Artificial intelligence is now the first gatekeeper in hiring. Jobseekers are increasingly interacting with AI tools that scan, score and shortlist candidates, write job ads and schedule interviews.
In practice, machines often decide the applicants that will be reviewed by the recruiter. That shift isn’t just technological—it’s profoundly social.
There is now even more of an incentive for applicants to write directly and substantively in the language and approach of the job ad but there’s a gap between how workers and employers talk about skills.
Many job platforms only look at job titles and formal qualifications, missing valuable skills especially important “invisible skills” that people actually use every day.
Take a community support worker who handles tough situations with a variety of different people and organisations. If their résumé gets ignored because it doesn’t have the “right” keywords, their real talents aren’t lost but the opportunity to utilise their skills are.
We need to change how we hire people. People are often bringing more skills to the table than what a simple job title reveals.
Things become more fair and open when we’re all speaking the same language: government, business, teachers, and workers. Jobs and Skills Australia has proposed a National Skills Taxonomy to provide a common language for the full range of skills we all possess.
Putting skills first means looking at cognitive and transferable skillsets like analysis, problem-solving, communication and teamwork, giving us a much clearer picture of what someone can achieve rather than by just focusing on job titles or pieces of paper.
At the centre is a clear, modern definition of skill that captures its value as a purpose driven human ability. That definition moves us beyond industrial-era task lists and recognises the skills that make Australia competitive today: critical thinking, creativity, collaboration and problem-solving alongside technical expertise.
According to Hays, 85% of hiring managers report skills gaps, and 86% are turning to skills-based hiring to address them. This clearly shows employers are already shifting because it improves matching in a fast-changing economy.
Yet without consistent, validated skills data, hiring pipelines remain fragile with the same report noting 64% of organisations report that skills-based hiring meets their expectations, but barriers remain in identifying and assessing skills, redefining roles, and training hiring managers.
Looking to the future, the way we describe skills will dramatically change as a result of AI and automation meaning applicants will need to be more comfortable in explaining their abilities.
There’s a fairness consideration too. Caring and service roles depend on emotional intelligence, coordination, de-escalation, ethical judgement, flexibility and cultural competence.
When those skills are invisible, practitioners who are disproportionately women are undervalued and struggle to identify transition pathways without full reskilling meaning talent is wasted.
Using a shared language through a National Skills Taxonomy is more than a recruitment tool; it’s a critical connection point that will make all skills visible, valuable and transferable.
For the first time, Australians and employers will be able to see the skills a role requires and the specific education products and pathways that build those skills, supporting a genuine lifelong learning journey rather than a focus on titles, qualifications and tasks.
Let’s demand that our systems recognise skills in all their forms, that education pathways are mapped to real opportunities, and where lifelong learning is the norm, not the exception.
As AI keeps speeding up the recruitment process, it’ll keep relying on biased shortcuts unless we step in and provide clear, trustworthy information about people’s real skills.
The National Skills Taxonomy is grounded in solid qualitative evidence to create a clear, fair, and easy-to-understand way to talk about skills that everyone can use and remains consistent across Australia.
Trials are about to get underway, and the main rollout will begin from mid-2026. The goal is simple: make it easy for everyone to see, value, and use skills across different jobs.
Let’s make sure algorithms judge us by what we can do, not by what they can’t see, by adopting a skills-first mindset.
Megan Lilly is Deputy Commissioner, Jobs and Skills Australia.
