challenge, we ought to be focused on skill-building, having everyone attain their highest possible skillset, and using technology to increase productivity. One headwind any state faces is how to ensure that adult workers are both literate and numerate enough to obtain those new skills as we go forward. Healy: I think currently we see a skills gap, which you mentioned, but in the future it might be a people gap. We’re not going to have enough workers. Can you tell us why, and what strategies you would recommend to attract and retain more talent within Virginia?

A C O N V E R S AT I O N W I T H P E T E R B E A R D

Beard: That shortage index looks at the number of job openings versus the number of workers who could fill those jobs. I think in Virginia, you have about 73 workers for every 100 job openings, which is a pretty severe shortage of workers. Understanding that piece becomes important in strategizing. How does Virginia continue to build an innovation economy that attracts individuals to the Commonwealth? Folks need to understand what the core jobs are here that provide great economic opportunity and mobility. How do we also ensure that Virginia is diversifying its economy? Partly because of proximity to the nation’s capital, a significant part of the workforce is in professional services, serving other parts of the public sector. You’ve got some really good manufacturing in Virginia, and health care is a big part of the economy as well. But how are we thinking about diversity and building on what may be coming in the frontier and taking risk there? We’re seeing movement in certain states, like Illinois, New Mexico, and others, in quantum computing. Obviously, Virginia

has assets related to data centers. In fact, a big part of this technology is in Virginia. Opportunities lie in the middle-skill occupations, which require education and skills beyond high school, but not quite a four-year college degree. How do you make the state a desirable place for folks? Part of it is that diverse economy. Healy: You engage with businesses every single day, and they’re telling you they can’t find the right workers, the right skills. How should they engage in this conversation about attracting and retaining talent? What does that look like for the business community? Beard: In many respects, it starts with leadership. I think the business community in many, many regions comes together because they want a strong regional economy, and it takes businesses to help grow that. And it takes state-level leadership, the governor and business leaders coming together, agreeing on where we want to be as an economy going forward, understanding where we are today, and mapping out a plan to get there. How do we support reskilling and retooling some of the existing workforce? If you think about data centers, how are we retooling electricians, HVAC, and plumbing professionals who are necessary for not only building, but maintaining those critical parts of the infrastructure? A good example is Virginia’s shipbuilding capabilities, where a number of those workers are probably about to retire. How are we looking at those legacy jobs and ensuring we have replacements? One other thing is how we think about economic development. Does Virginia want to be a hunter? Who should we go after, who belongs in Virginia, and how do we target them to come here and

demonstrate that the workforce is ready for them? Or should Virginia take a more passive approach, being a gatherer and waiting for folks to show up at our front door? The work that Virginia did to bring Amazon to the Commonwealth is a good example of “Let’s be a hunter,” but how do we use data and AI to understand which companies are thinking about relocating, and are they the kinds of companies that belong in Virginia? Healy: The Strada State Opportunity Index categorizes Virginia as a developing state for employer alignment based on measures of college-level employment and labor supply and demand. What goals, outcomes, or metrics do you think should be used to assess alignment between education and employment? Beard: I think part of it gets down to how we align incentives around the performance you’re seeking. I spent part of my most recent career in Houston in workforce development. We saw Texas adopt, in essence, a performance orientation funding system for the community colleges, which changes the incentive to think about how we create credentials of value, and begin thinking about how we ensure positive educational outcomes are a result of the pathways and programs of study within higher ed institutions. More fundamentally, how are we fostering engagement with employers to help lead and ensure those programs build capabilities so that someone

A C O N V E R S AT I O N W I T H P E T E R B E A R D

coming out of any public or private Virginia institution has a pathway to a job that requires a four-year college degree? One of the big challenges throughout the country, and probably in many parts of Virginia, is that college graduates are underemployed in roles that don’t require a four-year degree. We should be upskilling and reskilling them so they have a pathway to be fully employed, given their level of education and skills. Also, how do we make our programs of study more agile to meet the quickly changing skills requirements, and have that informed by the skills employers say they need. Healy: One of the things Virginia is emphasizing and investing in is work-based learning experiences. We know some students say they need experience to get a job, but they need a job to get experience. You mentioned the five C’s that are important for employers, so what do you think is the role work-based learning, specifically internships, should play in talent, alignment, attraction, and retention? Beard: I think about work-based learning as a continuum. It also gets to what I would describe as intensity as well as dosage. Internships and apprenticeships should be a pretty intense set of experiences that both the educational institution and the employer must be prepared to execute. Roles should be considered very carefully to ensure that employees are prepared to enter the workforce and that employers are prepared to support them effectively. I think those are the gold standards of actually getting people work-ready by providing experience. There can be dosage things where we think about project-based learning and opportunities for folks to work on and try to solve real-life business problems.

Here at the Chamber Foundation, we have Employer-Provided Innovation Challenges, our EPIC initiative. How do you begin to bridge the gap and bring employers into the classroom, working with a professor or teacher and students on a specific challenge for five or six weeks? We certainly need more internships and apprenticeships, but we should also consider how we provide the dosage for the realities of what it means to be in the workforce.

Child care becomes a critical thing that has two main goals. One, how do we ensure our children are starting out well in life? But also, how do we relieve stress on adults so they have the opportunity to fully participate in the workplace? PETER BEARD Vice President of Policy and Programs, U.S. Chamber of Commerce Foundation

How do we not only provide opportunity in the workplace, but replicate the workplace within education so folks get that experience, given how challenging it can be to get everybody into an internship or apprenticeship? While large employers generally have the bandwidth to do fairly effective internships and apprenticeships, it’s really the small and mid-size employers where there’s huge opportunity to

develop new skills. Unfortunately, smaller businesses probably don’t have the type of HR department and management needed for that. Healy: That’s some of the work we’re trying to do in Virginia around our Innovative Internship Fund and Program — working with small businesses, incentivizing them through a match to bring on an intern, and then wrapping supports around them. It’s very, very important to the businesses, and it’s important for Virginia and economic development so we retain our talent in Virginia. How about individuals on the sidelines who don’t realize they’re in a job and not a career? What do you think are the most significant barriers to employment in today’s economy? Beard: Obviously, opportunities are within the education system to get better at that. But if you’re already in a job and you don’t know that the public workforce system is available to help you chart a career pathway, or that organizations like a United Way or Goodwill provide career pathway services, you could be stuck there. A big piece is helping people determine where they are now, and then find a pathway that gets them to the next stage of their career. I think there’s huge opportunity in the long run to figure out how we use artificial intelligence and agents to help people find their pathway. But at the same point, we’ve got to meet individuals where they are in the workplace and recognize they’re probably stressed. They may have applied for jobs many, many times and heard nothing. I talked recently with someone who shared that a staffing firm was using

A C O N V E R S AT I O N W I T H P E T E R B E A R D

AI agents to do the initial candidate interview, and they would use that as a way to decide whether a candidate was ready for that job. But the candidate got a call with feedback. Now there’s a feedback loop that I think is really important, helping people begin to do that — “We don’t think there’s a role for you in this job, but here’s another two or three jobs you might consider.” That’s the kind of support we’ve got to provide. The other challenge any region or state confronts is child care. As you know, it gets to be expensive and potentially sidelines a portion of our workforce because it doesn’t make economic sense for them to go to work if it’s still costing them money, so a spouse or partner stays home to provide child care. Here at the Chamber Foundation, we’ve done research on the untapped potential in this space. I’ll use North Carolina because it’s an adjacent state, but also because it has many similarities to Virginia. In North Carolina, the estimate is $1.3 billion in missed state tax revenue due to turnover and absence in the workforce. Child care becomes a critical thing that has two main goals. One, how do we ensure our children are starting out well in life? We know quality early education is critical for brain development and long-term success. But also, how do we relieve stress on adults so they have the opportunity to fully participate in the workplace?

Beard: I think it’s still emerging. We’re trying to figure out exactly what will happen as AI comes into this. But it also requires us to innovate very carefully in this space. We know AI increases productivity. The U.S. Chamber of Commerce surveys small businesses, and they adopt AI and increase their productivity. The residual benefit is that they hire more people. I think AI has the potential for bringing folks in, but it also gets to the point that AI may not take your job — but the person who knows AI and has the skills for AI might take your job.

How can we avoid using AI to knock out the initial rungs of the ladder? It requires, in many respects, restructuring entry-level jobs not to eliminate them, but to help develop individuals so they have the experience to become the mid-level person most folks are going to want. PETER BEARD Vice President of Policy and Programs, U.S. Chamber of Commerce

I think another challenge is housing affordability. Those of us in the Washington area know that’s big, and we’ve got to find ways to make housing affordable because it’s how people choose locations. Then transportation may become another barrier. Healy: What is your perspective on the role of AI in the development of and demand for talent?

