In today’s fast-changing job market, one big question keeps surfacing for business leaders and HR professionals: Is it better to upskill existing employees or hire new talent?
Recent surveys reveal that 60% of employers prefer hiring new staff over reskilling or upskilling their current workforce. While this approach may seem like a faster fix for filling skill gaps, it raises important questions about sustainability, costs, and long-term talent strategies—especially in Africa, where skills shortages remain a critical challenge.
Why Employers Prefer Hiring Over Upskilling
Employers often cite the following reasons for choosing recruitment over training:
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Immediate Skill Needs – When businesses face urgent gaps (e.g., in digital transformation, data analytics, or AI adoption), hiring may feel like the quickest solution.
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Perceived Cost Savings – Many leaders believe training is more expensive than recruitment, though studies often suggest otherwise when turnover costs are factored in.
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Uncertainty About ROI – Some organizations fear employees may leave shortly after being trained, taking their new skills elsewhere.
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Time Constraints – Upskilling programs take time, while hiring can (in theory) provide instant expertise.
The Risks of a “Hire First” Mindset
While hiring new talent can be necessary, relying on it too heavily has downsides:
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Higher Turnover Costs – Recruitment is expensive, involving job ads, interviews, onboarding, and sometimes relocation.
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Cultural Fit Challenges – New hires may take longer to adapt, while existing employees already understand company values and systems.
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Skill Shortages – In Africa, the demand for digital and technical skills often outweighs the available talent pool, meaning companies may not find the talent they seek.
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Employee Morale – Overlooking internal growth opportunities can discourage loyal staff, leading to disengagement and resignations.
Why Upskilling Matters for African Workplaces
Across Africa, the workforce is young and ambitious, but many employees lack access to continuous professional development. By investing in upskilling and reskilling, organizations can:
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Close skills gaps internally without relying solely on external hires.
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Boost employee engagement by showing staff that growth opportunities exist.
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Strengthen retention as employees who feel valued are less likely to leave.
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Build future-ready workforces equipped to adapt to automation, AI, and new market demands.
Finding the Right Balance
The reality is that a balanced approach works best. Employers should assess when it makes sense to hire versus when to invest in training.
Practical Steps for HR Leaders:
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Conduct a Skills Gap Analysis – Identify which skills can be developed internally and which require external hiring.
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Adopt Hybrid Strategies – Use recruitment for highly specialized roles while building upskilling pathways for current staff.
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Leverage Partnerships – Collaborate with universities, online learning platforms, and training institutions to deliver affordable programs.
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Embed Learning into Work Culture – Encourage a growth mindset where continuous learning is part of everyday operations.
Final Thoughts
While 60% of employers may currently favor hiring over upskilling, the future of work in Africa will demand a more balanced approach. With skills shortages, high recruitment costs, and a rising demand for digital capabilities, companies that invest in their people will ultimately be better positioned for long-term success.
For HR leaders, the takeaway is clear: don’t just buy talent—build it.
