Mckinsey & Company Report: Bridging Ireland’s Tech Skills Gap Through Social Mobility

higher education. Mckinsey & Company Report: Bridging Ireland’s Tech Skills Gap Through Social Mobility

As Ireland’s economy thrives—with record low unemployment and high levels of educational attainment—a new report from McKinsey & Company, commissioned by Generation Ireland and supported by JPMorganChase, highlights the urgent need to close the country’s growing tech skills gap through inclusive adult education.

Ireland’s technology sector is poised for significant growth, with projections indicating the creation of 40,000 new technology roles between 2025 and 2030, subject to changes in the Irish jobs market from international tariffs and AI market disruption. Yet, this promising growth is hindered by a formidable skills gap, as 83% of employers report significant difficulties in reskilling, while fostering social mobility, helping underrepresented groups access careers in technology.

Ireland’s technology sector is poised for significant growth, with projections indicating the creation of 40,000 new technology roles between 2025 and 2030, subject to changes in the Irish jobs market from international tariffs and AI market disruption. Yet, this promising growth is hindered by a formidable skills gap, as 83% of employers report significant difficulties in sourcing skilled professionals.

This report, for the first time, delves into the intricacies of this challenge and proposes bold solutions to ensure Ireland’s continued leadership in the tech sector, anchoring on the ability to unlock the opportunity from latent talent pools, with thousands of people who are motivated and intrinsically well suited to these careers, but need a clearer pathway and formalised training to do so.

Despite the success of current government initiatives in equipping a large segment of the population with the necessary education and training through delivering industry-leading levels of degrees and apprenticeships, there remain pockets of society where barriers to entry persist. These barriers, which include a lack of formal qualifications and systemic socioeconomic disadvantages, hinder social mobility and exacerbate inequality.

There are many education pathways in Ireland, such as Universities, corporate bodies, SOLAS FET initiatives, and NGOs. Each education pathway has inherent access challenges for people with barriers to entry; however, some educational pathways have been proven internationally to lend themselves to be a transformative way to build social mobility.

To address these challenges, the report recommends a multifaceted approach to upskilling and reskilling, emphasising the importance of lifelong learning. Key ideas include creating affordable and accessible education pathways, engaging employers in co-creating training curricula, and providing targeted support for individuals most at risk of exclusion from the workforce.

The report also highlights the potential economic benefits of improving social mobility, with estimates suggesting that enhancing education and employment opportunities could increase GDP by 3-9% across European countries. In Ireland, addressing childhood disadvantage alone could recover approximately 4% of GDP annually.

Drawing inspiration from successful European models, Ireland can implement skills strategies to meet employer needs while fostering social mobility. These programmes have demonstrated the potential to uplift individuals from disadvantaged backgrounds, equipping them with the skills and confidence to access high-quality jobs and achieve economic independence.

To maintain its leadership in education and skills, Ireland could establish a pathway to lifelong learning and enable targeted interventions for rapid education to meet the market’s evolving demands.

This report underscores the critical role of targeted rapid adult education in bridging Ireland’s technology skills gap while promoting social mobility. By prioritising the inclusion of underrepresented groups and investing in scalable, targeted training programs, Ireland can unlock the potential of its untapped talent pool, create a more equitable society, and drive economic growth. The state stands to save approximately €3,500 per learner per year who attends a skills bootcamp, through increased tax contributions and reduced social welfare costs.

The full report can be read here.

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