David O’Connor, Head of Emerging Markets, The Learning Wave

As a nation, we take pride in our innovation and adaptability. However, when it comes to workforce development, we still find ourselves lagging behind.

The challenges are clear: a widening skills gap, ongoing productivity issues, a growing need for both transferable and technical skills, and businesses struggling to meet global competition demands.

Are we ready to push boundaries and adopt effective solutions for today’s workforce and tomorrow’s needs? Or are we content to tinker at the edges of a broken system? Recent conversations suggest the latter.

So, what can we do? It’s easy to blame outdated educational structures, funding issues, inter-agency hurdles, and slow policy changes. But are we truly held back by the system, or are we reluctant to challenge the status quo?

Current structures, though well-intentioned, often miss the mark when it comes to evolving business needs. We need a shift towards flexibility, continuous learning, and strong industry partnerships.

We must stop waiting for the government to solve the skills gap; we require more business-led initiatives.

Relying solely on government action is unrealistic and short-term thinking. Instead of waiting for mandates or funding schemes, the government should incentivize businesses with tax breaks for upskilling and training their staff.

The business community must lead the way. Organisations can – and should- drive change by partnering to source and fund necessary skills training. Many companies recognize the value of investing in their workforce, and there’s an opportunity to create a coordinated, industry-wide effort that harnesses the best training available.

Small businesses often claim they can’t make an impact, but we can transform isolated successes into a nationwide movement.

Collaboration among businesses is key to creating a more agile and responsive training ecosystem that meets the needs of both employers and their workforce. We need to reconsider how we approach skills training, moving away from rigid standards and qualifications.

While traditional educational pathways are valuable, they are not the only route to developing a skilled workforce.

We must prioritise a broad range of transferable skills and invest in practical, sector-relevant training that can be quickly updated. There’s a growing demand for short, stackable micro-credentials and on-the-job training, which are seen as more flexible and relevant than conventional qualifications.

Businesses will invest in what they value, and training providers must deliver programs that are accessible and valuable to both employers and workers.

As part of this revolution, we need a flexible, open market that quickly responds to business and learner needs. Moving away from one-size-fits-all training, a dynamic system would allow businesses to access specific skills on demand while enabling workers to upskill or reskill throughout their careers. This approach would foster competition and innovation among training providers, offering diverse, tailored options that drive continuous improvement.

If we want real change, we must think differently. We need to be bold, willing to challenge existing structures, and invest in solutions that may not fit the traditional mould but deliver the skilled workforce we need.

New Zealand’s future competitiveness depends on it. The business community must step up and take responsibility for leading this transformation.

Instead of being tied to traditional institutions, learners should have diverse options tailored to their specific career goals and employer needs.

This will create a competitive environment where training providers are incentivized to continuously improve and innovate.

Let’s not wait for permission–- let’s start building the workforce of the future today.