TECH4GOOD
Employers are finally taking a direct hand in helping solve the job-skills mismatch that is hounding the job market. With the recent launch of several skills frameworks they developed (now collectively called the Philippine Skills Framework), the industry sectors tell learning institutions to stop the guessing game, adhere to their defined skills specifications, and design their curricula around them.
Globally, the issue of skills mismatch has persisted for ages, and it poses significant challenges to employers struggling to fill open positions and job seekers who usually end up underemployed or unemployed. Multi-sectoral groups involving industries, academe, and government have tried several approaches to address the situation, but the disconnect persists.
The skills mismatch has intensified recently due to rapid technological advancements, globalization, and changing work dynamics. A 2020 study by BCG, a global consulting firm, states that even among Organization for Economic Cooperation and Development (OECD) countries, approximately two out of five employees experience some form of skills mismatch.
Several factors are keeping this issue from finally being solved. Traditional education systems often focus on standardized training for existing jobs rather than preparing individuals for roles that have not yet emerged. The same BCG study estimates that, in two years, 27 percent of available jobs will be in roles that did not exist when the study was made.
Many graduates today find themselves in a “qualifications trap.” When they enter the job market, their competencies become outdated or oversupplied, leading to a mismatch between skills and demand. This situation directly impacts the economy due to lost labor productivity. Employers will have to invest in retraining, while jobseekers will have to take on any available job to earn a living.
The Philippine Skills Framework (PSF) Initiative is a Philippine government inter-agency effort to engage the different industry sectors in defining the job roles, the required skill sets and competencies they require today, and ways to better prepare the workforce for the future job market.
With much help from the Singapore government, which provided subject matter experts and Thames International School, the Department of Trade and Industry (DTI) took the lead by engaging the logistics and supply chain, animation, and the games development industry sectors to work on creating their respective roadmaps for the development and enhancement of the critical skills needed by their sectors.
On the other hand, the Department of Information and Communications Technology (DICT) led the development of all information technology-related skills frameworks. The Analytics and Artificial Intelligence Association (AAP) worked on the PSF for analytics and AI, the Philippine Software Industry Association (PSIA) on software development and security, the Healthcare Information Management Association of the Philippines (HIMAP) on the PSF for healthcare informatics, the Contact Center Association of the Philippines for the PSF on Business Process Outsourcing, and the Global In-house Centers Council for the PSF for global in-house centers.
The initiative involves developing sector-specific and cross-sectoral skills frameworks to guide the country’s workers in enhancing their skills for particular job roles. Such frameworks will also help employers design progressive human resource management and talent development plans and assist education and training institutions in revising existing curricula or designing new courses more relevant and responsive to current industry needs and emerging market demands.
Industry-defined skills frameworks have the potential to bridge the jobs-skills gap by establishing clear expectations and providing a roadmap for skills development. The PSF establishes a common language for employers and educators. When employers advertise positions, they can reference the framework to define the specific skills they require. Training institutions can align their curriculum with industry needs, ensuring graduates possess the necessary skills to enter the workforce. Job seekers can then use the framework to assess their skill sets and identify areas for development.
The frameworks would cover fundamental skills necessary for success in a particular industry, regardless of specific roles. Examples might include communication, problem-solving, and critical thinking. It would also include job-specific skills required for specific roles within an industry. For example, a software developer needs programming languages, while a graphic designer needs proficiency in design software. Equally important would be the soft skills. These interpersonal skills are valuable across all industries, including teamwork, leadership, and adaptability.
The skills mismatch remains a significant obstacle to a healthy labor market. Industry-defined skills frameworks offer a promising solution by providing a shared language and a roadmap for skills development. To make it future-proof, the industry sectors must ensure it is a living document by taking care of regular updates. However, the fruit of the pudding is to see industries, educators, and governments closely engaged in ensuring that the frameworks are appropriately utilized to close the gap between available jobs and the skills needed to fill them. This collaboration can potentially create a more efficient and equitable labor market, benefiting businesses, job seekers, and the economy as a whole. ([email protected])
The author is an executive member of the National Innovation Council, lead convener of the Alliance for Technology Innovators for the Nation (ATIN), vice president of the Analytics and AI Association of the Philippines, and vice president of UP System Information Technology Foundation.