The workforce of the future will be smaller, less male, more diverse and lacking in skills.

The Saratoga Institute, an employment trends think tank, predicts that 75% of future jobs will be knowledge-based, but 70% of the next decade's workers will not be college graduates. More than 20% of the current adult population has only basic literacy skills, and 75% will need retraining over the next 10 years.

Particularly alarming for those charged with plotting their company's future direction is a projected 15% decline in the population of those aged 35 to 44, the traditional source of workers to populate the ranks of middle and upper management.

Greg Hawk, president of Supreme Builders, a Houston-based firm that ranks among the top 400 residential builders in the country, according to HousingZone.com's 2005 GIANTS rankings, is all too familiar with those facts. It takes a lot of skilled tradesmen to sustain that level of activity. But even harder, Hawk complains is finding workers who really care about what they do.

That's in line with the findings of The Skills Gap, a study conducted by the National Association of Manufacturers. The top deficiency among both current employees and job applicants cited by respondents surveyed for that study was a lack of basic employability skills such as attendance, punctuality and work ethic.

The future is important, of course, but most small and medium-size businesses are at least as concerned with meeting the challenges they face today. Finding and hiring the best employees, keeping them motivated and productive, and making sure they stay with the company are objectives most businesses need to meet right now. Fortunately, the most effective strategies for achieving those goals can help position a company as an employer of choice, boosting its longer-term prospects for future success.

"Our employees-their experience, creativity and innovation-are the engine that drives our business forward," says the chief operating officer of a small but fast-growing public relations agency. "We don't sell a product; we sell our people and their time, which are critically important to our marketing position."

An important part of that company's growth strategy has been to hire top talent, so it is meticulous about the process, the COO adds, noting that the fit has to be "magical" on both sides for it to work. Here are some tips culled from a variety of expert sources that companies can use to inject a little magic into their own human resource endeavors.

Seventy-five percent of the workforce will need retraining over the next 10 years or so.

A graphics company has won several awards singling it out as one of the best places to work within its industry over the past few years. As its reputation has grown, the company has found that more and more candidates seek it out, but one of its most productive sources is an employee referral program.

"We look for those employees who stand out, going above and beyond and providing exceptional customer service in any given situation," says the vice president of sales and marketing at the family-owned business.

To find them, the company taps many sources in a recruitment effort that the vice president says is "constantly ongoing, even on our days off." It often promotes from within, it reviews resumes from online services, and it maintains a strong relationship with a recruiting agency.

It offers employees a referral bonus if the company successfully hires and retains a candidate they recommend. That incentive, coupled with the natural desire of people to let others know about the good thing they have found in employment at the company, has resulted in important contributions to the company's 230-person workforce.

Know what you're looking for, and be sure you're getting what you expected.

Topping the list of what employers must do to make sure they get the right person for the job is determining that candidates have the skills and experience the position demands, says Sue Burnett, founder and president of Burnett Staffing Services. "It is very important to check the references of all candidates. Make sure they are what they say they are and have the skills they claim to have," she advises.

Once you have identified a potential candidate who has the specific skills you are looking for, have several members of the management team meet with him or her. Try to determine if the right chemistry is present and if you get the feeling that this individual would complement your existing staff.

Money still talks louder than anything else.

Mark Candela, director of business development at Enterlogix Corp., a business software consulting firm, is blunt when asked about the best way to attract desirable candidates and keep them happy: "You pay them more money."

In fact, all of the 22 employees at Enterlogix are well paid. "Actually, we're overpaid for the market," Candela admits. "You go to work for one primary reason, and that is to make money, so you have to keep your salaries above what the competitive marketplace is offering."

Team spirit and other soft benefits are great, but the money comes before anything else. "People are going to think about feeding their families first," Candela states. "Money talks, and we all still listen."

Team spirit and soft benefits are great, but the money comes bfore anything else.

"Our agency sells itself," the COO of the public relations company mentioned earlier insists. "Once a candidate comes for an interview and is given the opportunity to visit with various individuals at different levels, that candidate comes to see first-hand the many qualities that make this company such an attractive place to work."

Over the past 17 years, the company's founder and chief executive officer has nurtured a culture that is entrepreneurial in spirit, one that encourages employees to be self-starters and take ownership of their actions and responsibilities and that rewards them for doing so.

The key to successful motivation and retention strategies is making sure they align with the needs and wants of the workers are your company, since no two businesses are exactly alike.