Closing the Digital Skill Divide - The Payoff for Workers, Business, and the Economy - Executive Summary and Analysis

Oct 15, 2026

A report examines how the digital skill divide affects U.S. workers, employers, and the broader economy, emphasizing that technology is reshaping work rather than replacing it. Using analysis of 43 million “Help Wanted” ads posted during 2021, it shows that 92% of job ads require definitely or likely digital skills. The findings highlight unequal access to foundational digital skills, especially for workers of color and smaller firms, and outline why coordinated workforce development investments can deliver payoffs for business and economic opportunity.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages58

Reading Time2 h 26 min

AccessFree to download

EXECUTIVE SUMMARY

Closing the Digital Skill Divide

Recommendations

Endnotes

Appendix

Methodology

FEBRUARY 2023 CLOSING THE DIGITAL SKILL DIVIDE THE PAYOFF FOR WORKERS, BUSINESS, AND THE ECONOMY By Amanda Bergson-Shilcock and Roderick Taylor with Nye Hodge ACKNOWLEDGEMENTS This report was written by Amanda Bergson-Shilcock and Roderick Taylor of National Skills Coalition with data analysis by Nye Hodge, Federal Reserve Bank of Atlanta. The report team included Jeannine LaPrad and Rachel Unruh of National Skills Coalition and Sarah Miller, Federal Reserve Bank of Atlanta. The opinions expressed in this report reflect those of the authors and do not necessarily reflect those of the Federal Reserve System or the Federal Reserve Bank of Atlanta. About National Skills Coalition: Jobs that require skills training are the backbone of our economy. National Skills Coalition fights for a national commitment to inclusive, high-quality skills training so that more people have access to a better life, and more local businesses see sustained growth. Since 2000, through expert analysis and technical assistance, broad-based organizing, targeted advocacy, and cutting-edge communications, NSC has changed hundreds of state and federal skills policies that have changed thousands of lives and grown local businesses and economies. About the Center for Workforce and Economic Opportunity at the Federal Reserve Bank of Atlanta: The Center for Workforce and Economic Opportunity focuses on employment policies and labor market issues that affect low-and moderate-income individuals. It acts as a bridge between research and practice, connecting researchers, businesses, and policymakers with innovative approaches to creating economic opportunity through education and employment. The center also contributes to economic research and monetary policy discussions by tracking labor market trends affecting low-and moderate-income workers. TABLE OF CONTENTS EXECUTIVE SUMMARY .............................................................. 3 CLOSING THE DIGITAL SKILL DIVIDE..................................... 7 Missing from the digital divide discussion: Skills...................... 8 Almost all jobs now require digital skills ..................................... 9 Not just a silicon valley problem: The digital skill divide spans every industry and firm size .................................. 13 Inequities within the digital skill divide........................................ 14 The payoff of closing the digital skill divide ............................... 15 RECOMMENDATIONS .................................................................. 18 ENDNOTES .................................................................................... 20 APPENDIX ..................................................................................... 23 State Profile: North Carolina ....................................................... 25 State Profile: Illinois ....................................................................... 38 METHODOLOGY............................................................................ 52 CLOSING THE DIGITAL SKILL DIVIDE: THE PAYOFF FOR WORKERS, BUSINESS, AND THE ECONOMY 1 NOW — AS LEADERS DESIGN LABOR MARKET POLICIES TO DRIVE A THRIVING AND INCLUSIVE ECONOMY — IT IS IMPERATIVE TO UNDERSTAND THIS ACCELERATION OF DIGITAL TRANSFORMATION. 2 CLOSING THE DIGITAL SKILL DIVIDE: THE PAYOFF FOR WORKERS, BUSINESS, AND THE ECONOMY EXECUTIVE SUMMARY ven before the coronavirus pandemic began, policymakers, businesses, and workforce advocates were already recognizing that workers were not being replaced by robots, but rather, being called upon to work hand-in-glove with rapidly evolving technology. When the pandemic struck, millions of U.S. companies hustled to change how they did business. Nearly every worker suddenly had to contend with new digital demands — even those in frontline, essential roles. The impact of the digital skill divide became more acute, weighing disproportionately on w

FAQs

What dataset does the report use to measure demand for digital skills?

It uses a dataset of 43 million “Help Wanted” ads posted during 2021.

How common are digital-skill requirements in job ads, according to the report?

The report states that 92% of all job ads require definitely digital or likely digital skills.

Why does the report argue that closing the digital skill divide matters?

It links unequal access to foundational digital skills—especially for workers of color and smaller businesses—to real labor market pressures, and it outlines major payoffs from closing the gap through coordinated investments.

Oct 15, 2026

Uploaded by Riley West