Call for Australia to prioritise digital skills reform

The Australian Computer Society (ACS) is urging the forthcoming federal government to prioritise digital skills reform and research commercialisation to support Australia's economic development.

ACS emphasised the significance of these issues during the ACS 2025 Election Forum, where industry, education, and venture capital leaders discussed the need for a modern skills recognition system and effective commercialisation of research.

These calls are detailed in ACS's recently released election position paper, which proposes nine core recommendations for the next government across skills and commercialisation pillars.

The paper suggests developing a National Innovation Strategy that is independent of election cycles and leveraging public procurement to support Australian businesses and stimulate innovation. Prioritising the national R&D review as a reform process is also a key recommendation.

Enhancing Cooperative Research Centres (CRC) business models to foster collaboration, supporting co-investment models between industry and universities, and fast-tracking a National Skills Taxonomy are further outlined strategies.

ACS President Helen McHugh stated, "Australia has the ingenuity, the research capability, and the talent to thrive in today's digital economy. What we need now is a unified, national approach to developing skills and translating innovation into impact. These are not side issues — they are central to our future prosperity."

McHugh further commented on the importance of building a productive and globally competitive economy. "We're calling for government and leaders to connect the dots: from digital skills, lifelong learning, and alternative pathways to venture capital and commercialisation. We need to build an economy that's not only productive and resilient but also globally competitive. The talent is here. The ambition is here. Now we need the support and systems that match that vision and strategy."

Currently, Australia's skills and qualifications system is oriented towards past industrial needs, hindering its capacity to adapt to technology and workplace changes. This concern is shared by many, with nearly 76% of Australian employers facing skills mismatches.

Melinda Cilento, CEO of the Committee for Economic Development of Australia (CEDA), remarked, "We should be really worried about the increasing number of boys who are not finishing school in this country, and we should be really worried about an education system which they do not think is relevant, engaging and empowering."

The ACS urges action on the National Skills Taxonomy, investment in a Digital Skills Passport, and the expansion of professionalisation frameworks like SFIA to urgently needed areas like cybersecurity.

"We need to continue to leverage what's in place and working, continue to build those strategic partnerships between education providers, technology providers, and employers, and to build a common language," said Cherie Diaz, Executive Director of Education Innovation at Western Sydney University.

Despite Australia's significant research contributions, converting research into market-ready products and services remains challenging. The ACS identifies organizational fragmentation and risk-averse culture as barriers.

Phil Morle from Main Sequence Ventures highlighted the financial obstacles: "There comes a time when funding rounds are getting bigger and bigger, and to do the next thing you've got to raise more money to take more risk and work with a bigger global customer base. So you look around and you don't find that money in Australia, but you do find it overseas and you move the whole company. This happens time and time again."

Jane O'Dwyer, CEO of Cooperative Research Australia, commented on regulatory changes: "The regulatory changes we've made over 30 years mean that it couldn't have had the three CRCs that participated in. Of course, it might not need it now – things happen faster – but we've over-regulated that space."

The ACS recommends using federal purchasing power to support Australian businesses and drive innovation, suggesting that it could be more impactful than standalone funding programmes.