MIND THE (SKILLS) GAP!!!

Can Skills-based hiring contribute to a more equitable and inclusive work environment?

Context: The global job market has tightened considerably in the last couple of years (there I said it). In 2023, 40% of University and College graduates applying for jobs online felt that they were excluded from job opportunities due to lack of qualifications or 'real' experience - this is despite being a good fit on paper! Likewise, skilled professionals who were made redundant in recent years or looking to pivot from one industry to another are equally struggling and have faced exclusion.

With a large number of qualified and experienced professionals retiring, leaving their respective industries and mounting geopolitical and economic pressures impacting business success and growth around the world, what are some of the key initiatives being adopted by hiring managers, recruiters and decision makers when attempting to counter the skills gap (and dare I say promote more creative/exploratory hiring policy).

1. Reducing Bias: Traditional hiring practices often result in unconscious bias, where candidates are evaluated based on factors like their educational background, gender, or ethnicity rather than their actual skills. Skills-based hiring shifts the focus to objective criteria, such as a candidate's abilities and competencies, reducing the influence of bias and promoting fair evaluation.

2. Expanding the Talent Pool: By prioritizing skills over specific qualifications or experiences, skills-based hiring opens doors for candidates from diverse backgrounds who may have acquired their skills through alternative paths. This inclusivity allows individuals with different educational, career, or personal backgrounds to compete on an equal footing, increasing opportunities for underrepresented groups.

3. Recognizing Transferable Skills: Skills-based hiring acknowledges the value of transferable skills that can be applied across various roles and industries. This recognition benefits candidates who may not have direct experience in a particular field but possess relevant skills that can be leveraged effectively. As a result, individuals from non-traditional backgrounds or career changers can enter new industries or roles, contributing their unique perspectives and talents.

4. Promoting Equal Opportunity: By focusing on candidates' actual skills, skills-based hiring promotes equal opportunity for all applicants. It ensures that individuals who have developed the necessary competencies, regardless of their background or prior opportunities, are considered for positions. This approach helps to level the playing field and break down barriers that may exist in traditional hiring practices.

5. Encouraging Professional Development: Skills-based hiring emphasizes the importance of continuous learning and professional development. Employers who adopt this approach often invest in training programs and opportunities for employees to upskill or acquire new competencies. This commitment to ongoing development creates a more equitable work environment by providing employees with the support they need to advance their careers and reach their full potential.

Overall, skills-based hiring promotes fairness, inclusivity, and equal opportunity by focusing on the abilities and potential of candidates rather than relying on predetermined criteria. By creating a level playing field for all applicants, organizations can foster a more equitable work environment where diverse talents can thrive, leading to better innovation, collaboration, and success.