Despite all the headlines about tech industry layoffs, research suggests that demand for tech talent is only continuing to grow. The entire sector is being redefined by the rise of artificial intelligence (AI), which has employers around the globe scrambling to find workers with entirely new skill sets for entirely new roles.

General Assembly’s most recent report, “The State of Tech Talent 2024,” suggests that nearly 7 in 10 human resources (HR) leaders have encountered strong headwinds as they seek employees with the AI skills required to fill critical roles.

As companies grapple with this talent shortage, they risk continuing — if not widening — the persistent equity gaps that have plagued the tech industry since the advent of computers. But as it turns out, it’s possible for companies to simultaneously tap into new and more diverse talent pools and close their widening tech skills gaps.

Bridging the Tech Talent Gap With Learning Pathways

The key is to look closer to home — to their existing non-technical teams, as well as community organizations that can expand access to previously untapped sources of talent. Forward-thinking companies are using training and development to create pathways into tech roles for non-technical workers and their broader communities.

Admittedly, tech hiring challenges are daunting. According to General Assembly’s tech talent report, 97% of companies are using AI in their products or processes, but 60% of company leaders say their organization lacks the necessary tech talent to meet their digital transformation goals. Seeking outside talent is a tried-and-true solution, but nearly 70% of HR leaders say it’s now harder to hire employees with the requisite AI skills than it is to find individuals skilled in data analytics, data science and software engineering.

Even if organizations can locate quality tech talent, hiring is expensive. Companies report that it’s costing them more than $23,000 on average to recruit and hire for AI-related positions. More than 90% of HR leaders surveyed say job candidates with AI skills are demanding higher salaries — which most companies are agreeing to. Not only are companies struggling to acquire tech talent, but also they’re finding it even more difficult to find diverse talent from underrepresented backgrounds.

Because the pace of technological change is relentless, wise companies know they cannot delay the search for solutions. Some organizations already have developed internal means to create skilled tech talent and diversify their workforces.

Creating Learning Pathways in Tech: Real-World Examples

The Walt Disney Co. created its CODE:Rosie bootcamp to reskill and upskill women employees working in non-technical roles so they’re able to move quickly — in as little as six weeks — into technology positions that power the company.

In addition, while many people might consider John Deere to be a tractor manufacturer, it’s actually a tech powerhouse and the world’s largest operator of autonomous vehicles. To help satisfy its tech talent demands, it partnered with General Assembly to develop continuous learning programs based on skills maps and skills forecasts so it could build and retain a more tech-savvy workforce. Its first effort upskilled more than 100 employees and made them eligible for software engineering positions within the company.

In some cases, communities are following a similar playbook. In Buffalo and Louisville, civic leaders and local organizations sponsored tech training programs to upskill local workers and promote economic mobility in their regions.

There are three key takeaways from these examples.

• First: Organizations and communities can quickly identify where they have underrepresented talent. By intentionally reaching out to these individuals and creating pathways to tech careers, they can build a more diverse tech workforce.
• Second: It’s a business imperative to invest in your own talent. Individuals sought education and training so they could work in specific industries for specific companies, and they expect those organizations to invest in them in return. If not, they’ll see other opportunities where they can be upskilled into more advanced and better-paying roles.
• Third: When a company seeks a new direction, it risks losing employees familiar with the organizational mission and culture who lack these new skills. Rather than cast them off and have to compete in the rough and tumble talent marketplace, reskilling and upskilling incumbent employees can serve as a foundational piece of a transformation strategy.

Conclusion

The war for AI stars is just beginning — and future challenges are bound to grow more difficult as AI uses evolve. Companies looking to win the talent battle and meet their diversity, equity and inclusion (DEI) metrics should develop internal and community-driven approaches to create the next generation of tech talent.