Foundation

folks are going to want. We’ve got to retool existing ladders or progressions by modifying those jobs and how we bring folks in. But I do think we’re going to also see collisions coming that we’ll have to track and integrate into education systems. A recent Harvard Business Review article debated this question of whether or not the chief human resource officer role and the chief technology officer role should be merged. There are three points of that they view. One is that they should be, one is that they shouldn’t be, and the third is that they should be partnering in a different way to partly merge them. I think we can use lots of different strategies to bring AI into the workplace and understand its dimensions. Here at the U.S. Chamber, we do a hackathon where teams think about business challenges within the Chamber that need to be solved, bringing in technology and artificial intelligence, and then implementing those solutions. I think this idea can help the business community figure out the applications and how we ensure our employees have the skills to participate. But I also think hackathons could show up in the education space — how do teachers think we could use AI in the classroom in different ways? Those are some of the things we’ve got to be thinking about, because if folks leave the education system without AI skills — understanding prompts, understanding the ethics — they’re going to be at a disadvantage. Healy: We’ve covered a lot today. What’s the most important talent-related issue we haven’t discussed? Beard: How we pay for the education and skills people need. When you think about the workforce of the future

A C O N V E R S AT I O N W I T H P E T E R B E A R D

I talked recently with someone who shared that a staffing firm was using AI agents to do the initial candidate interview, and they would use that as a way to decide whether a candidate was ready for that job. But the candidate got a call back with feedback. Now there’s a feedback loop that I think is really important, helping people begin to do that — ‘We don’t think there’s a role for you in this job, but here’s another two or three jobs you might consider.’ That’s the kind of support we’ve got to provide. PETER BEARD Vice President of Policy and Programs, U.S. Chamber of Commerce Foundation

and the individuals working their way through the education system, there are college savings plans, loans, scholarships, and other things. But when you think about the big chunk of our human capital that is already in the workforce in the United States, which is 170 million individuals, how are we going to upskill and reskill them at scale, and who funds that? I think there are opportunities for public-private innovations in that space. In fact, one of the innovations the Chamber Foundation is partnering with the Chamber on is something called a skill savings account, which is something very similar to an FSA or an HSA, but an individual could buy or enroll in the skills program that gets them to the next level of their career growth. It would require amending Section 127 of the Internal Revenue Code, which is about education assistance benefits — where employers can provide education assistance taxfree to individuals. How can employees and employers contribute to this so there’s a pool of funding that allows workers to go get their next set of skills? I think that’s one of the biggest challenges we’re going to confront.

we invest in individuals currently on the sidelines for these next-skilling/ reskilling opportunities? Beard: Oh, that’s a tough one. I think there’s huge opportunity from a productivity standpoint on the upskilling and reskilling to retain, but if you were thinking about public dollars, it’s probably more on how you get sidelined folks back into the workforce, because they probably need additional wraparound supports. But can we find ways to leverage the 529 plan and sell units so that employers can provide upskilling and reskilling? Are there either tax deductions or credits that would encourage employers to invest in reskilling and upskilling their workforce? Once

again, it’s a question of the most effective use of public dollars, but also the incentives the Commonwealth can implement that might encourage private investment as well. Healy: Thank you so much, Peter. I really appreciate your insights, your thoughtfulness, your strategies, and all the work that you do, specifically around talent and workforce. Beard: Megan, it was my pleasure. Thank you for having me.

For the full interview, visit www.vedp.org/Podcasts

Healy: So, do you think we should invest in our current workforce, or if we have limited dollars, should

INSIDE VIRGINIA’S PUSH TO BECOME THE TOP STATE FOR TALENT Talent attraction, educational alignment, reducing barriers to employment among key issues

irginia’s long-held reputation as a top state for business is based on its strong economy, robust infrastructure, innovative incentives and programming, and, increasingly, its highly skilled workforce. To remain atop state business rankings and compete for projects, the Commonwealth is committed to also becoming America’s Top State for Talent. With its newly established Talent and Workforce Strategy team in place, VEDP is prepared to take a leading role in the Commonwealth’s quest to top the talent rankings, but achieving this ambitious goal will require a cross-sector, crossagency effort. Together, VEDP and its partners will take a multifaceted approach to address the many dimensions of Virginia’s talent pool and pipeline. Virginia’s plan to become the Top State for Talent includes three core talent strategies: attract and retain talent, promote alignment between education and employment, and reduce barriers to employment.

WINNING THE TALENT WARS Demographic trends are making attracting and retaining talent an increasingly difficult and complex goal. Population aging and lower birth rates are leading to a shrinking workforce, both for Virginia and the rest of the country. Congressional Budget Office data indicates that the share of the U.S. population over the age of 65 rose from 12.4% in 2007 to 17.9% in 2024. It is expected to top 20% by 2035. “We’re going into a bit of an arms race,” said Hamilton Lombard, estimates program manager in the Demographics

Research Group at the University of Virginia’s Weldon Cooper Center for Public Service. “I’ve heard it described as a war for talent — when you have less growth in the workforce, you’re competing harder for it. These points are going to become increasingly salient over the next five to 10 years.” In other words, what had previously been a skills problem is becoming a people problem. What does the workforce of the future look like with Virginians having fewer children — and what does it look like when North Carolinians and Tennesseans and Marylanders are having fewer children as well? How can states work most effectively to attract talent to their workforce? The states that figure this out most effectively will position themselves to win the talent war. “We’re at a point in Virginia and nationally that over the next seven to 10 years, we’re not going to grow anymore unless we are attracting new workers and residents. It’s just an aging population,” Lombard said. “This ability to attract and retain talent becomes more and more important, because you’re not having more people turning 18 and coming into the workforce. If you want to maintain your workforce, you’ve got to attract or retain.” To keep Virginia workers and students in the state and convince residents of other states to relocate to the Commonwealth will require creativity and storytelling. A large part of this will center around why Virginia is a great place to live, work, and play. Localities and the state as a whole must market the Commonwealth’s quality of life — positioning Virginia as a place workers want to live (see page 44).

I N S I D E V I R G I N I A’ S P U S H TO B E C O M E T H E TO P S TAT E F O R TA L E N T

The Roanoke Region engages “talent ambassadors” to tell their story. These 40 locals connect with new arrivals, sharing their regional expertise and personal experience to convince transplants to remain long term. “We’ve got this brand that people know as an outdoor destination. But when they come here, they also need to know we have good jobs and places for them to live so they can get ingrained in the community quickly,” said Julia Boas, director of business investment at the Roanoke Regional Partnership. “Now we focus a lot of our specific talent attraction marketing efforts around removing barriers to those things, creating user-friendly resources for people, and then driving traffic to

those resources so that people can see themselves here.” Beyond promoting the Commonwealth’s quality of life, Virginia is committed to implementing policies and programs that encourage workers to remain in or relocate to the Commonwealth. A partnership between VEDP and the State Council of Higher Education for Virginia (SCHEV), the Innovative Internship Program is providing $14.5 million in funding for fiscal 2026 to increase internships and other work-based learning opportunities. By connecting students with employers while they are still in school, the program aims to increase the number of students who take jobs within the state post-graduation.

KEY PARTNERS IN THE TOP STATE FOR TALENT INITIATIVE

STATE COUNCIL OF HIGHER EDUCATION FOR VIRGINIA

I N S I D E V I R G I N I A’ S P U S H TO B E C O M E T H E TO P S TAT E F O R TA L E N T

THE COMPETITIVE EDGE: REAL-WORLD EXPERIENCE According to hiring managers surveyed, the most cited places students gain the skills needed for early-career success are:

46%

40%

37%

31%

Internships

Trade schools/ technical colleges

Four-year colleges

Career and technical education courses

Source: U.S. Chamber of Commerce, New Hire Readiness Report, 2025

HELPING EDUCATION MEET THE NEEDS OF INDUSTRY Stuart Andreason is executive director of programs at the Burning Glass Institute, an organization that conducts research at the intersection of learning and work. Before that, he earned his bachelor’s and master’s degrees from the University of Virginia and spent time working in economic development in Greene and Orange counties, north of Charlottesville, in the late 2000s — an experience that has informed his career since then. “There was a lot of work going out for economic development projects that wasn’t landing, because there wasn’t a great talent story at the time,” he said. “The jobs that were coming in didn’t feel like the types of economic development wins that the communities wanted.”

One concept Andreason highlighted is that of the “Learning Society,” a departure from the way the United States educates its children, which he called the “Schooled Society.” Currently, education is delivered through schools and focuses on children, measuring progress by years of schooling and attaching employment and social mobility to credentials. This model does a lot of things well, notably making universal education a right while driving prosperity and boosting social mobility. But it also offers little integration between education and career and limited opportunity for continued learning. The Learning Society, in contrast, provides a structure for learning across a person’s lifetime, building on the foundation laid through schooling. This type of setup

I N S I D E V I R G I N I A’ S P U S H TO B E C O M E T H E TO P S TAT E F O R TA L E N T

ensures that each job transition is an opportunity for economic mobility, gives workers agency over their career progress, and enables them to stay relevant even as jobs shift. Similar ideas have described a highway model for education, with workers using on- and off-ramps to navigate jobs and necessary training. The Virginia Office of Education Economics (VOEE) plays a key role in the Commonwealth’s efforts to align education and industry. VOEE, the first state office of its kind, leverages data to inform education and workforce programming, policy, and partnerships across Virginia. The Workforce Credential Grant (also known as FastForward, and detailed on page 36) and the G3 program, two impactful Virginia higher education funding streams, rely on VOEE analyses to identify programs that align to highdemand occupations. Virginia higher education institutions also use VOEE data as part of their new program approval process. VOEE provides labor market and education data to demonstrate whether there is a need for a program. As an apolitical organization, VOEE (as well as VEDP) is positioned to provide reliable, consistent, and unbiased information across gubernatorial and legislative changes.

“VOEE has a structure where we’re in an authority that is not beholden to an administration or the General Assembly,” VOEE Executive Director Wendy Kang said. “Being at VEDP, we’re in a unique situation where we can transcend administrations and changes to be true to our purpose. You need that stability to look at data objectively.”

GETTING VIRGINIANS OFF THE SIDELINES Even with the people and training programs in place, Virginia may still struggle with a labor shortage if barriers keep skilled workers out of the labor force. The Commonwealth recognizes that to be the Top State for Talent it must also address those factors that inhibit people from working. Child care availability is another barrier that prevents many workers, particularly women, from participating in the workforce — an issue exacerbated when nearly 16,000 child care centers and licensed family child care programs across the country closed permanently during the COVID-19 pandemic. According to a 2020 U.S. Chamber of Commerce Foundation study, more than half of working parents (58%) reported leaving work during the pandemic because

77%

Percentage of HR professionals who report difficulty filling full-time positions Society for Human Resource Management, 2025

I N S I D E V I R G I N I A’ S P U S H TO B E C O M E T H E TO P S TAT E F O R TA L E N T

they were unable to find child care solutions that met their needs. A 2021 Pew Research study also noted “taking care of home/family” as a primary reason women left the workforce, with 79% of mothers citing that factor and 23% of fathers (up from 4% in 1989 and now the second-largest factor, behind only illness and disability). Even when parents can find a provider, Child Care Aware of America data places the national average annual cost of child care at more than $13,000 per child, making it more cost-effective for many parents to stay home rather than pay for care. Another common barrier to employment is transportation, particularly in rural areas. According to the Federal Reserve Bank of Richmond, citing a South Carolina Department of Employment and Workforce survey from 2022, nearly 20% of individuals who were able to work but not currently working cited transportation as a barrier. Housing costs are also a significant issue. According to a 2025 report from the National Low Income Housing Coalition, there are no states, metropolitan areas, or counties in the United States where a worker earning the federal or prevailing state and local minimum wage can afford a modest two-bedroom rental home. “In the last decade, we’ve seen the price of existing home sales double,” Lombard said. “That really affects the workforce, particularly the younger part that’s trying to buy their first home. In many of the major job centers across the country, home ownership has basically become out of reach.”

