Skills shortages occur when the demand for specific skills outpaces the supply of qualified workers, creating long-term challenges for businesses, industries, and economies. Driven by rapid technological change, demographic shifts, education mismatches, and evolving workforce expectations, skills shortages can limit productivity, slow innovation, and increase operational costs. This guide explains what skills shortages really mean, why they persist, and how organisations can overcome them through strategic workforce planning, upskilling and reskilling, skills-based hiring, smarter job design, and long-term learning cultures.
