This article is part of a recurring series highlighting recent talent mobility industry reports. If you would like the WERC editorial team to consider covering a specific industry report, email mobility@worldwideerc.org.
The World Economic Forum’s (WEF’s) Future of Jobs Report 2025 aggregates responses of over 1,000 leading global employers, representing more than 14 million workers and 55 economies worldwide. The report examines how today’s transformational macro trends affect jobs and skills and how employers respond.
Tech’s Growing Impact on the Workplace
Chiefly noted is the impact of technology, with three in five employers expecting that broadening digital access will transform their business by 2030. Advancements in technologies, especially related to artificial intelligence (AI) and information processing; robotics and automation; and energy generation, storage, and distribution, are also expected to be transformative.
AI and big data top the list of fastest-growing skills, followed closely by networks and cybersecurity, as well as technology literacy. Roles related to technology are predicted to be the fastest-growing jobs in terms of percentage, including big data and AI specialists and software and application developers. About half of employers plan to reorient their business in response to AI, and two-thirds plan to hire talent with specific AI skills. Forty percent anticipate that AI will enable job cuts.
Inflation’s Toll on the Workplace
Increasing costs of living were highlighted as the second most transformative trend overall and the top trend related to economic conditions, with half of employers expecting it to impact their business by 2030. Inflation is predicted to have a mixed effect on net job creation to 2030, while slower economic growth is expected to displace 1.6 million jobs globally.
Inflation remains particularly high in services compared to pre-pandemic levels and is especially persistent in low-income countries. These areas are disproportionately affected by elevated food prices due to supply disruptions influenced by climate change and geopolitical tensions, the report notes.
The Ubiquitous Threat of Climate Change
Carbon emission reduction was ranked by respondents as the third most transformative trend overall, and climate change adaptation was ranked sixth. This is driving demand for roles such as renewable energy and environmental engineers and electric and autonomous vehicle specialists, which are among the 15 fastest-growing jobs. Climate trends are also expected to drive an increased focus on environmental stewardship, which entered the Future of Jobs Report’s list of top 10 fastest-growing skills for the first time this year.
A Tale of Two Age Demographics
In its report, WEF noted two demographic trends that are transforming labor markets: 1) aging and declining working age populations, mainly in higher income economies, and 2) expanding working age populations in lower-income economies.
Two in five employers indicated that aging and declining working age populations are driving transformation, while a quarter are being transformed by growing working age populations. Many high-income economies are experiencing both.
Employers facing the effects of an aging population are more pessimistic about talent availability and expect to face bigger challenges in attracting industry talent compared to the global average. With a shrinking labor pool, 60% of these companies are increasingly prioritizing the transition of current employees into growing roles as an important workforce strategy. The survey also found that employers that expect to be affected by aging populations are more likely to accelerate automation processes and advance workforce augmentation over the next five years.
Adapting to Global Shifts in Business
In the next five years, geoeconomic and geopolitical tensions are expected to drive business model transformation by just over a third of surveyed employers. Over a fifth of global employers identify increased restrictions on trade and investment, as well as subsidies and industrial policies, as factors shaping their operations. Employers that expect geoeconomic trends to transform their business models were more likely to reshore operations, as well as offshore operations, though to a lesser extent.
Preparing the Workforce for Change
On average, employees can expect that two-fifths of their existing skill sets will be transformed or become outdated by 2030, according to WEF’s report. Skill gaps are considered the biggest barrier to business transformation by survey respondents, with 63% identifying them as a major. About 85% of employers plan to prioritize upskilling workers, with 70% expecting to hire staff with new skills and 40% planning to reduce staff as their skills become less relevant.
Among the expected outcomes of investing in training, enhanced productivity was listed as the top benefit by employer respondents. About one in five respondents anticipated an increase in talent mobility across different geographies as a result of training investment.
Lessons for Mobility Professionals
As employers continue to adjust to these macro trends, transferring necessary skills will require moving personnel from employers and geographical locations to companies and areas of the world that need bolstering. Geoeconomic and geopolitical issues will also have an impact on relocation assignments, as well as demographic trends, inflationary pressures, and general economic conditions.
This report can inform professionals about the future skill sets that will be required for organizations to remain competitive over the next five years. For talent mobility professionals, this is an opportunity to lean in and strategically position themselves—and those they serve—to prepare for a new workforce.