To be the Top State for Talent, Virginia must engage all of Virginia’s talent, including vulnerable populations, but these Virginians are particularly sensitive to workforce barriers. Virginians with disabilities are more likely to have issues with transportation, and workers with a history of substance use or involvement with the justice system have specific hurdles to overcome before participating in the workforce. Workers who struggle with behavioral health issues are another key group. Not only are they an important talent pool for Virginia’s economy, these individuals are more likely to keep up with treatment when they are employed.

WORKFORCE DEVELOPMENT IS ECONOMIC DEVELOPMENT Andreason highlighted the nuances of building and promoting a strong talent base as part of a holistic economic growth strategy. “How do you align talent strategies with economic development strategies?” he asked. “How do you understand what types of talents make a place competitive, and what can you do to invest in that?” Becoming the Top State for Talent is fundamental to Virginia’s economic development. Virginia’s most valuable economic resource is its people. In the face of a shrinking workforce, the Commonwealth must ensure that its workers have the necessary skills and access to contribute to the economy, while also attracting new workers to the state. Virginia’s plan to be the Top State for Talent will require collaboration among all of its education and workforce partners, and it will include every worker — or potential worker — in the Commonwealth.

!!! The newest workforce cohort brings tech savvy and tremendous upside to the economy — if it can overcome some systemic challenges

s more tenured employees must upskill and reskill to adjust to an economy that is increasingly reliant on technology and, specifically, artificial intelligence (AI), Generation Z workers are entering the labor market as the first generation of digital natives. McKinsey & Company describes Gen Zers as “extremely online,” living much of their lives, including work, through technology. While there is significant concern about the amount of time younger generations spend on devices, these ingrained technological skills can also provide an advantage in the workforce. At the same time, while technological innovations have changed the hard skills companies are looking for in new employees, some workforce skills (e.g., soft skills) will always be in demand. Noah Porter, a mechanical engineering student at George Mason University, is firmly in the middle of Gen Z. As part of his studies, Porter is interning with Newport News-based Eagle Aviation Tech, a company that can appreciate both his Gen Z technological skills and his soft skills like punctuality. “The internship got me moving in the morning,” said Porter, who resisted the snooze button at 7 a.m. every day and got ready for work. “I was getting up and being more productive.” Porter and his Gen Z peers are entering the job market with a unique set of skills, but they also must navigate a multigenerational workforce and a difficult economy.

ECONOMIC HURDLES FOR NEW WORKERS Porter and his Gen Z peers face strong economic headwinds. According to the World Economic Forum, entry-level job postings dropped 29% between January 2024 and September 2025, and the unemployment rate among workers 16–24 jumped to 10.5% in August 2025. The once-certain pathway from college to a promising career isn’t guaranteed for Gen Z workers, who are projected to make up 30% of the U.S. workforce by 2030, according to the U.S. Bureau of Labor Statistics. Recent college graduates face greater headwinds than they have in the past. Data from the Federal Reserve Bank of New York indicates that the unemployment rate of college graduates aged 22–27 is higher than that of all workers of all ages for the first time in recent memory, although still lower than that of all workers in that age range. “Thirty years ago, parents who could were pushing their kids toward a four-year college degree in order to improve their long-term employment prospects,” said Sonya Ravindranath Waddell, vice president and economist at the Federal Reserve Bank of Richmond. “But a large share of students who start a four-year degree don’t finish in six years, and college enrollment is on the decline, due not only to the smaller population of 18-year-olds, but also due to students choosing to enter the workforce after high school or choosing shorter-term programs or apprenticeships.”

Of course, finding a place in the workforce is not just a challenge for Gen Z. It is a more general issue for workers entering the labor market after a long absence or for the first time, including Virginia’s sizable veteran population (see page 26). Fed Chair Jerome Powell recently described the job market as “low-hire, low-fire” — where a low but rising unemployment rate of 4% masks the underemployed, workers with side hustles, and those who have given up on their job search.

DEFINING GENERATION Z There is no official designation for when a generation begins or ends, but most research and marketing firms define Gen Z as those born between 1997 and 2012. While each generation is composed of unique individuals, those in the same generation share many of the same defining cultural moments that help to shape traits and values. “What makes a generation is shared cultural experience,” said Christina Brooks, senior director for community initiatives at the Hampton Roads Workforce Council (HRWC). For Gen Z, the most obvious unifying cultural experience to date has been the COVID-19 pandemic. Porter missed in-person learning from the end of eighth grade into high school. At the same time, older members of Gen Z were navigating a job market that had suddenly gone remote. The age of technology also helps define Gen Z.

T H E G E N Z TA L E N T C O N U N D R U M

NanoSonic, Inc., Giles County

Kaléo, Richmond

Beanstalk Farms, Fairfax County

Dr. David Doré is the chancellor of the Virginia Community College System (VCCS) — comprising 23 colleges and an annual student population of more than 200,000. “They’re the first generation who have only known the digital age,” Doré said. “There’s this notion of mobile-first communication. Anytime, anyplace, any-format learning.”

These experiences — the pandemic and digital age — and others have helped shape a generation that, according to McKinsey & Company, are more pragmatic, individualistic, and politically and socially active than their older colleagues (millennials). Brooks pointed out two other commonalities, “One of the superpowers of Gen Z is collaboration — working

with peers and working with groups — and one of the other most remarkable characteristics about Gen Z is they’re more diverse than any previous generation.” Gen Z’s knowledge of, utilization of, and relationship with AI may be what makes them most distinctive. “Gen Z students are incredibly tech-fluent,” Doré said. “In some instances, Gen Z students are coming in a whole lot more comfortable with AI.”

T H E G E N Z TA L E N T C O N U N D R U M

Porter uses AI as a tool to brainstorm, rather than a turnkey solution. “I use it to help me organize my thoughts more,” he said.

CAREERS BUILT ON VALUES Education and workforce leaders are committed to capitalizing on Gen Z’s strengths and values to help smooth their transition to the workforce. According to Doré, Gen Zers are motivated by “relevance and purpose.” He continued, “They desire early career exploration and clear wage outcomes.” Michelle Williams, talent and digital strategies program manager at the Roanoke Regional Partnership, also highlighted the generation’s interest in authenticity and livability: “When you pair that with a career, where your life is going, and livability, that really matters to them.” Brooks agrees. The students she works with care about the potential for upward mobility as much as the salary. More than other generations, Gen Z

cares about building careers and lives, not just finding their first job. Companies that recognize the potential of Gen Z to contribute to their culture and bottom line can attract workers by catering to these values. Wells Fargo took that into consideration when expanding operations in Roanoke County. The global financial institution announced an $87 million expansion in 2023, detailing plans to add 1,000-plus jobs to its current regional workforce of 1,650. The company chose the Roanoke area in part because the leadership believed in the region’s ability to attract and retain the younger workers who will form the core of its workforce moving forward. Gen Z is “starting to choose locations partially because of the idea of having entertainment options that are relatively inexpensive, or even free, which means that a lot of outdoor activity is really important to them,” said Brian Corde, managing partner at site selection firm Atlas Insight, who led the Wells Fargo project. “We see where people are going,

and a lot of people are choosing to leave urban areas for locations that have a lot more open space, a lot more sunny days, and a lot more ability to keep more of your income in your pocket.” Shawn Avery, HRWC’s president and CEO, has some advice for other employers and workforce partners who are ready to welcome Gen Z. “You’ve got to figure out how you communicate to those generations,” he said. “But I think we all have the same mindset. We want to do a job, and we want to do it well.” Porter certainly shares that sentiment. A willing ambassador for Gen Z at his Eagle Aviation Tech internship, he’s eager to help out his millennial and Generation X co-workers. “I’ve got better knees,” he joked. With Generation Alpha entering middle school, it won’t be long before Porter and his fellow Gen Zers are working alongside an even younger generation. But for now, all eyes are on how Gen Z can contribute to the workforce and economy.

MELD Manufacturing, Montgomery County

Uniform to Opportunity From

How Virginia leads the nation in veteran career transitions

ome to one of the largest concentrations of active duty and veteran talent in the country, Virginia has engineered an ecosystem that helps those who served translate military experience into high-value private sector careers. With more than 20,000 service members transitioning each year in the Hampton Roads region alone, Virginia’s mix of mission-aligned industries, forwardleaning workforce policy, and best-inclass education pathways has become a national model for veteran employment and retention. “Virginia creates a ready-made network for military veterans,” said retired Rear Adm. Charles “Chip” Rock, a regional economic leader, advocate, and U.S. Navy veteran. “It’s a natural connection, a place where defense-related jobs are all around us, and the transition from military service to civilian service makes sense.” Business and economic development leaders increasingly view hiring veterans as more than a patriotic duty or geographic necessity — it’s a strategic advantage. Veterans bring the work ethic, safety mindset, and team discipline employers say they struggle to cultivate. As one higher education leader put it, if you select for veteran-caliber character, you won’t end up dismissing people for the “soft skill” problems that drive many separations. “You can count on veterans for soft skills…veterans bring with them that trustworthiness, the integrity, the

showing up to the job on time,” said Steven Borden, director of the Center for Military & Veterans Education at Tidewater Community College (TCC), which operates four campuses in Hampton Roads.

