The increasing demand for digital and technical skills listed in the critical skills list (CSL) has seen local firms rely heavily on foreign talent to fill the skills gap.
This is one of the key findings of the Institute of Information Technology Professionals South Africa’s (IITPSA’s) ICT Skills Survey 2024, conducted by Africa Analysis and sponsored by Software One Experts SA.
The survey findings are based on an undisclosed number of polled employers and ICT practitioners across SA.
A section of the 57-page research report focuses on the CSL – revealing the mismatch of ICT skills available and the skills required in SA has led to a greater dependency on foreign workers.
“While this dependency may be a temporary solution for improving the country's digital transformation journey, a more strategic approach is necessary to tackle the growing digital skills gap in the country,” the survey states.
“Government should empower policy-makers to implement strategies that address the root cause of unemployment, which is closely tied to the digital skills gap. One effective strategy is to revise the current education curriculum by introducing digital skills, such as coding, from a young age. This would help create a pool of digitally-skilled talent domestically, thereby reducing the reliance on foreign workers and ultimately addressing the issue of rising unemployment in South Africa.”
Prioritised skills
The Department of Home Affairs, with the help of the Department of Higher Education and Training, the Labour Market Intelligence Research Programme and various professional bodies, created a CSL, which is updated from time to time.
The database provides a national list of occupations in high demand in SA, and the qualifications and criteria required to fill each role.
The CSL forms the basis for the issuance of critical skills visas to skilled foreign nationals to help the country address the skills gap.
It was updated in October 2023 and included 142 occupations deemed to be critical in SA. The most sought-after roles that require digital/technical skills are highlighted in the IITPSA report.
These include skills in the emerging occupations list, including app or software developer, developer programmer, computer network and systems engineer, ICT security specialist, computer quality assurance, ICT systems analyst, chief information officer, network analyst and data scientist.
“The greatest shortages are closely aligned with the ICT priority areas indicated in the 2024 survey and highlighted in the report. Notably, artificial intelligence/machine learning (AI/ML) are considered to not only be in short supply currently, but are expected to remain so over the next 12 months. It is telling that AI/ML is also second on the surveyed enterprises’ ICT priority list,” notes the survey.
Professional exodus
The migration of skilled labour is also a growing concern, as global companies look to poach locals to fill the IT skills gap.
Over the past few years, recruiters have been warning that SA is pitted against multinational corporations, as the growing digital skills dearth leads to a fierce fight for highly-skilled local software developers.
A lack of adequate training, an insufficient pool of new graduates and the ongoing brain drain are exacerbating the skills gap, the IITPSA study finds.
Some 24% of surveyed employers pointed to migration of skilled labour from SA as a factor contributing to skills shortages. A further 24% cited insufficient numbers of new graduates, 26% said a lack of training and education at basic level was the cause of skills shortages, and 21% said rapid technological change was impacting skills demand and supply. In addition, 65% said skills gaps had a moderate or high impact on their businesses.
Among practitioners, 49% are considering working remotely for an employer or client overseas, 9% plan to do so, and 11% already do so, while 8% describe themselves as digital nomads, notes the study.
As SA continues to compete in the international market for these “top skills”, this trend is also reflected across other markets, the survey finds.
Australia and New Zealand, for example, are attractive emigration destinations, particularly for South Africans, and they are reinforcing policies to attract immigrants to close their ICT skills gaps.
Australia’s government has increased the number of permanent migration places and is addressing the issues surrounding persuading immigrant students to stay, rather than return to their home countries.
“The competition for ICT skills, not just in SA, remains highly-competitive. This is reflected in the salary scales of ICT professions, and their growth relative to other professions, as well as their ever-present existence in the critical skills list of countries around the world,” notes the study.
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