What are upskilling and reskilling?

Upskilling is training employees in new or deeper skills for the role they already have, usually because that role is changing. Reskilling is training employees in the skills needed for a different role. Both let an organization fill skill gaps with people it already employs instead of hiring from outside.

Reviewed by Clark Quinn, Chief Learning Strategist Updated October 28, 2026

Example

An insurance company is automating most of the manual data entry in its claims process. The L&D team runs two programs at once. Claims handlers who are staying in their roles are upskilled: they learn the new claims system and how to review the cases the automation flags as unusual. A group of data entry clerks whose tasks are going away are reskilled as junior customer service agents, through a twelve-week learning path covering product knowledge, phone skills and the support system, plus time shadowing experienced agents.

Both programs start from the same skills analysis, which compared the tasks each role does today with what it will do after the change. The company fills the new service roles with people who already know its products and customers, instead of hiring from outside.

How it works

Upskilling and reskilling programs follow the same basic steps, whether they cover one team or the whole organization.

Find the skill gaps

Compare the skills people have now with the skills the organization will need, based on business plans, technology changes and roles that are growing or shrinking. A training needs analysis, skills assessments and input from managers show where the gaps are and how wide they are.

Decide whether to upskill, reskill or hire

For each gap, the organization chooses whether to build the skill in current staff or hire it in. Upskilling fits when the role stays but its tasks change. Reskilling fits when a role is shrinking and its people can move into a role that is growing. Hiring fits when the skill is needed immediately or is too far from anyone’s current work.

Build learning paths

Programs usually combine several kinds of learning:

• Courses and microlearning for knowledge
• Practice on real tasks, projects or job rotations
• Mentoring or shadowing from people already in the target role
• Assessments or certifications that confirm the skill

Reskilling paths are longer than upskilling paths, because learners start further from the target role.

Measure the results

Track whether people gain the skill (assessment results, certifications), whether they use it (performance in the role, manager feedback) and what it changes for the business (internal moves, time to fill roles, retention of the people trained).

Upskilling vs reskilling

• Goal: upskilling improves performance in the current role. Reskilling prepares people for a different role.
• Starting point: upskilling builds on skills people already have. Reskilling teaches skills that are new to them.
• Scale: upskilling is often short and continuous, such as learning each new feature of a tool. Reskilling is a larger program that can take months.
• Example: a marketer learning to analyze campaign data is upskilling. A warehouse operator training to become a maintenance technician is reskilling.

The line between them is not always sharp. Learning a new system for the same job, such as in software training for a rollout, is upskilling. Moving to a job with different core tasks is reskilling.

Examples of upskilling and reskilling

Upskilling examples:

• A customer service team learning to use AI tools to draft and check replies
• Nurses training on a new electronic health record system
• Sales managers learning to coach from recorded calls
• Technicians getting certified on a new generation of equipment

Reskilling examples:

• Retail cashiers moving into online order fulfillment or customer support roles
• Administrative staff training as junior data analysts through a structured program
• Machine operators retraining as maintenance technicians when a line is automated

Why it matters for L&D teams

• It fills gaps from inside. Training current employees keeps people who already know the business, its customers and its systems.
• L&D joins workforce planning. Upskilling and reskilling start from business and HR plans, so L&D teams work with leaders on which skills the organization will need, not only on individual course requests.
• The volume of content grows. Programs that cover many roles at once need training that is fast to build and easy to update as needs shift.
• Career paths become visible. Clear reskilling paths show employees how they can move into growing roles, which supports retention.