October 2023 Citi Report: LinkUp Job Data and the Future of Work

The world of work is changing all around us–and fast. The phenomena of machine learning and automation that launched the 4th Industrial Revolution are transforming the nature of jobs–and the skills required to do them–at such an accelerating rate that imagining the future of work is more dizzying than ever.

But it’s also more important.

As the traditional emphasis on educational background and experience falls away in favor of specific skill requirements, it’s invaluable to know which skills generate the highest demand, pay the largest wage premium, and deliver the greatest returns.

SKILLS THAT PAY

Citi GPS’s thought leadership report leveraged LinkUp job listing data to analyze the evolution of skills in the job market across all major sectors between the periods of 2014-2015 & 2018-2020.

What emerges in their “Skills That Pay” report is a compelling picture of the most valuable candidate in the job market of the near future, one defined by a combination of the skills required to adapt and drive innovation on ever-shifting technological ground.

Citi scrubbed job ads curated by LinkUp for the skills most frequently referenced in listings. The more often a given skill was referenced, the more important it was deemed. Linking the listings to wage data, the analysts determined which skills garner the highest pay.

The analysis identifies the nine skills most in-demand: seven “cognitive skills” including machine learning and research, and two “soft” ones: “interpersonal & organized” and “collaborative leadership.”

RISE OF THE COLLABORATIVE LEADER

Cognitive skills will always be essential in an increasingly complex landscape of tech and quantitative analysis, and no doubt the highest wage increases over the period of 2018-2020 accrued to workers with skills in machine learning and math.

But the less expected finding of Citi’s report is the ascendancy of soft skills in the era of automation, particularly of collaborative leadership.

A collaborative leader is one who can think strategically and creatively, and importantly, who fosters an environment of inclusivity: a condition proven to motivate workers and drive innovation. Jobs requiring the social skills of collaborative leadership are less likely to be automated as the nuances of the skill can’t be broken down into discrete tasks.

TWO SKILLS ARE BETTER THAN ONE

The most valuable worker of all though–in demand and wage premium–is one with a combined arsenal of soft and cognitive skills, notably collaborative leadership and research capabilities. These professionals will be able to lead their organizations through periods of rapid change and encourage the continual learning required to adapt.

That’s another key finding of the report: because the field of data science is “constantly evolving,” the most in-demand and highest paid workers will be those “constantly invested in continuous upskilling.” Collaborative leaders with a capacity for quant analysis will be the catalysts for upskilling across industries.

LINKUP DATA AND THE FUTURE OF WORK

The report addresses the interests of job seekers, corporates, and investors.

To candidates it offers insight on wage premiums for given skills and the impetus to move beyond longstanding educational and experience requirements in favor of skill development.

To corporates it makes crystal clear the necessity of upskilling their workforce as any of the nine skills discussed–including the “soft” ones–can be taught. This is true for employees in mid-career as it is true for those just starting out.

Finally, and most strikingly, the report extends a “new lens through which investors can analyze the skills being demanded by a company…and determine whether that company is poised for innovation and future readiness.” Analyzing patent filings and stock performance data, the report draws a direct line from the prevalence of these key skills in a company’s year one hires to that same company’s stock performance in year two.

The bottom line: a candidate with in-demand cognitive skills plus collaborative leadership leads to greater innovation, and innovation to higher stock performance. Companies who put a premium on these skills in job listings and investors who consider them in their analysis will reap the rewards.

This report is another indicator that LinkUp’s job listing data gives stakeholders an indispensable look at the potential energy seeded in today’s job market–how today’s hires form the direct link to tomorrow’s innovation.

To explore how you can leverage LinkUp job market data as a skill index to invest in your workforce strategy, schedule a demo today.