The purpose of the paper is to examine relationship among digital skills and employment and in this way accentuate importance of policy interventions for improving digital literacy. Digital skills, particularly digital literacy, are an important factor for socioeconomic development of the society and employability of the labour force. Without adequate digital literacy, it is not possible to participate in the economy and the digital society, particularly having in mind the digital transformation that the world of work is experiencing in the content and the organisation. Beyond the work environment, it also affects the way people live and communicate. In the paper is elaborated importance and definition of digital literacy, explained the measurement of digital literacy and skills, as well as relation between digital literacy and employability. Using Eurostat data this paper demonstrates statistically significant correlation between digital skills and employment rates in EU. This implies why it is so important for governments and employers to seek, propose and implement new strategies to promote digital inclusion, literacy and the training not only for new ICT professionals but for the whole workforce.