The Rise in Gray Collar Jobs

January is well known as the month for New Year’s resolutions. To improve our lives we pledge to exercise, focus on a healthier lifestyle, and complete lingering household projects. For some, its also a time to examine career decisions, and many are making choices that are very different from those made by earlier generations whose goals included a degree from a good college followed by a white-collar job. This was the main topic of conversation at a get-together on New Years Eve.   

My friend’s son announced that he wants a “grey-collar” career instead of pursuing a college degree. If you’re unfamiliar with the term, “grey-collar” jobs combine physical labor, similar to blue-collar jobs, with skill requirements and professional knowledge that often match or exceed those of white-collar jobs. In these hybrid occupations, “gray-collar” workers are technically white-collar in nature yet still engage in blue-collar tasks during the routine course of their work. Typically, professionals in these roles do not need a college degree but may require long- or medium-term on-the-job training and/or vocational certificates, licenses, or associate’s degrees. 

The young man is among many making this choice, and his argument for doing so is sound: 

• The employment opportunities are immediate and significant.  The need for grey-collar jobs is rapidly increasing, particularly in certain healthcare and tech-based occupations, driven by technological advancement and an aging population. For example, the BLS anticipates a 45% growth in the need for wind turbine service technicians and a 21% growth in the need for home healthcare and personal assistants over ten years from 2022 to 2032. Overall, grey-collar jobs are forecasted to experience a much faster-than-average employment surge of approximately 15%.  
• Because these roles combine technical knowledge with some manual labor, there is less chance of the role becoming obsolete, replaced by AI, automation or other emerging technologies.  
• Many grey-collar jobs offer financial compensation that equals or exceeds that of the professions based on a liberal arts degree.  Research conducted by ADP indicates that the median annual change in pay increases is 7.1% for individuals who change jobs, as opposed to 4.6% for those who remain with a single company.  
• These roles offer a way to avoid the high cost of a college education and the associated debt that many incur before entering the workforce. 

The young man does not have to make an “either-or” decision regarding his career path.  Colleges and Universities have recognized and responded to this growing trend. Many are introducing a skills-based training curriculum, often in partnership with forward-thinking companies and leading staffing agencies who can engage students through internship programs, cooperative education, and other forms of experiential learning. 

While qualifications and requirements may differ, the table below offers representative examples of workers in each of the three categories: 

Grey-collar jobs are also tied to the growth surge of independent contractors and other types of “temporary” workers. The decision to pursue an “engagement-based career” where workers are self-employed or working through an agency on various client projects is well-suited for grey-collar jobs. The diversity of assignments rapidly builds a resume filled with new skills and other credentials.  It also enhances analytical skills, problem solving, creativity, and increased experience with leading technology-based products. 

Engaging grey-collar workers for temporary engagements is an effective strategy for addressing the skills gap that companies face as a result of dynamic market conditions and rapidly advancing technologies.  As a leading contingent workforce management firm, nextSource can increase your access to skilled talent. We encourage our staffing partners to offer reskilling programs to their contract workers access, and we collaborate with community colleges and professional associations who deliver specialized certification programs. 

We’d love to tell you more about how you can strengthen your business through the use of contingent “grey collar” talent. So let’s connect!