Skill Shortages in OECD Countries

Labour shortages reached an all-time high following the COVID‑19 pandemic, as businesses struggled to keep up with rebounding consumer demand. Although labour market tightness, measured by the vacancy-to‑unemployment ratio, has largely returned to its pre‑pandemic levels, hiring difficulties persist in high-skill sectors and where job quality is low. This poses a risk to long-term economic development, as shortages of skilled labour can hinder productivity growth.

Policy responses to skill shortages require timely and accurate information on skill needs. In response, a growing number of countries have established national skill assessment and anticipation systems. These systems play a crucial role in identifying emerging skill needs, informing education and training policies, and supporting better alignment between labour supply and labour market needs. However, they differ widely in terms of aims, methodology, data and time horizons, which severely limits cross-country comparability.

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