Talent shortages in the technology sector can be addressed if employers and governments focus on skills (regardless of how they have been acquired), micro-credentials, and removing bias at the hiring stage, according to an OECD report released today.
“Talent shortages are a lose-lose situation for everyone: for firms they hinder productivity and innovation; for workers they lead to skills mismatches and reduced job satisfaction; for governments they reduce competitiveness and economic growth,” the report said.
“All stakeholders suffer from less efficiency, missed opportunities, and heightened economic strain.”
The report recommended adopting a “skills-first” or “skills-based” approach which focuses on skills themselves, instead of looking for someone with a specific degree or a certain amount of work experience.
“Adopting this approach allows companies to adapt more dynamically to changing demands by focusing on the specific skills they need,” the report said.
“It can also help firms access previously under-utilised talent, as candidates with alternative credentials can be considered equal to candidates with formal qualifications.”
Micro-credentials are qualifications based on recognising existing skills or short training and education programs that allow for quick and efficient upskilling.
The report said education and training providers should establish internal quality standards for micro-credentials and identify micro-credential components in courses.
“Governments can assure the quality of micro-credentials by creating minimum standards or accrediting providers, thereby boosting trust amongst learners and employers,” the report said.
It said businesses should promote change in their workplace practices by removing bias at the hiring stage, actively addressing discrimination in the workplace, and improving the quality of the working environment to attract and retain talent.
“At the same time, schools and universities should rethink how they teach technical subjects and highlight a broader range of role models to help students see themselves in these careers.”
