Nearly a Third of UK Employers Don’t yet Have a Clear Picture of the Skills Their Organisation Will Need in the Next Two to Three Years

Why It Matters

Without a transparent skills roadmap, firms risk talent gaps as automation reshapes roles, potentially increasing hiring costs and turnover. Effective workforce planning becomes a competitive differentiator in a rapidly digitising labour market.

Key Takeaways

• 59.7% of UK firms view workforce planning as critical by 2026
• 30.8% lack clear skill forecasts for the next 2‑3 years
• 43.2% favor hybrid human‑tech approach to staffing decisions
• Only 45.3% see internal growth opportunities
• 30.4% plan workforce to address AI and automation

Pulse Analysis

UK employers are increasingly treating workforce planning as a strategic imperative, with almost 60 % rating it as critical or high priority for 2026, according to SD Worx’s survey of 305 UK firms. The push is driven by a mix of operational goals—maintaining staffing levels, controlling costs, and preserving service continuity—as well as external pressures such as talent shortages and the rise of automation. Notably, more than 30 % of respondents cite AI and robotics as a catalyst for revisiting their staffing models, underscoring the technology‑led shift reshaping the labour market.

Despite the heightened focus, a significant skills gap remains: roughly one‑third of UK organisations admit they cannot picture the capabilities needed in the next two to three years. Employee sentiment mirrors this uncertainty, with only 45 % perceiving clear pathways for advancement and just 46 % saying internal moves are easy to explore. While 64 % are eager to learn, half feel their current roles underutilise their talent. The disconnect between talent aspirations and organisational visibility hampers internal mobility, raising the risk of external hires and higher turnover.

Technology can bridge the visibility gap, but the data suggests a hybrid model is preferred. Over 43 % of UK respondents favour a blend of human judgement and analytics, while only a quarter advocate full automation of staffing decisions. Managers already feel equipped with the necessary tools, yet many organisations still rely on a mix of job titles and skills rather than pure skill‑based frameworks. To stay competitive, firms should invest in real‑time skill inventories, integrate AI‑driven forecasting, and align cross‑functional leaders around continuous reskilling pathways, turning workforce planning into a proactive growth engine.