The Driving Factors Behind Skill Demand
In 2023, the job skills market remained particularly constrained, with 88% of employers reporting skill shortages, 40% of which noted an intensification of these shortages. This scenario prompted a shift towards skills-based hiring frameworks, expanding talent pools to secure necessary competencies.
Economic fluctuations, including rising interest rates and inflation, have significantly increased living costs, making non-competitive salaries a primary reason for job changes. On the employer side, new workplace regulations have spurred demand for specific roles, and heightened investments in cybersecurity are impacting not only the tech industry but other sectors as well.
Top Skills in Demand
Through an analysis of job market trends within various industries and sectors, we’ve identified the following top five skills that are highly sought after nationally:
Industrial and Employee Relations Specialists: The surge in workplace reforms in 2023 has led to increased demand for HR professionals specialising in industrial and employee relations, including HR Business Partners and Employee Relations Specialists.
Accounting: Despite a decline in students pursuing degrees in accounting, the demand for experienced accounting professionals remains high, especially those with strong corporate reporting skills.
Early Childhood Teachers and Education Leaders: An ongoing shortage of Early Childhood Educators, exacerbated by increased demand through government initiatives and the return of workers to offices, calls for skills in creative activity planning and a robust understanding of educational frameworks.
Banking and Insurance: Anticipated legislative changes affecting privacy and data protection will continue to drive demand for professionals skilled in privacy compliance and risk management within the Banking and Insurance sectors.
Cyber Insurance Specialists: The expanding cyber insurance market reflects the broader growth within the cybersecurity industry, with a high demand for skills in policy writing and incident response.
Other Skills in High Demand
- TAS and Science Teachers: There is a strong call for educators with the ability to deliver creative and engaging STEM lessons.
- Legal Counsel: Especially those with experience in commercial law and contracts, continue to be in high demand.
- Business Development Managers: Economic volatility has heightened the focus on roles that drive sales growth, such as those proficient in CRM systems like Salesforce.
- Office Support: The demand for skilled Office Support roles, including Executive Assistants, remains robust.
- Engineers: From Civil to Electrical, the ongoing governmental focus on infrastructure is driving demand across the engineering sector.
- Communications Specialists: The volume of work available ensures rapid employment for those with corporate communications experience.
- Project Managers: The complexity and number of projects require skilled Project Managers to oversee business transformations and technology integrations.
- Revit Drafters and Project Architects: Demand continues to rise for skilled drafters and architects to support detailed construction projects.
Advice for Employers
While the skills shortage is expected to gradually ease, this transition will take time. Employers should consider the following strategies to effectively navigate this period:
Your Employee Value Proposition (EVP) is crucial for attracting and retaining the talent you need. As employee preferences shift towards career progression and educational opportunities, training has become a highly valued benefit. Moreover, enhancing your employee experience is essential for boosting happiness and productivity among your workforce. By developing a superior employee experience, you can gain an advantage in the competitive race for top talent, standing out even among major global companies.
Flexible work arrangements are increasingly important to today’s workforce. It is vital for businesses to adapt their workspaces and workflows to support effective team collaboration in this flexible working era. Additionally, reimagining office spaces to create environments that employees are excited to work in, rather than feeling obligated to attend, can further enhance job satisfaction and productivity.
Advice for Employees
The skills shortage remains, but signs show it beginning to alleviate amidst an increasingly unpredictable economic climate. If you’re contemplating your career path, consider these points:
Reflect on your long-term career goals. Rapid career moves for better pay are tempting, but it’s important to consider whether such moves align with your overall career objectives. Before making significant decisions, pause to evaluate how each step may support or hinder your long-term ambitions.
To maintain a competitive edge, focus on enhancing your skills. The job market is evolving quickly, making it crucial to keep your technical skills sharp and to embrace a mindset of continuous learning.