A DEMAND SIGNAL, A WORKFORCE ADVANTAGE Years ago, regional leaders saw a problem: Troops nearing separation were overwhelmed by a “dartboard” of programs of varying quality. The Hampton Roads Workforce Council (HRWC) responded by creating the Hampton Roads Veterans Employment Center (HRVEC). HRVEC operates inside the transition pipeline, meeting service members during required classes, and connecting them with vetted employers, education options, internships, and entrepreneurship resources before their last day in uniform. That early touchpoint matters, HRWC President and CEO Shawn Avery said, because it converts “interest” into clear next steps while the audience is still captive. Engaging military spouses and families is another crucial step. As Avery noted, “We learned right off the bat we’ve got to work with the family members.” A dedicated spouse team helps families navigate workforce credentials between states, so trailing spouses can re-enter the workforce quickly. At the state level, the Virginia Department of Veterans Services

During their service, military veterans gain invaluable skills in leadership and integrity, and other skills gained from experience with cutting-edge technologies.

FROM UNIFORM TO OPPORTUNITY

operates the Virginia Values Veterans (V3) program. V3 incentivizes companies to recruit, hire, and retain veterans through training and prehire support. The program’s free certification has helped more than 3,600 employers attract and retain veterans and assisted nearly 150,000 Virginia veterans and military spouses in landing jobs since its inception in 2012.

TRANSLATING MILITARY EXPERIENCE INTO DEGREES AND JOBS The Commonwealth’s community colleges also play a critical role supporting veterans as they transition to civilian occupations. The statewide Credits2Careers portal allows veterans (and other learners with recognized credentials) to map military occupations and industry certifications to academic credit, revealing faster, cheaper pathways to degrees or stackable certificates. “It was focused specifically on veterans to see how their military occupations could allow for them to be eligible for academic credit,” said Emily Jones-Green, interim director for Transfer Virginia and Credit for Prior Learning with the Virginia Community College System (VCCS). The portal’s “Fastest Degree” feature analyzes a veteran’s Joint Services Transcript and identifies the shortest pathways to a credential that meets their goals. The healthcare industry provides prime examples of pathways from military occupations to the civilian workforce. According to Jones-Green, heavy work is underway to formalize pathways for medics and corpsmen into paramedicine, nursing, imaging, and other high-demand roles, aligning prior learning with accreditation requirements. The same approach is being extended to logistics and other in-demand fields. In Hampton Roads, TCC partners with shipyards, using its mobile welding lab to bring training to the field, enabling “hire-train-place” models where students learn on the same yards that

will employ them. The college’s Skilled Trades Academy in Portsmouth shows how workforce providers can scale their pipelines for maritime, construction, electrical, coatings, and shipfitting.

EMPLOYERS THAT MAKE IT WORK: CULTURE, COMMITMENT, CONVERSION State-level policies and programs, regional initiatives such as HRVEC, and a network of connected and supportive community colleges help prepare veterans to confidently enter the workforce. Once there, Virginia employers are prepared to further support veterans as they transition to civilian life. Xavier Beale is the vice president of human resources at Newport News Shipbuilding (NNS), a division of HII (formerly Huntington Ingalls Industries). He also chairs the Virginia Board of Workforce Development. A former member of the Virginia Army National Guard, Beale offers a two-step “playbook” that employers across the state can emulate to hire, retain, and support veterans.

steel toes.” Veterans also have a lot of opportunity to advance at NNS; 25% of senior leadership are veterans. Borden emphasized the importance of helping veterans identify with the purpose of a company. Adjusting to their first civilian job after separation can be difficult. Borden has watched veterans job-hop in the early years — not from a lack of skills, but because they miss the sense of mission. Intentionality on both sides — veterans and employers — can help ensure a successful transition. Veterans should target values-driven organizations, and employers should mentor deliberately, articulate purpose, and check in on whole-person wellness. For veterans, Borden warned, identity is often “all wrapped up in that service,” and supporting new hires as they find their new sense of self can help turn them into long-term contributors.

THE VIRGINIA METHOD

◾

Recognize the Value of Veterans: “Veterans bring a sense of a strong work ethic…[they are] disciplined, punctual, and mission-focused,” Beale said. They also arrive with hands-on operational experience and familiarity with shipboard systems — advantages that “add value to our operations at a much more accelerated rate” than newcomers without that background.

Virginia’s success is, ultimately, based on a network of partnerships. Policies and programs lay the groundwork for a state that values its veterans. Workforce councils represent industry and connect veterans to resources and companies early. Community colleges translate military service into academic credit and provide access to career pathways. And employers invest in culture and processes that help veterans successfully complete their transition into the civilian workforce. The result: more veterans choosing to stay, more spouses entering the labor market, and more companies building resilient teams around values-driven talent.

◾

Build a Celebratory Veteran Culture: According to Beale, NNS celebrates veterans and fosters a culture of inclusion, engagement, and recognition. Crucially, the company makes the military connection visible: “We have more than 4,000 [uniformed] Navy personnel in our shipyard, in and out of our gates on a daily basis…they take off one uniform and put on another: a hard hat and

Beale framed the win-win succinctly: Veterans continue to serve in a new civilian uniform, equipped with the skills and values business leaders say they need most. Employers who recognize this rich talent pipeline — and do their part to provide outreach, translation, and culture — reap the benefits in terms of productivity, safety, innovation, and retention. Hiring veterans isn’t charity, it’s competitive strategy.

FROM UNIFORM TO OPPORTUNITY

You can count on veterans for soft skills. Veterans bring with them that trustworthiness, the integrity, the showing up to the job on time. STEVE BORDEN Director, Center for Military & Veterans Education, Tidewater Community College

Virginia trails only California in active duty military personnel, and thousands of service members separate from active duty at Commonwealth bases each year.

Naval Station Norfolk

Key investments at Virginia Tech, George Mason, University of Virginia help the Commonwealth position itself as a home for AI innovation

hree years after OpenAI launched ChatGPT, Virginia continues to capitalize on its position as a global tech leader to solidify its place in the AI industry. With over 31,000 AI-related job postings in 2024, Virginia ranked fourth nationally in the Stanford AI Index Report, trailing only states with far bigger workforce populations (Texas, California, and New York). Decades of strategic investment in the technology sector have propelled the Commonwealth to the forefront of the global AI landscape. Dubbed “Silicon Valley East” by Business Traveler, Virginia is unmatched in highly skilled and concentrated tech talent, especially in Northern Virginia. In 2024, the Commonwealth had the third-highest share of technology companies (per WalletHub), and Business Facilities ranked Virginia’s tech talent pipeline third in the country. Virginia’s position as a top state for tech talent is not by chance, but the product of significant historical and ongoing investments in its tech talent pipeline, including the landmark Tech Talent Investment Program (TTIP). Launched in 2019, TTIP is a $1.1 billion, 20-year commitment to increasing the number of BS and MS graduates in computer science and related fields by at least 30,000. TTIP was conceived as part of Virginia’s 2018 winning proposal to Amazon for its HQ2 facility, and institutions are using TTIP monies and other funding sources to fuel research, facilities, and programs dedicated to expanding and maintaining a robust and innovative tech talent workforce.

George Mason University

Virginia Works to Meet the

TECH MOMENT

VIRGINIA WORKS TO MEET THE TECH MOMENT

Virginia Tech

“As we expand our three campuses across Northern Virginia to create a thriving tech corridor from Washington D.C. to Prince William County, George Mason and our partners have been propelling the region together,” said George Mason University President Gregory Washington. “The Commonwealth is seeing an enormous return on investment as our students graduate at record numbers and stay to work in the region, helping to propel the state as a leader in business, nationally and globally.”

ESTABLISHING NORTHERN VIRGINIA AS A TECH HUB Over the life of TTIP, Virginia Tech and George Mason will each receive up to $400 million, with $250 million of funding dedicated to capital investment in Northern Virginia. As the primary TTIP recipients, both institutions established facilities near the National Landing area that’s home to HQ2. Virginia Tech’s state-of-the-art Innovation Campus in Alexandria officially opened Academic Building One in February 2025. The 11-story, 300,000-sq.-ft. facility, just south of Ronald Reagan Washington National Airport and served by the Potomac

Yard-VT Metrorail station, anchors the university’s growing presence in the region and serves as a hub for advanced research. The new campus also houses the Institute for Advanced Computing (IAC), designed to foster partnerships between industry and the federal government, enabling graduate students to tackle global-scale challenges through hands-on collaboration.

transforming industry and economies,” Sands added. “As one of the leading producers of talent in the region, working hand in hand with industry and government partners, we can provide students with the handson skills they need for success now, and the ability to reimagine their role through lifelong learning as the workplace evolves.”

“As technology reshapes society, the expanding and evolving need for talent is one of our greatest challenges. Higher education can meet the challenge by giving students the knowledge and experience they need to seamlessly move from learning to leading as they join the workforce and take on real-world problems,” Virginia Tech President Tim Sands said.

In fall 2024, George Mason opened its new Fuse at Mason Square complex in Arlington, a 345,000-sq.-ft. facility that brings together academics, students, industry experts, and tech entrepreneurs on a collaborative site that includes 50,000 square feet of lab space.

The IAC will be home to faculty in core computing disciplines, including AI, machine learning, quantum computing, and next-generation wireless technologies. It will also support advanced applications such as intelligent interfaces and manage master’s programs in computer science and computer engineering. “Rapid advances in computing, artificial intelligence, and security are

LIGHTING THE FUSE

Recognizing the importance of interdisciplinary collaboration, Mason Square includes several grad schools and undergraduate programs with students studying cutting-edge technology under the same roof as those studying business, law, public policy, and government. The facility also includes access to a business incubator. “You really can’t have innovation unless you have the computer scientists and the engineers working side by side with the lawyers and the policymakers,”

VIRGINIA WORKS TO MEET THE TECH MOMENT

said Liza Wilson Durant, George Mason’s associate provost for strategic initiatives and community engagement, echoing Sands’ assertion, “We thrive in interdisciplinary spaces where technology engages with biomedical innovation, business, engineering, and the liberal arts.” “If you’re an entrepreneur and you have a new idea, there are usually some barriers, whether they’re legal barriers to policy or ethical barriers. You need all those social scientist partners, economists, and businesspeople working together to move the technology forward. A computer scientist or an engineer can’t do it alone,” Durant said. As an example, professors, students, and entrepreneurs applying electrical engineering and computing to construct robotics work closely with psychology faculty to understand how people best interact with robots. George Mason and its partners have been hosting events at Fuse, the fourth building on the university’s Mason Square campus in Arlington, since early this year, and began holding classes there in August. Recently, the university hosted a celebration opening the new Energy Exploration Center and honoring the transformational naming gift from Kimmy Duong and Long Nguyen for the university’s School of Computing and the establishment of three endowments to provide scholarships and matchfunding initiatives aligned with TTIP. This fall, George Mason also began offering Virginia’s first public master’s degree of science in AI. “George Mason was one of the first universities in the country to name a chief AI officer, an early indication of our comprehensive approach to incorporating AI to enhance learning, instruction, research, and administration across our campuses,” Washington said. “Those who can

effectively and ethically use the technology will be strategically positioned for success.”

