Companies battle AI skills shortage amid hiring slowdown

The IDA Labour Market Pulse indicated that Ireland is responding to the shortage of AI skills by upskilling and reskilling existing employees.

The report said that more businesses are now searching for staff with AI skills to speed up their digital progression.

The hiring rate in Ireland has slowed down compared to post-pandemic highs as employees are choosing stability over change amid a volatile economic environment, according to a new report.

The IDA Labour Market Pulse showed hiring rates in January were 27% lower than in the same period last year.

“Given the current tightness in the labour market, employers should focus on a skills-based approach to hiring,” said head of LinkedIn in Ireland Sharon McCooey.

The report, which was completed in collaboration with LinkedIn and Microsoft, found that while the hiring rate has stabilised, there is a growing gap in the workforce that needs to be filled with employees with AI skills.

The report said that more businesses are now searching for staff with AI skills to speed up their digital progression.

“While AI talent is very much in demand, there is a clear need to develop a pipeline of skilled professionals to take up these roles,” said Ms McCooey.

The Labour Market Pulse indicated that Ireland is responding to the shortage of AI skills by upskilling and reskilling existing employees.

The World Economic Forum (WEF) predicts that 97 million jobs involving AI will be created between 2022 and 2025 and overcoming current skills gaps will require targeted efforts.