The Australian Computer Society (ACS) has today released the tenth edition of the ACS Digital Pulse report, presenting insights into the evolving technology landscape and its workforce in Australia, including a need to boost cyber and AI skills.

Launched by Deputy Prime Minister Richard Marles on October 22, 2024, the report marks a decade of tracking key trends and challenges. It provides a comprehensive forecast of the sector’s future and underscores urgent action points for addressing the nation’s tech skills shortage.

This year’s Digital Pulse reveals Australia’s technology workforce passed the one million mark in 2024, growing by 60% since 2014. However, this growth is set against the backdrop of increasing demand, with the report forecasting 1.3 million tech workers will be needed by 2030 to meet industry needs.

“Like many other sectors right now, IT and tech is needing an uplift in the workforce to support the demands required of it,” Marles said at the launch.

• Key findings also emphasise Australia’s lagging pace in artificial intelligence adoption, the persistent cybersecurity skills gap, and the critical need to improve diversity and inclusion in the workforce. The findings include:

• 1.3 million technology workers needed by 2030 to meet industry demand, but we are not on track to meet this need;

• There are 1.1 million workers who have similar skills and tasks to tech roles who could support tech workforce growth;

• 60% growth in Australia’s tech workforce over the past decade;

• The IT sector contributed $124 billion to the Australian economy in FY23 through its operations;

• The adoption of artificial intelligence in Australia is falling behind international competitors; and

• Critical shortages in cybersecurity skills loom as demand is set to double by 2030.

“Australia has long faced a chronic tech skills shortage, but this report makes clear that in the face of a rapidly evolving cybersecurity landscape and strong adoption of AI into the workplace, we need to ensure the nation has the skills needed by industry and the community,” said ACS CEO Josh Griggs. “Technology is touching every part of society, particularly businesses, and for Australia to be competitive globally, we need to ensure the nation has the skillsets required to make the most from these emerging platforms.

“We should also keep in mind that technology jobs are well paid, and tech companies are among the fastest growing businesses on the planet. If we have the right skills, we can ensure more Australians are part of this dynamic sector,” he added. “However, despite a surge in domestic students choosing IT studies during the pandemic, enrolments have now dropped, with a 10% decline in 2022. While 70% of all parents would encourage their children to pursue a career in technology, only half of parents outside of technology roles or professional services would recommend tech as a career.

“Boys remain over four times more likely than girls to show interest in tech careers. This shows the importance of not only encouraging more students into technology careers but also encouraging career changers from other sectors and attracting skilled migrants to Australia.

“In this year’s Digital Pulse, ACS has outlined twelve measures we believe could help Australia address its digital workforce needs. We’re looking forward to working with government, industry and the community on doing more to ensure Australia maintains its place as a great place to live and work.”

The report sets out 12 key actions across four areas to drive the growth of the Australian technology workforce, including reskilling workers, increasing diversity, engaging the next generation of tech talent, and supporting the responsible use of AI. These recommendations include offering a earn while you learn wage subsidy for those looking to reskill into technology careers during their career and a parents information campaign to help parents understand opportunities in tech and what skills their children should learn to unlock that future.

“Over the past decade, Digital Pulse has shown that people reskilling or upskilling mid-career has been of our biggest source of tech talent,” said report author and Deloitte Partner John O’Mahony. “This year, Digital Pulse has identified 1.1 million workers with similar skills or experience to technology roles. One of our key challenges for the rest of the decade will be to encourage more people in this group to join the tech workforce.”

“The tenth edition of the Digital Pulse is a testament to how far we have come as a tech community, but it also serves as a wake-up call for the challenges we must address head-on,” said ACS President Helen McHugh. “This report is more than a reflection of past achievements – it’s a roadmap for the future. For Australia to remain competitive in the global digital economy, we need to ensure our workforce is equipped to handle the rapid advancements in AI and cybersecurity. ACS remains committed to advocating for policies and initiatives that support a strong, diverse, and future-ready tech workforce.”

You can read the full report here.