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Posted 09/01/2024 12:06pm

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Skills in high demand,
Interpersonal they stand,
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Pandemic aftermath keeps fuelling Australian employers' demand for interpersonal skills, CSIRO study reveals

The COVID-19 pandemic has seen a surge in Australian employers' demand for interpersonal skills, such as communication and networking, according to a study by CSIRO published in Nature Human Behaviour.

The study used analysis by Adzuna Australia on more than 12 million online job ads from 2015 to 2022, revealing a heightened demand for these skills, particularly in remote roles.

Despite Australia's low unemployment rate of 3.5% between 2021 and 2022, the demand for interpersonal skills across a broad range of occupations has accelerated. Job postings offering remote work were 1.2 times more likely to highlight the need for interpersonal skills than face-to-face roles. This increased demand was primarily driven by job postings seeking skills in communication and collaboration.

The study utilised the European Skills, Competences, Qualifications and Occupations (ESCO) skills hierarchy to define interpersonal skills. It also reported a rise in the demand for digital skills post-pandemic, while the demand for manual skills decreased and the demand for analytical skills increased steadily.

David Evans, a CSIRO scientist and the lead author of the study, expressed surprise at the findings, particularly considering Australia's unemployment rate hit a historic low of 3.5 per cent between 2021 and 2022.

"Periods of low unemployment are usually associated with a dampening of employer’s skills expectations. Despite this job seekers’ market following the pandemic, we were surprised to observe a further acceleration of interpersonal skills demand across many occupations," he said.

Evans also debunked the notion remote work might favour introverts or independent workers.

"You’d also be forgiven for thinking the rise of remote working arrangements might suit introverts or more independent workers. But the data shows working from home is not working alone," he noted. "We observed job postings offering remote work were 1.2 times more likely to mention interpersonal skills than face-to-face roles.”

Evans believed the study's findings can help individuals prioritise skill development. "This finding can help individuals’ prioritise what skills to invest in developing. We also know that when employees’ skills are aligned with employers’ expectations, you have happier employees, lower turnover, and higher productivity," he said.

He also emphasised the importance of developing interpersonal skills in education and training. "Our results also support the ongoing relevance of calls for Australia’s education and training providers to focus on developing the interpersonal skills of students. The data suggests these ‘soft skills’ are increasingly front of employers’ minds and critical not to overlook," Evans concluded.

The study also reported an increase in the demand for digital skills post pandemic, such as accessing and analysing digital data. On the other hand, demand for manual skills decreased post pandemic and demand for analytical skills increased steadily in-line with pre-pandemic predictions.

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