How Upskilling Is Addressing the Widening Skill Gap in the U.K. and worldwide

Word on the street is that up to 375 million workers, the equivalent of 12% of the global workforce, may need to switch careers. These are not frivolous figures – they were announced in an exhaustive report by McKinsey Global InstituteOpens a new window that modeled skill shifts going forward to 2030 – indeed, it’s a clear trend.

The problem, however, looks deceiving. 375 million workers will not be out of work because technology has replaced them, well at least not all of them. Rather, they will be out of work as they do not have the modern-age tech skills required to perform their future jobs.

We’re Facing a Global Skills Shortage

We are in the thick of a digital revolution which requires a momentous adjustment for everyone, particularly for large multinational companies. The reality is that there will be more tech roles available in the future than the next generations can provide. It is a reality that has been going on for the last couple of year:

• For the UK, in their research paper “UK Skills Mismatch in 2030Opens a new window ”, the Industrial Strategy Council estimates that two thirds of the workforce might lack the necessary basic digital skills employers will need in 2030
• In the U.S., there were roughly 918,000 unfilled IT jobs in the second half of 2019, according to IT trade group CompTIA and the WSJOpens a new window
• According to an estimate by Cybersecurity VenturesOpens a new window , by 2021 an estimated 3.5 million cybersecurity jobs will be unfilled globally

What multinational companies need is a workforce that is ready to do new kinds of work – a workforce with a future-proof set of skills.

Learn More: Talent Acquisition Specialist: 10 Key Skill Requirements for 2020Opens a new window

Upskilling and Retraining Can Help

The pivotal task of upskilling workforces has resonated with some governments. In Singapore, for example, efforts have been put in place to kickstart a global retraining and upskilling operation. In 2019, the Ministry of Education announced coding classesOpens a new window for all upper primary pupils, starting from 2020. Singapore also continues to strongly advocate for its already three-year-old SkillsFuture scheme, which aims to help Singaporeans learn skills for emerging and priority areas. Some efforts appear to reshape the educational system, while other efforts go to the professional world.

These initiatives go beyond the public sector. Efforts are also being made by the private sector, where some companies are starting to address the apparent skills gaps.

Alarmingly, McKinsey & Company found that only 16% of the private-sector business leaders they studied felt “very prepared” to address potential skills gaps, with the majority feeling either “somewhat unprepared” or “very unprepared.” Given that the same report suggests that it is for corporations to take the lead, these insights are quite concerning.

Then again, if you look at it from another viewpoint, it is easy to understand the anxiety business leaders face with upskilling and retraining.

But Upskilling and Retraining Are Grueling

Traditional learning and development are grueling, to say the least. Burdened with an emphasis on theory rather than practice, many leaders will attest that it has failed time and time again to deliver businesses a strong return on investment.
So, the million-dollar question: What will it take to upskill and reskill a global workforce at the scale the next decade demands?

A successful upskilling program includes:

• A workforce audit to determine skills and capabilities
• Tailor-made skill tests that align with business strategies
• High-quality content modules that align with organizational-level outcomes
• Actionable insights and tangible benefits of learning and development

The result? Enhanced employee engagement, stronger commitment, and a greater contribution toward business growth, and of course, less skills-gaps.

Some Examples of Next-Gen Upskilling

Today, companies require skills assessment tech paired with high-level educational modules to upskill their workforce, but also to redeploy mid-career, middle-aged workers efficiently.

Here in the U.K., initiatives are blooming both from the public and the private sector. The U.K. government is focusing on ensuring that there is a platform for such initiatives and is setting the agenda to create the necessary conditions that digital businesses need during digital transformations (5G, cybersecurity, digital skills, data science, etc.).

The private sector in the U.K. is also starting to seize on people’s appetite to learn future-proof skills and to align with the above-mentioned state agenda. One illustrative example is the recently inaugurated 5G training centerOpens a new window by Huawei U.K. The new Birmingham-based center is focused on the indispensable skills for leveraging 5G tech in the U.K. The program can be considered as a good upskilling initiative considering that it is focused on offering new skills to tech employees and that it is tailored to professionals. The next step would be to focus on the impact of the program.

Learn More: A Career in Learning and Development: 10 Must-Have Skills to Make It Big in 2020Opens a new window

Closing Remarks

The widening skills gap is a grave concern for both SMEs and enterprise businesses. Companies need to be ready with a skilled workforce to thrive and to fulfill the demand and close the gaps. Using upskilling initiatives effectively is a crucial first step to identify and address the apparent skills gaps!

Which initiatives are you incorporating to upskill talent at your workplace? Tell us on LinkedInOpens a new window , TwitterOpens a new window , or FacebookOpens a new window .