As Australia faces continued serious challenges in meeting its IT skills and capabilities needs, the Australian Computer Society recently released its Digital Pulse 2024 report in collaboration with Deloitte. This report is a major research project that will analyze the full scope of the technology environment across the country.
Australia needs 312,000 more tech workers by 2030 to meet demand, with more than 60,000 extra people entering the tech sector each year. This is a problem because only 10% of school-age students are interested in tech careers, and only 52% of parents outside of tech see tech as a viable career for their children.
Taking on Australia shortage of technical skills requires action by government and the private sector.
A significant opportunity for talent growth in the technology sector
The ACS report also found significant incentive to build a strong technology sector and ensure the availability of skills. Technology already represents a significant part of the Australian economy, but the potential for growth is significant.
In FY23 alone, technology contributed $124 billion to economic activity. Technology exports have also increased by 400% over the past decade. At the same time, a 40% increase in ICT and R&D spending shows Australia’s appetite to be more sophisticated in the way it uses technology, despite constraints caused by skills shortages.
Overall, the country is well-positioned to address skills gaps by developing the right pathways that translate technological knowledge into careers. Annual ICT skills tests offered to students have shown that Australia has a stable level of literacy – above 50% of students.
SEE: Will Australia ever overcome its cybersecurity skills shortage?
12 steps to prevent Australia’s skills shortage
The ACS report identified 12 key recommendations to help Australia develop pathways to meet skills demand in the technology sector. These actions revolve around four pillars: professional retraining, promotion of diversity, youth engagement and advancement of AI capabilities.
Redistribution
- Earn while you learn: To support technology transitions, the ACS recommends that the country introduce a $24,000 wage subsidy for technology reskilling. This would reduce financial barriers to computer science training and help the 1.1 million “near-tech” workers in adjacent fields like math and marketing enter the tech sector.
- Paid internships for students: With more paid internships, computer science students have additional opportunities to develop hands-on experience and earn academic credit. This makes technology careers more attractive and prepares graduates to meet workforce needs.
- Skills certification for migrants: Better recognition systems to certify existing skills would help reduce barriers and connect employers and talent.
Cultivate diversity
- Support for women-led tech startups: A grant program specifically supporting women-led startups fostering gender diversity in technology. Through targeted funding and mentorship, such an investment could enable more women to lead technological innovation. This is particularly important because students’ ICT proficiency tests show that girls outperform boys in computer literacy.
- Increasing digital inclusion in regional areas: To expand technology opportunities beyond urban centers, ACS recommends investing in digital infrastructure and skills programs for regional areas – primarily to support Aboriginal and Torres Strait Islander communities and foster a digital ecosystem nationally.
- Remove unconscious bias in hiring and promotion: To increase diversity, the ACS recommends that technology companies adopt best practices to eliminate unconscious bias in hiring and promotion, including reviewing job descriptions and hiring protocols, and offering anti-bias training.
Engage young people
- Parent information campaign: The ACS recommends a national campaign to educate parents about technology careers and digital skills, helping them guide their children toward technological opportunities.
- Tips on using the device for safe learning: Providing students with clear, evidence-based guidelines would improve learning and encourage healthy technology habits.
- Mentoring programs in schools: A mentoring initiative aimed at attracting technology professionals to schools would help spark student interest in technology, particularly among underrepresented groups such as women and First Nations students.
Advancing AI Capabilities
- Industry-specific AI training programs: Offering specialized AI courses tailored to fields such as healthcare and finance will help professionals apply AI in relevant ways within their industries.
- AI skills in higher education courses: Universities and professional institutions should integrate AI into their curricula, allowing students to become familiar with the technology early and ensuring that graduates learn to develop and manage AI solutions.
- Responsible use of AI through business advisory networks: Business advisory services should offer advice on AI ethics and governance to help businesses use AI responsibly and comply with standards.
According to the report, addressing the skills challenge requires a comprehensive approach that combines government policy and the private sector to target everyone from students to professionals looking to continue to develop their career opportunities: “All pathways to Access to the technology workforce must be revitalized and made more accessible. From students studying technology and workers transitioning mid-career to positioning Australia as a leading destination for global tech talent,” the report notes.
Skills shortage is a well-known challenge facing the IT sector and all sectors wishing to leverage technology in a sophisticated way. Finding a long-term solution means building strong and inclusive pathways with a medium- and long-term perspective to create a stable flow of IT professionals into the future.