STATEWIDE EFFORT AND INNOVATION The Commonwealth’s investments in tech talent are not limited to the northern part of the state. In the central region, the University of Virginia (UVA) is home to the first data science school in the country. In 2018, UVA launched the dedicated School of Data Science after a $120 million donation from business school graduate Jaffray Woodriff, founder of Quantitative Investment Management. Last year, Scott and Beth Stephenson contributed an additional $10 million to fund a scholarship program for students pursuing a bachelor’s degree in data science. Mr. Stephenson graduated from UVA in 1979 and went on to found SGS Capital and serve as president and CEO of Verisk Analytics. A key component of the data science school’s programming is connecting students and faculty to industry. Stephenson argues that the latter is host to most innovation, including innovation in AI. As an investor who sits on the boards of several private corporations, he encourages companies to “really take advantage of this generative AI moment that we’re in.” That notion has already captured the attention of students, with more than 700 students at UVA minoring in data science. Virginia Tech, George Mason, and UVA are spearheading many of the Commonwealth’s most publicized investments in tech talent, but they aren’t alone. Institutions across the Commonwealth are making significant contributions to the tech talent pipeline. Ten other institutions and the Virginia Community College System participate in TTIP.

A FOCUS ON RETENTION Virginia’s robust tech talent pipeline doesn’t end at graduation. In addition to producing high-quality talent, the Commonwealth is also committed to retaining talent, ensuring that innovation and expertise continue to flourish across the state. Erin Burcham, president of the Roanoke Blacksburg Innovation Alliance and executive director of the Roanoke Blacksburg Technology Council, is leading efforts to keep more Virginia Tech graduates in the region and the state. According to U.S. Census Bureau statistics, nearly half of Virginia’s college graduates leave the state after graduation to work elsewhere. At Virginia Tech, many tech grads are recruited to hubs in Nashville, Austin, and the West Coast, while biotech graduates frequently land jobs in Boston and San Diego. “They were being scooped up,” Burcham said. “So, we are really focused on helping very technical talent get connected to Virginia employers.” To address this challenge, the Roanoke Blacksburg Technology Council launched ChangeMakerZ in 2023, a 10-month development program for early-career (3-7 years post-grad) biotech and technology professionals looking to network and boost career skills. The council is also hosting its second emerging technology conference, focused on retaining talent already in the Commonwealth and attracting professionals from other states. “We’re advertising out of state for people to come to Virginia for this conference to find new opportunities to work,” Burcham said. “It’s not simply a matter of growing the pipeline through education. It’s about growing that pipeline and creating programs and supports so that more of that talent stays in the region.”

Durable Jobs, Transferable Skills A Conversation With Alison Lands Alison Lands is vice president of employer and workforce solutions at Jobs for the Future (JFF), a national nonprofit that works to align the education and workforce systems to improve access to quality jobs for over 75 million American workers. Her career spans workforce and economic development, with experience partnering across sectors to shape strategies that drive growth and results. She has worked with Fortune 500 companies, government agencies, higher education institutions, and mission-driven organizations.

VEDP: Broadly speaking, what do you hear from the business community about existing talent pipelines? Alison Lands: We’re in a moment where a lot of moving parts and different variables are shifting at one time. What we’re hearing varies by sector, by region, and by firm size. But if there’s one thing all employers seem to agree on, there’s still very much a clarion call for investment in durable skills. This is what some people used to call “soft skills” — uniquely

human skills that are transferable across sectors and really the ones most conducive to human-AI collaboration. JFF interviewed over 500 employers during the summer, all of which had at least 1,000 employees in their organization, and human-AI collaboration and durable skills were the top priorities across this body of employers, who spanned different sectors and geographic regions. In skilled trades and health care occupations, talent pipelines remain strained, and the gaps continue to persist and widen. There are also many

sectors that were highly dependent on immigrant labor where we’re seeing some challenges in hiring. And areas where, especially after the pandemic, we’ve seen an exodus of workers. It’s even harder to attract and retain skilled talent in sectors where engineering is required. These are candidates who have advanced education, and, in some cases, terminal degrees. Developing this supply of highly skilled labor is really about creating proactive awareness amongst rising engineering talent of the alternative pathways that exist,

particularly in specialized engineering fields where talent is scarce. VEDP: What role can education and economic development policy play in helping to eliminate those friction points and make it easier for people to shift? Lands: When I think of the ideal role for education, it’s about creating good labor stock. That could be through the K-12 system, but it can also be through the post-secondary and continuing education system or adult retraining. It’s about ensuring learners acquire highly transferable, durable skills that are going to make them effective in pretty much any job they take. Those are critical thinking, analytical skills, writing skills, numerical sense — a lot of the things that multiple industries say they need as a bare minimum in their workforce. I think what we need more of is a blurring of the lines between what is education and what is work — making that more of a fluid journey. Most people no longer spend 16 years in formal education and then are off and running in the workforce, education completed. They’re actually moving back and forth between the two over the course of a working lifetime (which is getting longer). We need something that starts to give students exposure to work before they enter the workforce, and then once they start working, for the employer to dip them back into education experiences over time to continually upskill or retrain for whatever the emergent needs are.

VEDP: You mentioned AI and how it’s a reality that people will have to work with. How do you see that manifesting now for first-time job seekers? How should they be navigating this? Lands: According to recent research by Indeed, at this moment, only about a quarter of job descriptions formally require AI skills. For first-time job seekers and people currently out of work and job-seeking, this is a hidden opportunity. By gaining some basic AI literacy skills and conversancy with tools like Claude or ChatGPT, listing it on one’s résumé, and highlighting it in the hiring process, it’s relatively easy to differentiate oneself from other job seekers. Employers have indicated that they are more willing to hire a candidate who demonstrates AI literacy and conversancy, whether or not they have held that role previously or have related industry background for the job to which they’re applying. In this way, AI literacy — a skill we all need to cultivate — can also become a door-opener to a career pivot in a tight job market. VEDP: What signals do you watch for to ascertain what kinds of jobs and skills will be important in the next five to 10 years?

Lands: In today’s labor market, anything forecasted that far out is probably futurism, but there are evergreen needs in our economy, like healthcare, care work, construction, and trades. People won’t stop getting old, they won’t stop needing care, we’ll still need shelter and housing. So the real question is how do we make those professions standard-bearers for quality jobs? How do we attract more people into those sectors? How do we make that work more sustainable over the course of a working lifetime? JFF recently published a report with Gallup called the American Job Quality Study, which found that only four in 10 American workers currently work in a quality job. Employers are creating jobs that don’t meet standards of poverty mitigation, safety, scheduling, predictability, etc. As a result, they create downstream costs and externalities to the Commonwealth that end up eroding the value of the economic development resources put toward creating the jobs. How can we incentivize employers to invest in their people in ways that yield positive spillover effects for both the business and the region? Economic developers are not just in the business of job creation — they’re in the business of healthy regional economies and quality job growth, and that’s what I (and I think, most of our colleagues) find most fulfilling about a career in this field.

Workforce Training at the

Speed

of Industry

Virginia’s FastForward program offers locally relevant job training and certifications — efficiently and affordably

Scott Bradshaw enrolled at Mountain Empire Community College (MECC) in Wise County as a student who needed a second chance after spending 57 months in prison. He had a job in a tire shop, but he wasn’t earning enough to pay off his fines and take care of his daily needs. Bradshaw started taking night classes to earn a National Center for Construction Education and Research (NCCER) electrical certification and followed that with a heavy equipment operator certification and a commercial driver’s license. With those certifications — and in less than two years — he landed a job at Sturgill’s Construction in Gate City, where, he said, he gets to “play in the dirt all day and get paid for it.” More importantly, he’s increased his earnings to the point where he’s been able to buy a house and plan a wedding. Bradshaw’s training at MECC was part of Virginia’s FastForward program, a subsidized, accelerated workforce training program that prepares students to earn industry-recognized credentials. The program was launched in 2016 with the goal of helping Virginia workers obtain in-demand credentials in fields of need. Since then, it has helped students earn more than 64,000 credentials.

GETTING UNDERSERVED VIRGINIANS TO WORK “What we recognized in our region was we had a lot of 18-to-25-year-old males who weren’t doing anything,” said Dr. Kris Westover, president at MECC, where the most popular FastForward programs include training for power line workers and commercial drivers. “They weren’t going to school, they

Central Virginia Community College

weren’t working — they were basically disengaged. Some of these [programs] are a direct attempt to try and get that population back into the workforce.” FastForward caters to adult learners and other special populations of workers. The average student is 34 years old, and 90% of students have not been enrolled in any of the Virginia Community College System’s (VCCS) 23 colleges in the last 15 years. Nearly half are from underrepresented populations. Nearly three-fifths have dependents, and they are more than twice as likely to receive Supplemental Nutrition Assistance

Program or Temporary Assistance for Needy Families benefits than other college students.

tuition, fees, and books. Students who receive both FastForward and G3 funding pay as little as $0 for training.

