Upskilling was viewed as a strategic priority by 78% of Irish business leaders, according to new research from Skillnet Ireland.
The findings came from Ireland’s Talent Landscape 2026, the third annual study of workforce priorities and emerging skills needs across the Irish economy, launched by Minister for Further and Higher Education, Research, Innovation and Science James Lawless.
The research, conducted by Ipsos B&A among 750 business leaders, found that access to skilled talent remained the most important enabler of business success.
Access to qualified talent was considered very important by 72% of SMEs with between 10 and 49 employees, rising to 75% among businesses with more than 250 employees.
“The strength of Ireland’s economy has always depended on the talent of our people,” Lawless said. “As businesses navigate rapid technological change and evolving market demands, investing in skills has never been more important.”
More than half of companies expected the core skills required by their workforce to change over the next three years. Among larger organisations, that figure rose to 79%.
The research identified a two-speed digital economy, with businesses at different stages of digitalisation facing different workforce requirements.
Using a Digital Intensity Index based on Eurostat methodology, Skillnet Ireland found that 41% of Irish companies had high or very high levels of digital intensity.
Businesses with higher digital intensity were more likely to report changing skills requirements and demand for leadership, advanced technology and innovation capabilities. Less digitally mature organisations continued to focus on traditional operational and trade-based roles.
Digital intensity also varied by sector. Half of businesses in manufacturing, technical and engineering reported high or very high digital intensity, compared with one-third of businesses in industry and construction.
The research found a strong link between digital maturity and expectations around AI. Among businesses with very high digital intensity, 82% expected AI to have a significant or transformative impact on their organisation within the next two years.
Despite this, only 27% of businesses planned to invest in AI upskilling over the next 12 months.
Among businesses that identified AI training needs, AI content generation and prompt engineering were the most frequently cited capabilities, identified by 35% of respondents.
Mark Jordan, chief executive of Skillnet Ireland, said workforce development had become a strategic business priority.
“As technologies continue to evolve and industries transform, businesses need access to innovative upskilling opportunities to remain competitive and future ready,” he said.
The research also examined sustainability-related skills.
A quarter of businesses expected more than half of their workforce to require sustainability-related training, down from 33% in 2025.
Among businesses with more than 50 employees, energy efficiency was identified by 76% as a sustainability capability that would support growth over the next two to three years. Policy and regulation followed at 71%, with innovation and creativity at 65%.
Lack of time was the leading barrier to workforce development, cited by 45% of businesses and 51% of SMEs.
Cost was also a significant factor, with half of businesses saying increased supports and grant funding would encourage greater investment in workforce development.
Learning preferences varied by business size. Micro-enterprises showed a preference for e-learning, while medium-sized organisations favoured trainer-led, in-house programmes.
Skillnet Ireland said the findings would inform its strategy around workforce transformation, leadership development, digital and AI adoption, sustainability and enterprise innovation.
Patryk Goron
Ltd
