President Tharman recently lamented that in the modern world, there is an increase of mismatch of skills and aspirations when speaking at the World Economic Forum. He believes that this is partially due to how tertiary education has expanded internationally almost without variation towards one particular model of education — a highly academic one. This type of education was previously applied to a very narrow cohort of students at a time when university education was rare.
“That’s also created a hierarchy where academic skills are ranked above technical skills, or the skills you acquire through experience.”
“That’s at the heart of the mismatch of what people are trained for, and what the job market and employers want,” he said.
Employers moving towards skills-first hiring
He’ll be heartened to know that within the job and hiring market, shifts have already begun. Employers have started to unlock the potential of millions who were previously locked out of promising job opportunities and careers. This was due to too many companies looking to hire workers with degrees by default, even for jobs that don’t require that level of education.
According to research referenced by Harvard Business Review, this trend began decades ago but spiked in 2007 to 2010, with job postings requiring a bachelor’s degree increasing by 10%.
While that number has fluctuated since, this degree-first mentality by some employers, rather than skills-first, has deprived them of talent in an increasingly tight hiring environment.
In fact, further analysis from Harvard Business School and Accenture found that for jobs that required “middle skills” (some education or training beyond secondary school), they found no boost of productivity when performed by degree holders!
New-collar jobs and how they are gaining traction amongst employers
A pivot towards skills-first hiring has emerged in the form of “new collar” jobs, which can range from a wide field of industries and roles, such as:
- Cloud administrator
- Cybersecurity architect
- Database administrator
- Digital marketer
- Field service engineer
- Graphic designer
- IT support specialist
- Mortgage loan originator
This list, far from being exhaustive, scrapes just the surface of jobs that basically require a combination of technical skills without the need for a specialised degree.
We spoke to Nilay Khandelwal, Senior Managing Director, Michael Page Singapore and India, who elaborated that these jobs have emerged in response to rapid technological advancements, automation, and industry shifts.
“Employers are realising that formal education is not always the best indicator of capability—what truly matters is whether a candidate has the right skills and mindset to perform in a fast-evolving workplace.”
“Industries like tech, fintech, and advanced manufacturing are leading the shift.”
“Healthcare, particularly in areas like medical technology and telehealth, is increasingly hiring based on skills rather than degrees,” he added.
So how are they different from “blue” and “white” collar jobs, you might ask.
The key difference between new-collar and traditional roles is that qualifications are no longer the primary focus—demonstrated skills and hands-on experience take precedence.
Unlike blue-collar roles, which traditionally involve manual labour, or white-collar ones that require formal education, new-collar jobs sit at the intersection, blending digital proficiency with practical application.
Employment trends in new-collar jobs
Nilay believes that from an Asia-Pacific perspective, Singapore and Australia employers are actually leaders in skills-first hiring, driven by government-backed upskilling initiatives!
India’s booming tech and outsourcing sector is embracing non-degree talent, while Japan and South Korea remain more traditional, though shifting in AI and cybersecurity.
He added: “Industries like tech, fintech, and advanced manufacturing are leading the shift, while regulated fields like finance and healthcare are lagging.”
“Across all regions, digital transformation and talent shortages are forcing companies to rethink hiring—skills now matter more than degrees.”
New-collar professionals often have faster career progression than traditional roles, as employers prioritise skills and results over tenure.
In addition, these roles provide international mobility—for example, a cloud engineer can work remotely or relocate to global tech hubs.
Many organisations now offer specialist career pathways where employees can advance based on expertise rather than degrees.
The demand for new-collar talent will continue to accelerate, particularly in AI, automation, cybersecurity, and green energy, Nilay believes.
“We are preparing for this shift by expanding our partnerships with industry bodies, refining our skills-first hiring methodologies, and guiding businesses through this transition.”
“New-collar roles will reshape the workforce permanently, and are not a response to short-term skills gaps.”
“This is a permanent shift. While the talent shortage has accelerated its adoption, the long-term trend is clear—automation, AI, and digital transformation are fundamentally changing job requirements.”
Companies that fail to embrace skills-first hiring will struggle to attract and retain talent in the future, he added.
Career switching into “new-collar” jobs, and career development in the next 5-10 years
For those looking to make career-switches to these new-collar jobs, what are the skillsets that “blue” and “white” collar workers will need to reskill and upskill for?
“They need to first identify which skills are transferable from your current role,” Nilay said.
“Then, invest in industry-recognised certifications—for example, AWS for cloud computing, Google Career Certificates for IT, or a cybersecurity qualification such as CISSP.”
“Practical experience is key, so consider freelance projects, bootcamps, or apprenticeships to build a strong portfolio.”
“Lastly, networking is also crucial—connect with industry professionals and leverage platforms like LinkedIn to showcase your expertise.”
In terms of trends in hiring and career development, take note of the below:
- AI & automation integration: Roles will increasingly require a hybrid skill set, blending human expertise with automation tools.
- Rise of micro-credentials: Employers will place greater value on certifications from Coursera, Udacity, and Google Career Certificates over traditional degrees.
- Continuous learning mindset: Career progression will rely on upskilling and adaptability rather than rigid career ladders.
- Flexible career pathways: Employees will move across industries more fluidly, based on skills applicability rather than linear job titles.
This article was done in collaboration with Michael Page.
