The recession caused by technological developments and the COVID-19 pandemic has affected the changes of in-demand skills a lot. Especially, from the lower middle class, women, and workers with younger age. Those who historically had low salaries are more likely to place greater importance on basic needs such as health, nutrition and access to housing. Extreme worry during this period reduces a productive and successful transition to a new job. Thus, individual capacities to manage this labor market transition can be damaged. This leads to hasty and potentially bad hiring and re-employment of going bad and below average.
The skills gap continues to widen as skills across jobs in high demand continue to change over the next five years. In-demand skills that are constantly evolving include critical thinking and analysis, problem solving, and self-management. According to data from World Economic Forum, the average company estimates that 40% of its workers will need retraining for 6 months or less. 94% of company leaders reported that they expect workers to be able to adopt new skills while working. Which is a high increase from 65% in 2018.
There are fewer opportunities for reskilling and upskilling in the limited labor market due to this pandemic. This affects workers who want to keep working in their former positions and who are threatened with losing their jobs. Which is one of many impacts of pandemic COVID-19. Likewise for those who have lost their jobs and hope to return to work. In the next five years, the share of core in-demand skills will change by as much as 40%. Thus, 50% of workers will need reskilling.