Importantly, given the financial need of many students, FastForward training isn’t just timely and useful — it’s affordable. Referred to in the Code of Virginia as the New Economy Workforce Credential Grant Program, it was first appropriated $5 million in general funds for fiscal 2017. Funding has since quadrupled to over $20 million annually. Those monies are used to cover up to two-thirds of the cost of training, leaving students who complete their program to pay just one-third of the cost.

“Finding out that I didn’t have to pay for the class was a blessing, and the reason I signed up,” said Jamod Winborne, who completed the heavy equipment operator program at Paul D. Camp Community College in Franklin.

Qualifying students may also receive funding through Virginia’s G3 program, a means-tested funding stream that covers

“It gives us an opportunity to meet folks where they are and really help them see a pathway to a better life in small bites, and steps that they can take, and that they can actually envision themselves being able to accomplish,” Westover said.

With such strong incentives, it’s unsurprising that 94% of students complete FastForward programs, and 70% receive credentials. (Students are required to reimburse another third of the cost if they don’t complete a course.)

WO R K F O R C E T R A I N I N G AT T H E S P E E D O F I N D U S T R Y

Wytheville Community College

Students who complete their training and earn a credential see an average salary increase of nearly $16,000, with 78% obtaining paid vacation and employer-paid medical insurance. More than three-quarters say they’re satisfied with their job duties, job stability, and work schedule post-credential. “It’s not a two- or three-year investment in time. It’s quick, it’s focused, and it is aligned to what the jobs are in your region,” said Randall Stamper, VCCS’s associate vice chancellor for career education and workforce programs. “You’re not throwing a dart and saying, ‘Well, I’m going to study this and hope I get a job.’ The colleges can say, ‘You know, here are the programs where people are getting jobs. Here are the salaries of those jobs, and we can get you prepared.’”

RESPONDING TO CRUCIAL INDUSTRY NEEDS To qualify for FastForward, a program must lead to a credential that aligns to an occupation on Virginia’s High Demand Occupations List. This biennial list is determined based on an occupation’s earnings, projected job growth, and job openings. VEDP’s Virginia Office of Education Economics (VOEE) provides data and analyses that underpin this list. VOEE Executive Director Wendy Kang said, “One of our goals is to help better equip people to feel comfortable having those conversations [in their regions], and how do you use the data to guide those conversations? It really is industry- and job-specific, as well as region-specific, in

terms of what the labor market challenges are, and what strategies you’re using to work on that alignment.” Sometimes, FastForward programs are developed based on specific requests from area businesses and industries. Stamper offered the example of his office’s work with the Virginia Ship

WO R K F O R C E T R A I N I N G AT T H E S P E E D O F I N D U S T R Y

Repair Association (VSRA), which represents ship repair companies near the Atlantic coast. The VSRA engaged VCCS and the colleges in the region to develop certifications and curricula for in-demand skills like marine welding. Collaborations between training providers and businesses do more than address immediate workforce needs — they build long-term relationships that remain responsive to shifting worker and industry needs. “As workers grow in their careers, [employers] can send them back to us for further training,” Stamper said. “It’s a way not only to grow a

business’s workforce but to keep them up to date and skilled.” Some FastForward students end up pursuing longer-term training programs. Westover estimated that between 10% and 20% of participants at MECC wind up getting their associate degree from the college. Beyond the clear benefits for workers and industry, FastForward also produces a high return on investment for the taxpayers who fund the program. In 2024, a study from Brown University’s Annenberg Institute found that the average increase in earnings from a FastForward program exceeds the cost of operating the program in just eight months. Virginia has invested $96 million to support students in the program, and those graduates have earned more than $6 billion in wages.

AN ON-RAMP TO A BETTER LIFE Nearly 40 years ago, programming similar to FastForward made a profound difference for Westover.

A high school dropout in Kansas, Westover had bounced around between unfulfilling jobs. Ironically, her break came when she was laid off from her job as an upholsterer at a boat factory. That layoff qualified her for a program established by the federal Job Training Partnership Act of 1982. She took one class at her local community college, and then another, and soon she had an associate degree. She followed that up with bachelor’s and master’s degrees before completing a Ph.D. in education. She eventually settled into the community college system. “I see it as an on-ramp to some things that may take a little bit more time, or that might be a little bit higher level of learning,” she said. “For our region, a lot of folks thought a high school diploma was enough, because it had been since the inception of coal mining. “Because that industry is not here, those high-wage, low-skilled jobs no longer exist. This is what you need to do if you want a job that will pay you well.”

Southside Virginia Community College

e k o p Bes g n i n i Tra

for Emerging Workforce Needs Award-winning customized training programs help companies ramp up quickly in Virginia

Patrick & Henry Community College

ew or expanding companies want to know that they will be able to hire workers with the skills they need. While outside training providers offer established but generic faculty, facilities, and programs, in-house solutions allow for customization but require significant investment. While this may be a difficult choice for companies in other states, Virginia provides employers with talent solutions that leverage the advantages of both types of training. In partnership with the Virginia Community College System (VCCS), VEDP’s Virginia Talent Accelerator Program connects employers with training resources that speed and simplify startup and expansions. Launched in 2019, the Talent Accelerator has been named the country’s top customized workforce training program by Business Facilities every year since 2023 (and by Area Development in 2025) for providing resources that support recruitment, training, and more. “It’s highly customized to the needs of each employer,” said Elizabeth Creamer, vice president of workforce development and credential attainment at the Community College Workforce Alliance (CCWA). CCWA is the workforce development division of Richmond-area community colleges Brightpoint and J. Sargeant Reynolds. “Part of the vision for the Talent Accelerator is that, while VEDP is with an organization for a period of time, ultimately that company will be

embedded in the community and looking for community resources. So VEDP, very wisely I think, envisioned that community colleges should be working alongside them from the beginning,” Creamer said.

HIGHLY CUSTOMIZABLE PROGRAMMING Community colleges benefit from the flexibility that allows them to move more quickly than four-year universities and tailor programs to a business’s specific training needs. “We try to provide the hard skills and training that students will need, the equipment they will be exposed to, and the contacts they need with business and industry,” Creamer said. Patrick & Henry Community College (P&HCC) serves the city of Martinsville and Henry County near the North Carolina border, an area hit hard in the 1990s by shifting global economic conditions that decimated the local textile and furniture industries. Local leaders are working to attract more advanced manufacturing operations, and as the community college for the region, P&HCC works closely with the Talent Accelerator to develop training programs for companies new to the region. P&HCC President Greg Hodges noted that the college is always a part of conversations between Talent Accelerator staff and manufacturers evaluating an expansion in the region. “The Martinsville-Henry County community has been a manufacturing

BESPOKE TRAINING FOR EMERGING WORKFORCE NEEDS

It’s really great, as a startup, to have a partner who’s coming to the table asking, ‘Have you considered this? How do I help here?’ ANGEL COLUCCI Director of Business Excellence, Civica Rx

community for well over 100 years,” Hodges said. “We’ve pivoted now in the last 20 years to talk more about advanced manufacturing, clean lean manufacturing, and Patrick & Henry has been a critical player in helping to redefine manufacturing and creating programs that will attract business and industry.” That support includes development of an on-campus manufacturing center. The college’s Manufacturing, Engineering, and Technology Complex opened in 2017, through a partnership with VCCS. The complex provides 103,000 square feet of space for students to gain hands-on training in automation, instrumentation, mechatronics, robotics, advanced welding, engineering, and motor control. Within the complex is a “Workforce Flex” space. “Once a company has announced their launch into Virginia, they can put their equipment in the Workforce Flex space,” Hodges said. Using guidance provided by the Talent Accelerator, he continued, “We begin training those employees before the company has even stood up their facility. The day they open the building, employees are ready to begin work. There’s no downtime.”

BUILDING A PHARMACEUTICAL ECOSYSTEM In addition to being highly customized, training resources are also typically prepared on a dramatically accelerated timeline. That was the case for what Creamer called “one of the most impactful partnerships I’ve ever participated in through CCWA.” The Alliance partnered with VEDP to deliver customized training to Utahbased pharmaceutical manufacturer Civica Rx. In 2023, the company opened a 140,000-sq.-ft. sterile injectable manufacturing facility in Petersburg to produce insulin and generic injectable drugs for hospitals in vials, cartridges, and pre-filled syringes. The plant created approximately 300 jobs — and a need for highly specialized training. “Because of the nature of the pharmaceutical ecosystem in Virginia at the time, we started with technicians with limited experience in pharma,” said Angel Colucci, Civica’s director of business excellence. “At the technician level, we interview for potential and transferable knowledge.” For example, Colucci said, “The majority of our technicians are going to come in and run our filling lines, so we want to know if they can run a complicated piece of equipment. Are they able to critically think through a challenge with that equipment? Do they know how to perform basic troubleshooting, and can they communicate concerns? We are looking for that mechanical aptitude, as well as attention to detail.”

Preparing these candidates to work in pharmaceuticals would require specialized training that wasn’t then available in Virginia, so VEDP set out to help Brightpoint and CCWA build customized programs. VEDP connected CCWA with a national subject matter expert who helped identify lab specifications and equipment that Brightpoint would need to support on-site training. VEDP consultants also served on the faculty hiring committee. Brightpoint now offers a two-semester career studies certificate that prepares students to either go into a company as a technician or pursue further education in pharmaceutical manufacturing. This work also led to a partnership with the Virginia Manufacturers Association, Civica, and pharmaceutical chemical manufacturer AMPAC Fine Chemicals that resulted in a fast-track, noncredit pharmaceutical manufacturing technician (PharmaMT) credential. Less than a year passed between conceptualizing the program and enrolling the first students. “Students have a choice of two tracks, a credit track or a noncredit track, to get the education and training they need for pharmaceutical manufacturing,” Creamer said. Brightpoint is now working to launch an associate degree in pharmaceutical manufacturing that will prepare students to work in the field and pursue a bachelor’s degree in pharmaceutical science.

