Author: World Economic Forum
Summary
The “Future of Jobs Report 2023” by the World Economic Forum presents a comprehensive analysis of the labour market, shaped by technological innovation, economic shifts, and demographic trends from 2023 to 2027. The report, based on insights from 803 companies employing more than 11.3 million workers across 27 industry clusters and 45 economies, provides an outlook on the significant transformation underway, driven by technology, the green economy, and macroeconomic forces.
Key findings show that over 85% of surveyed organisations expect the adoption of frontier technologies such as artificial intelligence (AI), big data, cloud computing, and digital platforms to be central to business transformation. While these innovations will create a variety of roles—especially in AI and sustainability—there is a projected decline in traditional jobs like clerks, secretaries, and data entry roles as automation and AI take on more repetitive, manual tasks. In contrast, the demand for AI specialists, machine learning experts, sustainability professionals, and data analysts is expected to surge, reflecting the growing importance of digital skills and sustainability.
The report also highlights the impact of macroeconomic trends like slower economic growth, supply chain disruptions, and geopolitical tensions. These factors are expected to displace jobs in certain sectors, but investments in the green transition, climate adaptation, and the implementation of environmental, social, and governance (ESG) standards are projected to generate new opportunities. Specifically, roles related to renewable energy, sustainability, and climate resilience will see notable growth, especially as economies shift towards greener practices.
The report stresses the urgent need for reskilling and upskilling, with 44% of the global workforce requiring significant retraining over the next five years. Analytical thinking, creativity, and digital literacy are identified as key skills, with companies increasingly focusing on developing these within their workforce. However, despite this focus, only half of workers currently have access to adequate training, exacerbating an existing skills gap. Organisations are also emphasising internal talent development, prioritising on-the-job training, and company-led learning initiatives over external solutions.
Demographic shifts, including ageing populations and the demographic dividend in developing economies, are further influencing the labour market. These changes, coupled with technology-driven disruptions, underline the importance of building resilient, adaptable workforces that can meet the demands of an evolving economy.