reskilling

Reskilling is the process of acquiring new skills or competencies to perform a different job or to adapt to evolving job requirements. It is distinct from upskilling, which aims to deepen existing expertise, and from retraining, which prepares someone for a broader career change. Reskilling often responds to automation, digital transformation, or shifts in labor demand.

Typically, it begins with assessing skill gaps, followed by a learning plan and credential attainment. Delivery methods include on-the-job training, apprenticeships, vocational and higher education courses, online programs, bootcamps, and micro-credentials that validate new competencies.

Effective reskilling aligns with labor market needs, combines instruction with practical work, and often involves collaboration among workers, employers, schools, and government agencies. It can raise employability, support wage growth, and improve organizational resilience, while challenges include cost, time, unequal access, and the need for high-quality, recognized credentials.

Public and private initiatives—funding, subsidies, tax incentives, and partnerships with higher education and training providers—support broader reskilling. Examples of sectors with active reskilling efforts include manufacturing, information technology, healthcare, and services, where workers shift to roles involving data literacy, software use, digital tools, or new care practices. Evaluations of reskilling programs typically consider employment outcomes, earnings, and credential attainment.