BESPOKE TRAINING FOR EMERGING WORKFORCE NEEDS

A CONTINUING RELATIONSHIP Since the Civica production facility opened, Colucci said, customization has continued. “When people come here, they provide feedback to Brightpoint on their experience here. Were they ready? What other training do they wish they had?” she said. “Brightpoint’s changing their program based on that, which is fantastic.” Colucci added that VEDP continues to provide support, including leadership training and assistance refining onboarding materials. “We have a representative who works with us,” she said. “We talk about our needs and challenges, and then they help us tailor a solution.” Having worked with startups in other states, Colucci said she has found her relationship with VEDP to be more engaging. “It’s really great, as a startup, to have a partner who’s coming to the table asking, ‘Have you considered this? How do I help here?’” For Hodges, the work spent customizing training for employers is a simple “win-win” for community colleges. “It provides the financial incentive structure for the employers, but it also provides training that helps students become great employees able to advance in their positions,” he said. Hodges added, “We say that here at Patrick & Henry we award lots of fancy acronyms but, ultimately, we’re awarding the J-O-B degree — and VEDP is a critical piece of that credential.”

Pharmaceutical manufacturer Civica Rx expanded into Virginia in 2021, building a sterile injectable drug manufacturing facility in Petersburg. The company turned to the Virginia Talent Accelerator Program to fill approximately 300 positions, with training taking place at Brightpoint Community College in Chesterfield County.

MAINTAINING THE TALENT POOL Demographic shifts make talent attraction and retention a key priority for states, regions, localities

hen Julia Boas and her husband, Patrick, have an errand to run or a friend to visit in their hometown of Roanoke, they rarely go by car. Instead, they hop on their e-bikes. They live with their two sons on the Roanoke River Greenway, a network of natural and paved trails that connects Roanoke Valley neighborhoods for miles. Patrick, like many Roanokers, regularly rides his e-bike to work. Their lives embody the livability factor that every locality, in Virginia and elsewhere, is striving to achieve and market. “We’ve got this brand that people know as an outdoor destination,” said Boas, director of business development for the Roanoke Regional Partnership. “When they come here, they also need to know we have good jobs and places for them to live so they can get ingrained in the community quickly. Now we focus a lot of our specific talent attraction marketing efforts around removing barriers to those things, creating user-friendly resources for people, and then driving traffic to those resources so that people can see themselves here.” With the share of the U.S. population over the age of 65 projected to nearly double from its 2007 numbers by 2035, states, localities, and companies are competing for slices of a shrinking pie. Efforts to attract and retain talent are becoming increasingly important, and livability is becoming paramount. “We’re seeing, post-2020, a really remarkable shift in the younger half of the workforce

going to places that are attractive,” said Hamilton Lombard, estimates program manager in the Demographics Research Group at the University of Virginia’s Weldon Cooper Center for Public Service. “Just having the job doesn’t seem to be enough anymore. You can offer a great job in the area, but for a lot of people, that’s not enough to keep younger workers.” Livability grew in importance during the COVID-19 pandemic, which sent workers across the country to their home offices. Roanoke and other outdoor recreation destinations benefited from both the increase in remote work and the importance of open-air recreation opportunities.

A GREAT PLACE TO LIVE Livability can’t be manufactured, but it can be marketed. Growth-oriented regions like mountainous Roanoke and coastal Hampton Roads have fully embraced livability as their marketing mantra for attracting and retaining talent. However you define livability, Virginia is blessed to have it, said Jeff Strohl, research professor and director of the Georgetown University Center on Education and the Workforce. “It’s all about quality of life,” he said, “from the Shenandoah Valley to Skyline Drive to the pastoral lifestyle. That’s a huge attractor.” Shawn Avery, president and CEO of the Hampton Roads Workforce Council (HRWC), said his region is attractive to young people

A large part of the Hampton Roads region’s talent marketing is based on unique elements of the area’s geography, including ultra-fresh seafood at restaurants like Pleasure House Oysters on the Lynnhaven River in Virginia Beach.

who want to enjoy natural beauty, nightlife, and cultural offerings alike. “There are not many other regions where you can be at the beach, and 30 minutes later, you’re in a historic time capsule like Jamestown or Williamsburg,” Avery said. Talent attraction and retention efforts are generally region-specific. What works for the mountains of Roanoke won’t be as effective in flatter, more water-centric Hampton Roads, although both regions push outdoor recreation in their marketing. Demographics also play a key role — the HRWC’s efforts are driven in part by the large military community in the region (see page 26). Last year, it connected 2,000 military members with employers in the area’s thriving maritime industry.

AN INTENTIONAL SHIFT IN ROANOKE Few regions are marketing their livability more effectively than Roanoke. Roanoke first started establishing itself as a destination for outdoor enthusiasts about 20 years ago, Boas said. Until that shift began, “We didn’t necessarily have a bad reputation, we just had no reputation.”

It’s hard to attract talent, she said, “when people hear the name of your location and don’t know where it is.” But now that the Roanoke Region puts a concerted effort into marketing itself as an outdoor destination, she said, “It’s changed people’s perceptions, and we’re now known nationally as both a tourism and talent destination.” In 2015, with the help of eight local governments and 120 private business investors, Roanoke Outside was created. The organization promotes economic growth by leveraging the area’s natural assets to attract talent and investment. It created brand-building events such as the Blue Ridge Marathon, which now attracts up to 4,000 runners annually and is widely regarded as America’s toughest road race. It also created the Roanoke GO Outside Festival, which attracts 40,000 visitors annually with three days of outdoor activities. One goal of the event is that attendees from outside the region will enjoy the area enough to consider moving there. And it’s working. Now, Boas said, Roanoke consistently appears in national consumer surveys and publications including the region in

lists such as “Top U.S. Cities for Biking,” “Top 24 Mountain Towns,” and “Top 20 Remote-Work Havens.” What’s more, the region’s in-migration has increased by 267% since the 2020 U.S. Census, according to Moody’s Analytics projections. The region’s natural population change (births vs. deaths) is negative, so all its growth is coming from new arrivals.

‘AGGRESSIVELY WELCOMING’ Livability includes many facets, so Roanoke tries to move the livability needle in as many categories as possible. It boasts about its 60 miles of paved bike trails, and it brags about being ranked higher in air quality compared to other cities of similar or slightly larger size. Roanoke also provides potential future residents with information about employment opportunities through several unique programs, like their talent attraction brand Get2KnowNoke. Get2KnowNoke showcases the area’s amenities to new job seekers, potential residents, and area young professionals. Their comprehensive website offers specific resources for newcomers on jobs, events, and housing. Get2KnowNoke also organizes

M A I N TA I N I N G T H E TA L E N T P O O L

initiatives like the Onboard|ROA summer program and their quarterly socials, which act as a welcome wagon. All of these work together to plug talent into the community and provide a sense of belonging. “We joke with our ambassadors and stakeholders that we try to be ‘aggressively welcoming,’” Boas said. Get2KnowNoke also manages a talent ambassador program that uses community members to share authentic experiences about living and working in the Roanoke Region. The ambassadors host pop-up events throughout the year, promote the Get2KnowNoke brand on their social channels, and are available to area employers to host recruits. They help tell the region’s story as a place to grow, thrive, and belong in a meaningful and earnest way.

SELLING BEACHES AND BEERS On the other side of the Commonwealth, Avery makes it his business to put Hampton Roads front and center as a place to find great work and a great lifestyle. Much like the Roanoke Region, he said, Hampton Roads needs to boast about its livability to attract and retain talent — particularly Generation Z (see page 22). The HRWC has a $30 million budget to help link talent with employers in the region. His team does everything from arranging job fairs with employers like Newport News Shipbuilding and Virginia Natural Gas to connecting the military talent pool with key employers before they transfer out of the region. It also helps to create and fund internship and mentorship programs for area high school students, connecting them with Hampton Roads employers. And it has a college program that works to keep local college students employed in the area. The HRWC even produces a Big Lick Brewery in downtown Roanoke is part of a food and beverage scene that complements the region’s abundant outdoor recreation opportunities.

weekly podcast that interviews a range of local employers seeking workers. Like Boas, Avery isn’t just talking the talk. His family has fully embraced the livability of the Hampton Roads region. A Hampton native and Christopher Newport University graduate himself, his two daughters also attended local colleges. “I’m a shining example of why people stay here,” he said. Avery and his wife particularly enjoy the local brewery scene. “My wife and I do a lot of brewery hopping,” he said. They have yet to hit all 20-plus breweries in the Hampton Roads area — another compelling reason for them to stay. He’ll happily toast to that, preferably with new talent ready to call Hampton Roads home.

We’ve got this brand that people know as an outdoor destination. When they come here, they also need to know we have good jobs and places for them to live so they can get ingrained in the community quickly. JULIA BOAS Director of Business Development, Roanoke Regional Partnership

Thinking Globally, VEDP’s Virginia Global Business Internship Program connects students with companies seeking to grow exports

Recruiting Locally

hen Lydia Ruffin began work as a restaurant server, her goal was to support herself through school. She could not have anticipated how profoundly that entry-level job would shape her career. Through a series of fortunate connections, starting with a regular restaurant customer, Ruffin transitioned from serving meals to marketing cuttingedge medical devices as part of VEDP’s Virginia Global Business Internship Program (VGBIP). VGBIP matches students enrolled in Virginia’s public colleges and universities with Virginia companies seeking

assistance with their international business development. Participating businesses supervise interns while they contribute to global business projects in research, operations, and/or marketing. As internship providers, companies have the opportunity to evaluate potential future employees, advance their international business strategies, and train future Virginia global business leaders. The program also reimburses businesses for intern wages, and VEDP leads weekly global and professional education workshops for the interns that deliver training on international business domains and transferable skills. National Association of Colleges and Employers research indicates that 80%

of employers said that internships provided the best return on investment as a recruiting strategy, compared to career fairs, on-campus visits, on-campus panels, or other activities. Employees who took part in experiential learning while in college had higher rates of career satisfaction and a higher average salary than those who did not engage in experiential learning.

