UAE scores high in addressing skills mismatch: BCG

The UAE is better positioned than its peers in addressing the global skills mismatch, a report by consultancy firm BCG says. The GCC country has an FSA score of 62.3, above the global average of 47.2, the study adds.

FSA (Future Skills Architect) is a tool by BCG designed to help policymakers and business leaders uncover instances of the skills mismatch in their economies.

The UAE performed well in the categories of “self-realisation, accessible opportunities, and skill liquidity” the report says.

In particular, the UAE performs well in the area of skills liquidity – where decision-makers ensure that people outside a job’s immediate location apply for it, to enlarge the candidate pool for every job, and to give every candidate access to a larger pool of jobs. That might seem likely to happen naturally in a post-Covid world, where remote work has become the norm, but government policies—especially those relating to immigration—and company practices play an important role to widen the talent pool for each position. The UAE has also made a significant push in improving the quality of their schools, in particular private schools, as shown by the latest Trends in International Mathematics and Science Study (TIMSS) results.

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The BCG analysis highlights two key areas that the UAE should improve to create a future-ready society and economy. Firstly, planners and HR specialists must cultivate a “human-focused environment” by understanding the specific needs, values, and demands of talent, whose knowledge, skills, experiences, and ambitions differ greatly from one generation to another. Secondly, policymakers and business leaders must figure out how to unlock the potential of different types of labor in the economy, including older workers and people with determination.

“Countries around the world, including the UAE, are faced with a fundamental skills-related problem, as the skills required for the future are rapidly evolving, further exacerbated since the pandemic began,” said Dr. Leila Hoteit, the global leader of BCG’s education, employment, and welfare sector and co-author of the report.

“Responding to the skills mismatch should be at the top of every country’s human capital development agenda, as it continues to be a costly burden holding back economic growth opportunities of the future.”