Dr Bilawal Kamran
The global workforce is evolving at an extraordinary pace, and the need for new skills has never been more pressing. Two decades ago, the skills required in today’s job market seemed unimaginable, yet rapid technological advancements, automation, and industrial transformation have changed the landscape of employment. According to McKinsey’s report, ‘Jobs Lost, Jobs Gained’, by 2030, up to 375 million workers worldwide, or 14 percent of the global workforce, will need to transition into entirely new job categories due to automation and digital disruptions. This change is not just profound but occurring at a speed never seen before, leaving countries and workers around the world scrambling to adapt.
In this context, Pakistan faces an urgent challenge: aligning its educational systems and workforce capabilities with the demands of a rapidly changing global job market. The country must urgently focus on bridging the growing skills gap if it is to avoid being left behind.
The World Future Skills Index report by Quacquarelli Symonds (QS), a UK-based higher education analytics firm, sheds light on the global challenge of adapting to new skill requirements. The report assesses how well over 190 countries are preparing their populations for the future, and the findings are concerning. While some nations have successfully aligned their education systems with the needs of the digital economy, others, including Pakistan, have fallen behind. The report reveals that 70 percent of countries, including Pakistan, are grappling with economic stagnation despite an oversupply of skilled workers. This mismatch between education and industry needs has led to high unemployment rates, especially among youth, and a growing brain drain as skilled workers seek opportunities abroad.
In a world where new technologies and job roles are emerging rapidly, Pakistan is struggling to keep up. The country’s higher education system is a critical pillar of its economic resilience, and it needs significant reform to meet the demands of the future. Nations that have invested in forward-thinking educational programs are better positioned for long-term economic growth and global competitiveness. However, Pakistan lags behind in this regard, ranking poorly on the Future-Oriented Innovation and Sustainability index, which evaluates a country’s preparedness for future challenges.
In a global economy shaped by technology and innovation, the skills needed for success are evolving. Key areas such as artificial intelligence (AI), digital literacy, and green technologies are expected to dominate the job market in the coming decade. Research from Deloitte highlights the growing demand for these skills, with AI-related jobs projected to increase by 60 percent, digital skills by 35 percent, and green technologies generating 24 million new jobs globally by 2030. Countries excelling in these domains are positioning themselves for economic leadership, while those failing to adapt risk falling further behind.
Artificial intelligence, in particular, is a critical area for countries to focus on. According to IBM’s Global AI Adoption Index, the United States leads the world in AI integration across business operations, with 59 percent of companies actively using AI. China follows closely behind, with other countries such as the UAE, Saudi Arabia, Turkey, Malaysia, and Jordan also making significant investments in national AI strategies. These countries understand that AI is not just a trend but a key driver of economic growth and global competitiveness. Unfortunately, Pakistan has made little progress in this area, leaving its workforce ill-prepared for the future.
Another key trend emerging in the global workforce is the shift from traditional degrees to skills-based hiring. Companies like IBM, Google, Apple, and Tesla are prioritizing relevant, accredited skills over formal educational qualifications. This shift has profound implications for countries like Pakistan, where the education system often emphasizes degrees over practical, in-demand skills. In Pakistan, many of the certifications available to workers are not globally recognized, which reduces their value in the international job market. For Pakistan to remain competitive, its workforce must focus on acquiring internationally recognized skills and commit to continuous upskilling and retraining throughout their careers.
Unfortunately, Pakistan’s education system is still lagging behind in equipping its citizens with the skills required for the modern job market. The country suffers from outdated curricula, unaccredited qualifications, and a lack of alignment between education and industry needs. This misalignment has created a significant skills gap, leaving many graduates without the practical knowledge needed to succeed in a rapidly changing world.
The disparity in educational and technological readiness between Pakistan and its global counterparts is not inevitable. It is the result of policy failures, poor governance, and systemic inefficiencies. Pakistan’s higher education system has long been hindered by nepotism, political interference, and outdated curricula, all of which contribute to the skills gap. Furthermore, bureaucratic inefficiencies and restrictive IT policies, such as firewalls, VPN bans, and social media restrictions, have hampered the country’s ability to adapt to the digital age. These barriers not only limit access to global knowledge and networks but also cost the economy millions of dollars per hour.
In contrast, countries that are leading the way in skills development are heavily investing in research and development (R&D), recognizing that innovation is key to staying competitive. Universities in developed nations serve as hubs for technological progress, providing the research and development necessary to drive economic growth. However, Pakistan’s lack of investment in R&D and innovation is a missed opportunity to harness the full potential of its people and build a more resilient economy.
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Bridging the skills gap requires a coordinated effort between the government, private sector, and educational institutions. First, the government must reform higher education policies to align with emerging skills and market demands. This involves revising curricula to include more practical, in-demand skills such as AI, digital literacy, and green technologies. Universities must also invest in teacher training to ensure educators are equipped to teach these skills effectively.
Second, universities must proactively develop future-focused programs, particularly in fields that will dominate the job market in the coming years. These areas are not just optional but essential for driving innovation and preparing the workforce for the future. Establishing centers of excellence and collaborating with international organizations can further enhance the quality and relevance of academic offerings.
Finally, Pakistan needs to shift its mindset from a degree-centric approach to a skills-based one. Vocational training, online learning platforms, and skill development programs must be prioritized to ensure workers acquire the skills needed to compete in the global job market. Certifications must meet international standards to provide workers with the credentials necessary for success.
Pakistan faces significant challenges, but they are not insurmountable. The country can still reverse its economic stagnation and position itself as a competitive player in the global economy by focusing on its human capital. By investing in education, embracing innovation, and creating an ecosystem that fosters talent development, Pakistan can equip its workforce with the skills needed to thrive in the future.
The world is moving at an unprecedented pace, and Pakistan cannot afford to fall further behind. It is time for the country to prioritize skills development and ensure its workforce is prepared for the challenges and opportunities of the 21st century. Through targeted policies, institutional reforms, and a commitment to bridging the skills gap, Pakistan can secure a prosperous future for its citizens and reclaim its place in the global economy.