A FORTUITOUS RELATIONSHIP Brian Clare is chief medical officer and a board member at ivWatch, a biotech company based in Newport News that focuses on using optical sensors to improve patient safety and the effectiveness of intravenous therapy by detecting adverse IV events early to minimize the risk of injury caused by infiltrations and extravasations. He is also a regular at First Watch restaurant, where Ruffin worked, and encouraged her to apply for a VGBIP internship. While working as a server and then as a babysitter, Ruffin was also attending school. She first attended Thomas Nelson Community College (now Virginia Peninsula Community College), starting courses while still in high school, before transferring to the Raymond A. Mason School of Business at the College of William & Mary. At William & Mary, Ruffin found a faculty mentor who helped spark an interest in marketing. Before meeting Lisa Szykman, Ruffin studied

psychology. Szykman, who focuses on the connections between marketing, advertising, and consumers, inspired Ruffin to shift her studies from human behavior to consumer behavior. In 2024, Ruffin followed Clare’s advice and applied to the VGBIP. VEDP matched her with ivWatch as a standout candidate, and the company selected her from a pool of highly recommended applicants. While many there already knew Ruffin, she still exceeded their high expectations. Over just 10 weeks, Ruffin contributed to key deliverables and processes. Between June and August of 2024, she: ◾

Developed a presentation about branding guidelines that is still in use

◾

Spearheaded efforts to align a brand guide and marketing terms

◾

Helped identify target customers and built relationships with them, using social media to research potential leads

◾

Facilitated collaboration across departments

◾

Tracked key events and publications, while monitoring marketing trends, the competitive landscape, and emerging concepts and technologies

T H I N K I N G G L O B A L LY, R E C R U I T I N G L O C A L LY

“Lydia was a phenomenal sponge. She wanted to learn. She conducted herself extremely professionally,” said Kristi Stevens, ivWatch’s vice president of business development and marketing operations. “We’re a very small company, so she’s in meetings with the CEO, vice presidents. She was a selfstarter, a go-getter.” Ruffin helped the company as it streamlined and sharpened its marketing and fine-tuned messaging to various countries, each with a different regulatory regime and culture. “She didn’t just complete tasks. She took ownership,” Stevens said.

A CRUCIAL PRODUCT That sense of responsibility arose partly, Ruffin said, from her awareness of the critical importance of the medical devices she worked to brand and market. Ruffin met a patient who lost fingers

to amputation after an IV leak wasn’t detected soon enough. She also learned of the challenges monitoring premature babies who can’t communicate about pain or discomfort. “Hearing stories like that, and hearing from real people and the real effects of things like this, was mind-blowing,” Ruffin said. For Ruffin, who graduated from William & Mary earlier this year, the internship solidified her interest in marketing and opened her eyes to global markets — she’s considering furthering her education in international marketing or global development. “Interning at ivWatch was a truly transformative experience that allowed me to apply my academic background in a meaningful, real-world setting,” Ruffin said. “From day one, I was treated as a valued member of the team and entrusted with projects that had a direct impact on the company’s global marketing strategy. I gained hands-on experience in international market research, brand development, and crossfunctional collaboration, which are skills I’ll carry with me throughout my career.” Advancing her career path while contributing to better health care worldwide was especially meaningful to Ruffin.

ivWatch, Newport News

“The opportunity to contribute to ivWatch’s mission of improving patient safety on a global scale was both inspiring and rewarding,” she

T H I N K I N G G L O B A L LY, R E C R U I T I N G L O C A L LY

Lydia Ruffin (right), then a student at the College of William & Mary, completed a summer internship with Newport News biosensor company ivWatch to help fine-tune the company’s marketing efforts, including a comprehensive brand guidebook for internal teams, international distributors, and sales personnel.

said. “I’m incredibly grateful to have been part of such an innovative and purpose-driven organization.” The feeling of gratitude is mutual: ivWatch hopes that Ruffin will someday return to work at the company on a permanent basis. “We were trying to find ways to creatively keep her on,” Stevens said.

Lydia was a phenomenal sponge. She wanted to learn. She conducted herself extremely professionally… She didn’t just complete tasks. She took ownership. KRISTI STEVENS Vice President of Business Development

Ruffin is a standout example of a student leveraging her personal, professional, and educational connections with positive, influential relationships and a strong work ethic to create her own success story — with the VGBIP playing a supporting role through its efforts to attract top talent in the state.

and Marketing Operations, ivWatch

NORTHERN VIRGINIA

A Business & Talent

Hotbed

by the Nation’s Capital

Home to one-third of Virginia’s population, Northern

NORTHERN VIRGINIA OFFERS:

Virginia encompasses the Virginia counties and cities that are suburbs of Washington, D.C. Northern Virginia is the highest-income region of the Commonwealth and

One of the most diverse and most educated populations in

one of the highest-income regions in the United States

the country

— according to the 2020 U.S. Census, Loudoun County and the city of Falls Church had the two highest median household incomes in the country, with Arlington County

A hotbed for internet traffic, with 35% of the world’s known

coming in at No. 7. Fifteen Fortune 500 companies are

hyperscale data centers

headquartered in Northern Virginia, three-quarters of the total of the entire Washington metro area. Industries with a strong presence in Northern Virginia include government

A strong tech workforce from Virginia’s top-notch education system

contracting, defense, IT, data centers, and biotechnology.

Washington’s famous cherry blossoms can also be found in Northern Virginia, with peak bloom in early spring along the Potomac River in Arlington County.

While Northern Virginia itself boasts a dazzling array of cultural opportunities and attractions, the presence of nearby Washington, D.C., offers even more attractions for visitors and residents.

The George Washington Masonic National Memorial is dedicated to the memory of the country’s first president and one of the largest-scale private memorials to Washington. Its Masonic history has led to its inclusion in media, including the movie “National Treasure: Book of Secrets” and Dan Brown’s best-selling The Lost Symbol.

The historic center of the city of Alexandria, known as Old Town, is located along the Potomac River. One of its most visited stretches is Captain’s Row along Prince Street, lined with row houses dating to the 18th century.

U.S. News & World Report ranked Marymount University in Arlington County as the top private university in Virginia in its 2026 rankings. Marymount is Virginia’s only federally designated Hispanic-Serving Institution.

With more than 75,000 students across six campuses, Northern Virginia Community College is the third-largest community college in the country.

George Mason University in Fairfax County is Virginia’s largest and most diverse public university. The Wall Street Journal and College Pulse ranked Mason as the No. 10 public school in the country for best salaries for graduates.

Leidos, headquartered in Reston, is one of 15 Fortune 500 companies headquartered in Northern Virginia. The company is the American defense industry’s largest information technology services provider.

Fortune 500 company Hilton Worldwide Holdings Inc., headquartered in Tysons, manages and franchises a wide portfolio of hotels, resorts, and timeshare properties. The company has 24 distinct hotel brands in more than 9,000 locations around the world.

Amazon, No. 2 on the Fortune 500, is among the largest private sector employers in Virginia, having established its first Amazon Web Services data centers and operations facilities in 2006 and later opening its HQ2 in Arlington County.

General Dynamics Corporation, a Fortune 500 company based in Reston, is a global aerospace and defense company that develops and manufactures advanced military equipment, as well as civilian technology like Gulfstream business jets.

Jiffy Lube Live in Prince William County is a 25,000-seat amphitheater that hosts major recording artists for its summer concert series. Jimmy Buffett had an annual show at the amphitheater before his death.

The Francis Scott Key Bridge, the oldest surviving bridge crossing the Potomac River, carries U.S. Route 29 between Arlington County and Georgetown in Washington, D.C.

The MITRE Corporation, based in McLean, is a nonprofit organization that manages federally funded research and development centers supporting various U.S. government agencies. Fast Company called MITRE “the most important company you’ve never heard of.”

Water Park, an outdoor urban park featuring restaurants and food stalls, is a new feature of the National Landing neighborhood that has been developed around Amazon’s HQ2.

Economic Development Partners in Virginia VEDP works in close partnership with local and regional economic development organizations. For a full list of local and regional partners, visit www.vedp.org/Regions In addition, VEDP regularly works with a wide network of statewide partners, including: State Leadership Partners

Project Delivery Partners

Governor

Colleges and universities across the Commonwealth (e.g., UVA, Virginia Tech, William & Mary)

General Assembly

Policy and Programmatic Partners Virginia Department of Rail and Public Transit

GO Virginia

Virginia Department of Small Business and Supplier Diversity

State Council of Higher Education for Virginia

Virginia Chamber of Commerce, as well as many local and regional chambers of commerce

Virginia Agribusiness Council

Virginia Economic Developers Association

Virginia Association of Counties

Virginia Farm Bureau

Major Employment and Investment (MEI) Commission

CSX, Norfolk Southern, and short-line railroads

Secretary of Commerce and Trade

Dominion, AEP, and other electric utilities

Secretary of Finance

The Port of Virginia

Virginia Department of Transportation

Secretary of Education

Virginia Community College System

Virginia Innovation Partnership Corporation

Virginia Business Higher Education Council

Virginia Department of Agriculture and Consumer Services

Virginia Tobacco Region Revitalization Commission

Virginia Department of Environmental Quality

Virginia Tourism Corporation

Virginia Cable Telecommunications Association, Virginia Manufacturers Association, Virginia Maritime Association, Virginia Realtors Association, and many other trade associations

Secretary of Labor Secretary of Transportation

Virginia Department of Taxation

Virginia Business Council

Virginia Department of Housing and Community Development

Virginia Municipal League Virginia Association of Planning District Commissions Virginia Rural Center

220

Virginia’s Technology Councils

220

Roanoke Region New River Valley

460

Southwest Virginia

220

221

I81-I77 Crossroads 77 58

460

Northern Shenandoah Valley

Washington, D.C.

66 81

Northern Virginia

211 33

Shenandoah Valley

250

Greater Fredericksburg

Central Virginia

301

95 81

Northern Neck

360

Eastern Shore

Middle Peninsula 13

Greater Richmond Lynchburg Region

60 288

360

295

460

Virginia’s Gateway Region

460

501

South Central 360 Virginia

Southern Virginia

460

Hampton Roads

168

501

FOR TION EDUCA

5 iness, 202 s u B r o f s p State CNBC’s To