SA’s corporate sector faces a pressing need to rethink how it prepares its employees for what’s next.
Research from the World Economic Forum (WEF) 2025 Future of Jobs Report – the most comprehensive global data, collected from 1 000 leading employers from around the globe – finds that skills gaps are ‘categorically considered the biggest barrier to business transformation by the respondents, with 63% of employers identifying them as a major barrier over the 2025–2030 period. Accordingly, 85% of surveyed employers plan to prioritise upskilling their workforce, with 70% expecting to hire staff with new skills, 40% planning to reduce staff as their skills become less relevant and 50% planning to transition staff from declining to growing roles’.
The report identifies technological change, geoeconomic fragmentation, economic uncertainty, demographic shifts and the green transition – individually and combined – as the major drivers expected to shape and transform the global labour market by 2030.
Analytical thinking remains the most sought-after core skill among employers, with seven out of 10 companies considering it as essential in 2025. This is followed by resilience, flexibility and agility, along with leadership and social influence.
While the report says global job numbers are projected to grow by 2030, existing and emerging skills differences between growing and declining roles could exacerbate skills gaps. The most prominent skills differentia ting growing jobs from declining jobs are anticipated to comprise resilience, flexibility and agility; resource management and operations; quality control; technological literacy and programming.
‘The pressure to optimise costs and maximise productivity is at the forefront of all business leaders’ minds,’ says Marthle du Plessis, Africa Workforce of the Future platform leader at PwC South Africa.
‘Today, this pressure is made more complicated by disruptive technology, the increasing complexity of geopolitics and global trade, evolving risk and regulation, and the ongoing race to find and keep the right talent with the right skills. In South Africa, much like in India, we face a paradox in the realm of upskilling. Despite producing a significant number of qualified professionals, there remains a substantial employability gap. This mismatch results in numerous open roles and underutilised talent, which in turn affects operating margins for businesses.’
Evidently, Microsoft believes SA in particular requires assistance with upgrading workers’ skills for the future. Lillian Barnard, president for Microsoft Africa, announced in March 2025 that the tech giant aims to provide 1 million people in South Africa with artificial intelligence (AI) and cyber security training opportunities by 2026.
AI is perhaps the number one priority for internal corporate skills development, since it presents the greatest potential for transforming industries, from finance and healthcare to manufacturing and retail.
‘As AI and automation reshape industries, continuous learning has become a business imperative for Spar,’ says Brigitte Da Gama, head of human resources at Spar South Africa.
‘We believe that offering structured upskilling opportunities will help us remain competitive in attracting and retaining top talent. AI-driven tools aren’t replacing human roles but rather enhancing productivity and creativity. At Spar, we integrate technology to support workforce efficiency while main taining a people-first approach. Traditional soft skills, such as leadership, collaboration and adaptability, are now seen as “power skills”, essential for navigating complex business environments.
‘In addition to our flagship leadership development programmes, we offer employees access to globally recognised accredited leadership training through the Spar Academy online platform. There is also a growing shift from role-based work to skills-based work, where employees are valued for their capabilities rather than their job titles. We have identified increasing demand for expertise in data analytics and agile thinking to drive business transformation.’
In a full-circle moment, AI is also reshaping the very process of workforce upskilling.
‘AI is transforming skills development by personalising learning pathways, increasing accessibility, and improving retention,’ says Da Gama. ‘The Spar Group is leveraging AI-driven learning tools to enhance performance and productivity.’
IBM’s Watson Career Coach provides AI-driven career guidance and personalised upskilling recommendations, while Sanlam Group’s employees have access to Skillsoft, a learning platform with AI-powered tools that analyse workforce skills and suggest targeted training programmes.
Du Plessis posits that companies would do well to review their hiring and training strategies. Upskilling employees who have been intentionally selected for their skills (versus qualifications) and adaptability makes the end goal of an effective, versatile workforce all the more reachable.
‘In order to align business’ reinvention strategies with the skills needed to bring it to life, it is fundamental for business executives to proactively anticipate the future of work to derive the relevant workforce implications,’ she says. ‘Adopting a skills-first approach to workforce development, rather than traditional qualifications, can help organisations stay competitive and resilient in a rapidly changing job market.
‘Businesses need to rethink their hiring and training strategies to build a more adaptable and inclusive workforce. Strategic workforce planning involves the analytic forecasting and planning process that directs workforce activities to ensure the organisation executes its business strategy with the correct talent.’
Du Plessis stresses the importance of aligning internal role demands with industry trends by defining skill units across the enterprise. This ensures that the skills of the workforce are in sync with the evolving market needs.
In addition, strategic planning is essential to optimise hiring, contracting or cross-training decisions based on opportunity costs, to make sure the right talent is placed in the right role.
Finally, using the right technology can streamline the process. ‘Organisations need to align skill definitions and keep them updated with AI models. This technological integration ensures skill assessments are accurate and relevant, helping companies stay ahead.’
PwC South Africa has developed a comprehensive skills assessment platform that evaluates the skills and competencies of individuals within an organisation using methods such as self-assessment, line-manager assessment or peer assessment. The goal is to identify gaps in skills and capabilities within the workforce. By analysing these gaps, organisations can create tailored upskilling initiatives, development plans and training programmes to address the deficiencies.
A lot of skills gaps within the SA public and private sector are legacy driven, says Du Plessis. The tools have not been historically available to assess at scale, and the skills assessment platform helps assess, identify the gap and scale the upskilling in order to address the digital divide. It will also allow for a potential view of national skills in a single platform.
The global pandemic left an indelible mark on the corporate landscape, and internal skills development strategies were no exception. Vodacom Group has undergone significant changes in its approach to upskilling over the past few years.
‘Before the pandemic, Vodacom Group’s approach was structured and methodical, with an emphasis on continuous improvement and career progression,’ says Matimba Mbungela, Vodacom Group’s chief human resources officer. ‘One of the most significant changes was accelerating our transition to digital learning platforms. We adopted online training modules, webinars and virtual classrooms to ensure employees could continue their professional development despite the distancing measures that were put in place. This not only allowed for greater flexibility in learning but also provided access to a wider range of resources and expertise.
‘We increasingly equipped our employees with digital skills, launching targeted initiatives to enhance their proficiency in areas such as data analytics, cybersecurity, artificial intelligence and robotic process automation. Our commitment to upskilling our workforce includes aligning employee development with the company’s strategic growth engines and its ambition of evolving into a technological organisation.’
For all the rhetoric around workforce transformation, upskilling is a formidable challenge for companies. The primary obstacle is the time-money trade-off – training employees demands financial investment and time away from revenue-generating work. Striking a balance between short-term productivity and long-term capability-building is a moving target.
Then there’s the issue of relevance. The velocity of technological change means that by the time an upskilling programme is rolled out, its curriculum risks obsolescence. Industries undergoing structural shifts must contend with AI and automation redefining traditional roles at a pace that often outstrips training efforts. The result? A perpetual game of catch-up.
In emerging markets such as SA, infrastructure constraints further complicate the equation. While multinational firms integrate AI-powered training tools, smaller enterprises with tighter budgets struggle to offer comparable opportunities. The digital divide – in access to technology and digital literacy – risks widening the skills gap.
Finally, companies wrestle with measuring impact. Many lack the analytics to determine whether training initiatives translate into higher productivity, innovation or retention. Without clear ROI, upskilling remains a line item rather than a strategic priority.
In an age where AI is reshaping industries faster than they can adapt, skills – more than degrees – will define employability. As Klaus Schwab, executive chairman of the WEF, warns: ‘In the new world, it is not the big fish which eats the small fish, it’s the fast fish which eats the slow fish.’
