By: Staff Writer
April 25, 2025
A new report published by the World Economic Forum said that the digital gap must close in Latin America and the Caribbean (LAC) and as a result 84 % of employers are looking to upskilling their workforce themselves.
The report also said: “There’s also an increasing need for soft skills such as leadership, social influence and resilience as automation and climate change transform business operations and organizational cultures and outdated regulations are seen as the biggest barriers to transformation, with increased flexibility around hiring and firing practices the most desired public-policy measure.”
Latin America and the Caribbean is a region riven by digital divides. Just two-thirds of households have internet access, far below the OECD average of around 91%, and connectivity rates in some countries and rural areas are even lower.
The flipside of this is that it leaves huge scope for advances, which is why digitalization is expected to be one of the biggest drivers of labour-market transformation in the region over the next five years, as highlighted in the World Economic Forum’s Future of Jobs Report 2025. It shows that broadening digital access is considered the most transformative trend in Argentina, Brazil, Colombia and Mexico.
The report added: “The number of big data analysts, AI and machine learning specialists is expected to surge, but attracting this new kind of talent won’t happen unless companies change too, rethinking the outdated organizational cultures that many see as barriers to business transformation, redesigning salary and compensation offerings, and reassessing their approaches to employee wellness.”
It also said: “The demand for skilled talent is leading to calls for more public funding for reskilling and upskilling among employers in Latin America and the Caribbean, with 51% saying this is needed this decade. This is also the most desired policy measure in Colombia and Mexico, supported by 60% and 51% of employers surveyed, respectively.”
“It is clear that on the global stage, and especially in the Mexican market, upskilling will be of utmost importance in the coming years,” says Valeria Moy, General Director of think-tank the Mexican Institute for Competitiveness (IMCO), whose reports such as Unfilled Vacancies in Mexico’s Labor Market have examined the reasons behind talent shortages and skills gaps in the country. “AI and big data will become huge players, and soft skills such as leadership, creative thinking and resilience will be in high demand. Mexico needs to take action on talent development in a way that responds to these trends, otherwise the economy will not be able to keep up with global standards.”