Jobs are changing faster than ever. Some skills are becoming outdated while new ones are in demand with the rise of AI, automation, and other new technologies. And, this is just the start of more changes to come. This is why upskilling and reskilling aren’t just buzzwords in the workplace. They are keys to staying relevant in our industries and workplaces. But, what do they actually mean? Why is upskilling and reskilling really important in the workplace?

As some of you might have read before, I started my professional career as an Executive Assistant before diving into teaching (which was what most of the graduates of my degree are practicing then). There wasn’t much of upskilling that happened in this transition as our curriculum is highly focused on equipping as to become teachers. 

I first discovered the word upskilling when I decided to leave the teaching profession and try my luck in adult training. This is where I studied adult learning theories, training delivery, and such. Consequently, I had to upskill by learning the different instructional design principles, e-learning authoring tools such as Articulate Storyline, Rise, and Captivate, storyboarding, and LMS platforms when I transitioned from training to instructional design. 

What’s the difference between Upskilling vs. Reskilling?

• Upskilling is about learning new skills to stay relevant in your current role or advance within the same field. For instance, a digital marketing professional might upskill by learning data analytics to improve campaign performance. An instructional designer, on the other hand, might need to upskill by learning various LMS platforms, authoring tools, and even learning analytics.
• Reskilling, on the other hand, means learning new skills to transition into a different role or industry. An administrative assistant, for example, might reskill into a project management role by taking relevant courses and certifications. 

Why Upskilling and Reskilling Matters

1.  Automation and AI

44% of workers’ skills will be disrupted in the next five years according to the World Economic Forum. Some jobs are slowly being automated. This includes data entry, bookkeeping, or manufacturing jobs. However, this doesn’t mean jobs are disappearing. In fact, they are evolving. 

Companies that invest in upskilling and reskilling help employees adapt to new roles instead of facing layoffs. Additionally, it also benefits them my saving them money in onboarding new employees that may not quickly adjust to the needs and requirements of the company. 

It is also important to note that AI will never replace humans. It will, however, impact the way we work. Meaning, we need to be skilled in using AI to our advantage. We need to embrace it.

Take AT&T, for example. When they saw that almost half of their workforce didn’t have the skills needed for the roles of the future, they didn’t just sit on it—they invested $1 billion into retraining. That move helped employees transition into more tech-focused positions. It’s a solid reminder of why upskilling and reskilling matter so much: it’s not just about keeping up, it’s about giving people the tools to grow and adapt with the times.

2. Skill Gaps and Talent Shortages

In many businesses around the world, skill gaps and talent shortages have become a widespread issue. According to the Skills Gap Statistics UK 2023 article from the Oxford College website, roughly 20% of the workforce will be underskilled by 2030. 

Meanwhile in the UK, 66% of large businesses struggle to hire employees with their required skills. Hiring new talent to fill the skills gaps in the workplace can be costly and time-consuming. Imagine having to go through the entire costly process of hiring. Instead, organizations that focus on upskilling and reskilling their existing workforce can reduce hiring costs and improve retention.

This trend, although the statistics above is specific to the UK, is also happening in different countries. As new technologies arise, so are the demands in performing our jobs. A good example of this would be Amazon’s plan of investing $1.2 billion reskilling initiative to train 300,000 employees for higher-skilled roles, including cloud computing and machine learning. 

3. Employee Engagement and Retention

Employees who see opportunities for growth are more likely to stay. A study by Gallup found that companies with strong learning cultures experience 30-50% higher retention rates than those that don’t prioritize development. 

Employees tend to stay longer in the companies where they are valued. One way of valuing your employees is by empowering them through upskilling or reskilling.

Take IBM’s SkillsBuild program that provides continuous learning resources for employees, increasing job satisfaction and internal mobility. This is a free online platform that offers courses and digital credentials for tech-related fields.

4. Staying Competitive in a Fast-Changing World

Let’s be real—industries like healthcare, finance, and tech aren’t just evolving—they’re transforming at lightning speed. And if companies don’t keep up? They risk falling way behind. That’s why continuous learning isn’t just a “nice to have” anymore. It’s how employees (and the companies they work for) stay sharp, relevant, and ready for whatever comes next.

Take the banking world. With everything going digital, cybersecurity has become a must-have skill. Banks that prioritize training in this area are simply better prepared. What used to be a specialized bonus skill is now essential just to stay in the game.

What does a solid upskilling and reskilling strategy actually look like?

For Companies:

• Start with the gaps. What skills are missing right now—and what will be needed soon? Use assessments, talk to your people, and dig into the data.
  
• Invest in real learning. Online courses, workshops, mentorships—whatever works for your team and goals.
  
• Encourage cross-training. Let employees explore different roles or projects. It keeps things fresh and builds agility.
  
• Use smart tech. Platforms like Coursera, LinkedIn Learning, or Udacity can tailor training to individual needs and help scale learning across the board.
  

For Employees:

• Stay curious. Keep an eye on what’s changing in your industry. What skills are becoming non-negotiable?
  
• Use what’s offered. If your company offers training, grab it. Seriously—it’s a win-win.
  
• Take charge. Platforms like Udemy, Skillshare, or even free resources can help you level up on your own terms.
  
• Connect with others. A strong network and a good mentor can open doors, give you clarity, and help you grow faster.
  

Final Thoughts

Let’s not sugarcoat it—upskilling and reskilling aren’t just buzzwords or trends. They’re essential if we want to stay employable and competitive in a world that’s not slowing down anytime soon. Companies that bet on their people tend to come out stronger. And professionals who commit to lifelong learning? They stay ahead of the curve.

So now the real question is: are you ready to grow with the change or get left behind?

What about you? Have you taken steps to upskill or reskill recently? I’d love to hear what worked (or didn’t) for you.