03/03/2023

Micro-credentials and Employee Development

Employee upskilling through micro-credentials

The rapid evolution of the future of work has become apparent in recent years. Technology has and will drastically transform the employment landscape in the next decade, with Artificial Intelligence (AI) and machine learning revolutionising the way millions of people work. Traditional employee development programs  and career paths are no longer adequate to keep up with the constantly changing market demands.

Skills that were common in 2017 are now out of date. One-third of the skills mentioned in a typical 2017 IT, finance, or sales job posting have already become obsolete. Micro-credentials have emerged as a solution to this problem, providing employees with a flexible and affordable method of developing new skills and advancing their careers.

So what exactly are micro-credentials, and how do they benefit employees and employers?

Micro-credentials, as the name suggests, are concise certification-style courses that concentrate on providing in-demand skills, knowledge and experience. They offer a rapid and convenient way for employees to develop new proficiencies because they are more flexible and cost-effective than traditional diplomas and degrees. These short courses are designed to enhance proficiency in a specific area or skill, such as digital marketing, leadership and management, or problem-solving and critical thinking.

Micro-credentials cannot replace a diploma or degree, but they can supplement traditional credentials and are stackable, meaning that you can obtain multiple micro-credentials and use them as academic credit toward a postgraduate degree or accredited program.

Micro-credential programs are usually delivered by various organisations, including government bodies, educational institutions, companies, and online learning platforms. They typically take weeks or months to complete and require you to demonstrate your skills, knowledge, and competencies through a variety of online lectures, group discussions, project work, presentations and assessments. Upon successful completion of a micro-credential course, the employee will receive a digital badge or certificate that they can showcase on their LinkedIn profile and other platforms.

How can micro-credentials help with employee learning and development?

Micro-credentials may be small, but they pack a powerful punch. With the workforce constantly evolving, it’s crucial to be adaptable, upskill regularly, and quickly adapt to changes and this is where micro-credentials can help.

Promotes lifelong learning

Micro-credential courses foster a culture of continuous learning, encouraging employees to develop professionally throughout their careers. This not only increases employee engagement but can also positively impact retention.

Enhances employability

In today’s competitive job market, where digital transformation and specific skill demands are prevalent, micro-credentials enable employees to expand their skill set and enhance their employability while still working full-time. By acquiring additional skills and demonstrating their commitment to lifelong learning, employees can differentiate themselves from others with similar educational backgrounds and experiences.

Assists with career transition

With 39% of workers believing their jobs will be obsolete in five years, micro-credentials can provide employees with an opportunity to transition internally or pivot to another industry. By gaining new skills and knowledge in the field they want to transition to, employees can build a solid foundation and become well-equipped for job applications in a new industry.

Offers flexibility

Micro-credential courses are short and flexible, allowing employees to complete them at their own pace and time. Online accessibility also makes learning more convenient, regardless of geographic location. As micro-credentials are stackable, employees can select a variety of courses to create a comprehensive portfolio of skills, providing them with flexibility in their skill development journey.

Why is continuous learning important for employees?

Skills have become the currency of modern-day career portfolios. It’s no longer enough to rely on years of experience or a long list of qualifications. To succeed in today’s job market , employees need to keep their skills up to date with the latest trends and emerging industries. For Employers having Employees with a wide skill set can help mitigate potential business risk.

Continuous learning is essential to remain competitive. According to Deloitte, essential skills become outdated in an average of five years. Upskilling is, therefore, a core priority to ensure employees stay relevant and can take on bigger roles within their companies.

Continuous learning also prevents complacency and keeps employees on the cutting edge of trends. It enhances employee retention and engagement, demonstrating the company’s commitment to investing in personal growth. It also increases productivity, as employees become better equipped with the skills needed to perform their roles.

As for the most important micro-credentials to gain in 2023, it’s difficult to provide a specific list as the job market and industry demands are continually evolving. However, areas likely to be in high demand include Artificial Intelligence and Machine Learning, Cybersecurity, Digital Marketing, Cloud Computing, and Data Science and Analytics.

In addition to these areas, the World Economic Forum identified the top 10 skills of 2025, which are predominantly soft skills.

These include analytical thinking and innovation:

  • active learning and learning strategies,
  • complex problem-solving,
  • critical thinking and analysis,
  • creativity, originality, and initiative,
  • leadership and social influence,
  • technology use, monitoring and control,
  • technology design and programming,
  • resilience, stress tolerance, and flexibility, and reasoning, problem-solving, and ideation.

Where can I access Micro Credentials ?

Here are some examples of where you might find the right Micro credentials for your team:

  • Future Learn
  • Google Digital Garage
  • Hubspot
  • Linkedin Learning
  • RMIT Online
  • SkillUp Online
  • Coursera
  • Udemy

It is widely recognised that learning and development are crucial for achieving business success, as there are numerous advantages associated with them. Now is the time to empower and upskill your team. If you need some help creating a strategy for this email contact@nowactually.com.au for some help.