Tasmania’s tech workforce to triple as digital skills surge by 2035

Tasmania's technology workforce is projected to almost triple by 2035, with over 21,000 new roles expected to emerge according to the latest research from the 2025 ACS Australia's Digital Pulse report.

The report, prepared by Deloitte Access Economics, has found that the state's technology sector already contributes AUD $1.1 billion to the Tasmanian economy and employs more than 11,200 people. If current growth trends continue, the technology workforce could exceed 32,000 workers within ten years, positioning technology as a significant driver for the future of Tasmania's economy.

This potential growth is notable in the context of Tasmania's overall population, which sits just above half a million. The rise of technology roles represents a considerable shift in employment trends across the state, reflecting the increased integration of digital tools and services in areas such as public administration, education, and health care.

Transformation of the workforce

Joel Harris, Chair of ACS Tasmania, commented on the findings of the report, highlighting the importance of digital skills and the opportunities ahead for local workers and businesses.

Technology is reshaping Tasmania's economy, and our workforce is right at the centre of that change. Over the next decade, the number of Tasmanians who'll need to upskill in using technology in their jobs is set to almost triple - a clear sign that digital capability is now essential in every industry.

This transformation brings huge opportunity - from high-value jobs and stronger local businesses to a more resilient state economy. We're already seeing it in advanced manufacturing, renewable energy, digital health and agritech, all creating strong demand for tech skills.

To make the most of this growth, we need to ensure Tasmanians have access to the right training and support so that new roles can be filled locally. That means practical pathways for upskilling and mid-career transitions. ACS will be part of that shift - helping Tasmanians adapt, grow, and thrive in Australia's digital future.

National economic impact

At a national level, the ACS Digital Pulse 2025 report highlighted that technology now contributes AUD $134 billion to the Australian economy, with more than one million Australians employed in the sector. Despite the steady expansion, the report indicates continued skills shortages, particularly in fields such as artificial intelligence (AI), cybersecurity, and data analytics, which are seen as constraints to both business productivity and wider economic growth.

The report suggests Australia could realise a AUD $25 billion uplift to the economy by 2035, subject to successfully closing its widening digital skills gap. However, the research also notes that about 150,000 businesses already face significant or severe challenges in digital capability, with reported outcomes including lost revenue and increased risks from cyber threats.

The survey underlying the report included 300 Australian C-suite leaders and 1,200 employees. Key findings include 51% of respondents lacking at least one digital skill needed for their current roles, particularly in areas such as AI, cybersecurity and data analytics. Although university IT program completions have increased by 11%, half of graduates believe their degrees are not directly applicable to their current positions. Industry certifications and vocational education and training are regarded as trusted pathways into the sector, yet 88% of job advertisements in technology still require university qualifications. The report also reveals that 45% of C-suite leaders report limited capability in at least one of five digital areas, and cites OECD research that businesses reducing their skills gaps are up to 30% more effective in applying technology.

Strengthening cyber security is seen as a further opportunity, with the report noting potential to cut the estimated AUD $63 billion annual cost of cyberattacks through improvements in digital proficiency across the economy.

Skill development and workforce planning

ACS Chief Executive Officer Josh Griggs emphasised the role of digital skills in Australia's future prosperity:

Digital skills are the foundation of Australia's economic future.

To compete globally, we need to ensure every worker, from frontline staff to the executive suite, has the capabilities to work with and lead digital transformation. If we close these gaps, Australia stands to unlock billions in economic growth, improve cyber resilience, and position itself as a global tech leader.

Our plan is not just about fixing today's problems; it is about creating a future-ready nation.

Ten actions have been recommended by ACS to help strengthen Australia's technology workforce. These include developing a national strategy for sovereign AI, boosting research and development to encourage innovation, providing government co-investment for technology scaleups-particularly those led by women and First Nations founders-and incentivising greater R&D in AI and digital adoption by businesses.

Additional recommendations focus on boosting entry-level roles in cybersecurity, fast-tracking a national framework for technology skills aligned with the SFIA (Skills Framework for the Information Age), and recognising alternative pathways into the sector such as industry certifications and vocational qualifications. The ACS is also calling for wage subsidies to assist mid-career workers in reskilling, and the development of sovereign technology infrastructure for the public sector in order to ensure safe and effective use of global digital tools.

The ACS Digital Pulse report is intended as a resource to guide ongoing decisions by policymakers, business leaders, and educators as Australia adapts to the demands of an increasingly digital global economy.