New report finds requirement for digital skills expanding out of traditional tech roles
Employers in Singapore are offering up to 30% wage premium for employees with advanced digital skills, as demand for the skillset expands to industries outside technology, according to a new report.
New research released by Indeed Hiring Lab, published in partnership with the Asian Development Bank, revealed a wage premium on digital skills in Singapore workplaces, with the premium rising with the level of digital capability.
Basic digital skills, such as using email, office software, and spreadsheets, are associated with a 4.6% wage premium, the report revealed, based on an analysis of job postings in Singapore between 2019 and 2024.
Intermediate skills, such as data analysis, CRM software, dashboards, and digital content management, can command a 12.1% wage premium.
Advanced digital skills, which cover programming, artificial intelligence, machine learning, and IT systems management, can carry a 30.1% wage premium in workplaces.
"Our results show that employers attach a clear wage premium to these skills even when comparing otherwise similar jobs, and that the premium rises with the level of digital proficiency," said Silvia Garcia Mandico, economist at Asian Development Bank, in a statement.
"This underscores the importance of expanding opportunities for workers to acquire and continuously upgrade their digital skills, so they can adapt to technological change and share in its benefits."
Digital requirements get out of tech roles
Mandico, who co-authored the research, also pointed out that their findings indicate that digital skills are "increasingly important" outside technology-intensive occupations.
Basic digital skills are already widespread across roles including administrative assistance, customer service, sales, logistics support, education, and healthcare, according to the report.
Intermediate and advanced digital skills, on the other hand, are expanding in roles related to software development, IT infrastructure, data and analytics, and industrial engineering.
AI-related requirements are also getting out of traditional technology roles and are increasingly appearing in jobs for banking and finance, insurance, legal services, mechanical and industrial engineering, social sciences, and arts and entertainment.
"The labour market is increasingly rewarding what people can do with technology, not simply whether they work in a technology role," said Yusuke Aoki, Economist at Indeed Hiring Lab.
"As AI becomes embedded in more workplaces, the ability to apply digital and AI tools effectively is likely to become increasingly important across both technical and non-technical careers."
