Australia has a lack of workers with skills equipped for the digital economy, a new report has warned.
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An interim review from the Productivity Commission has outlined the existing labour force does not have the relevant skills and training for emerging digital and technology sectors, with claims migration reform is needed to fill existing gaps.
The report, which also highlights a lack of investment into digital capabilities, comes one week out from the federal government's jobs and skills summit, which is set to tackle issues around ongoing labour and skill shortages across the economy.
A large focus of the summit will include looking at future industries and whether the domestic workforce has relevant training, or if these future roles will need to be filled by migrant workers.
Productivity commissioner Stephen King said it is up to government to ensure the economy would have an equipped labour supply to meet the future skills demand.
"Government can help by improving investment in digital infrastructure, particularly in rural and remote Australia, forming digital partnerships with the private sector, and ensuring we have a future ready workforce," Dr King said.
"We do well in Australia on basic aspects of technology and data use, like internet coverage, but are falling behind in more advanced areas such as business uptake of analytics and artificial intelligence."
The interim report indicates a lack of skills and talent would be a barrier for businesses and not being able to access specialised labour would inhibit the pick up of new digital technology.
Dr King also noted Australia has a problem of not investing in the full extent of future digital capabilities, such as artificial intelligence and robotics.
"Technologies such as artificial intelligence, robotic automation and big data analytics could revolutionise how businesses operate and help lift Australia's productivity growth by reducing costs, improving the quality of goods and services, and increasing product choice for consumers," he said.
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In a separate roundtable in Sydney, Treasurer Jim Chalmers flagged investment through the country's $3 trillion superannuation system would need to support the future transition.
He also noted the super sector would be vital in making sure the infrastructure pipeline, particularly for housing, could deal with future population surges from an increase in migration.
"In all our discussions in the lead up to the jobs and skills summit, it's become even clearer that our ability to get migration and mobility right relies on this," Dr Chalmers said.
"Clearer ways forward are emerging on a number of fronts before the summit, but we need more than our big investments in social housing and help to buy."
The federal government is holding a number of roundtables ahead of the summit as a deep dive into issues facing specific industries.
Trade Minister Don Farrell on Tuesday met with 30 trade industry representatives to discuss what future skills are needed to expand Australia's trade opportunities.
"Our expanding network of trade agreements will increase trade opportunities and grow the economic pie, leading to higher paying jobs in leading edge industries. We want to use the jobs and skills summit to plot the path to achieving this outcome," he said.
