Global Skill Shortages

As the world entered the 21st century, global skill shortages in many occupations were evident throughout the world. While these were mitigated by a global recession, there is no generally agreed upon method for measuring these shortages. This text discusses various theories of measurement. Using data from 19 developed countries in North America, Europe and the Pacific region, the authors explore the various aspects of skilled labour shortages, develop a methodology of measuring shortages by occupation and provide estimates of the likelihood of the occurrence of such shortages. They develop labour market indicators which measure the degree or shortage or surplus in different occupations. The study covers as many as 49 occupational groups, although the number varies by country. The indicators are compared to anecdotal reports about shortages in the countries studied as well as correlated with various economic, political and institutional indicators. Some occupations such as computer scientists were common across countries and part of a global shortage.