10 Dec Hiring Trends to Watch at Year-End and Preparing for 2025
Year-end is a pivotal moment for recruiting teams. Companies reassess their workforce needs, set new budgets, and prepare to meet the demands of the coming year. Examining hiring trends not only provides insight into the current landscape but helps recruiters and HR leaders stay ahead of the curve. This year it is particularly important as we have a variety of extramural shifts occurring. Namely, we have a Presidential transition, jobs openings returning to pre-pandemic “normals”, and, of course, the seismic shift in workforce expectations around remote work, total compensation, and emerging corporate plans for AI adoption.
Here’s a closer look at the expected hiring trends in 2025.
Top Hiring Trends Closing Out 2024
Increasing Emphasis on of Skill-Based Hiring
Rather than focusing strictly on degrees or traditional career paths, many companies are prioritizing skills. By focusing on competencies over credentials, organizations are filling roles faster and opening up opportunities to a more diverse talent pool. In fact, it’s estimated that 1 in 3 companies have already removed the degree requirements for salaried positions. Some of these companies include Google, Walmart, Delta Airlines, and Bank of America, just to name a few. This approach has paved the way for more equitable hiring—gear up because this isn’t going away in 2025.
Focus on Internal Mobility
With economic uncertainty casting a shadow over the latter half of 2024, companies started investing heavily in internal mobility programs. Large companies like Amazon have been leveraging upskilling initiatives to fill high-demand roles internally. Not only is this cost-effective, but it also boosts employee satisfaction and retention.
Workforce Expectations
The hybrid work revolution is in full swing, and it has significantly altered recruitment strategies. According to Forbes, the end of 2024 shows that currently, 27% of employees work in a fully hybrid model, maintaining the same level as in 2023 when it was 26%. Meanwhile, 11% are now fully remote, marking a significant 57% increase from the previous 7%. However, remote work comes with challenges, particularly for companies recruiting globally. The hiring trend of offering flexible work environments also requires companies to address issues like tax compliance, managing culturally diverse teams, and ensuring smooth onboarding for remote hires.
Generative AI as a Recruiting Tool
AI gained extraordinary momentum this year. From creating job descriptions to improving candidate outreach through personalized messaging, tools like ChatGPT and tools baked into applicant tracking systems (ATS) have become staples in the hiring process.
However, while efficiency has increased, over-reliance has created pitfalls. Candidates in 2024 often complained about the lack of a “human touch” in recruiting, and trends suggest this sentiment will push companies to find smarter AI-human collaboration in hiring processes for 2025.
What Will Change in 2025? Prep Now for Next Year’s Shifts
Upskilling Becomes the Norm
Upskilling programs will no longer be a “nice-to-have.” Instead, they’ll be critical due to both rapid technological advancements and tightening budgets. Companies will shift toward hiring for “potential” rather than completed expertise, ensuring they can develop roles internally to meet long-term objectives. Think of it as investing in their growth.
Beyond the Checkboxes
While Diversity, Equity, and Inclusion initiatives came under fire in 2024, 2025 will see companies retreating from “in name only” or performative workforce diversification efforts. Beyond hitting metrics, businesses will prioritize sustainable and meaningful initiatives. Why? Because it is common knowledge that companies with more diverse leadership have higher financial returns.
Environmental Sustainability Becomes a Hiring Incentive
Sustainability will take center stage in employer branding by 2025. Younger talent, in particular, seeks positions with companies that have tangible environmental policies. Organizations will emphasize their efforts—whether investing in carbon-neutral goals or reducing workplace waste—when onboarding new hires.
Planning for AI
AI-savvy companies will move away from “one-size-fits-all” solutions by 2025. Tools will likely evolve to better integrate AI and HR expertise, offering suggestions and analysis rather than overtaking decision-making. For instance, AI tools may predict retention risks or suggest candidates but will leave the final say to recruiters. If AI adoption defined 2024 hiring trends, human-centric AI will define 2025.
Preparing for 2025 Now
Invest in Upskilling: Rather than recruiting for niche roles externally in 2025, build internal career paths through development programs. Partner with learning platforms to offer tailored training opportunities.
Build a Flexible Workforce: Bring on contingent workers, freelancers, or consultants if your long-term hiring strategy feels uncertain. Having a blended team gives you the ability to adjust quickly as priorities shift in 2025.
Assess Your AI Stack: Employees are nervous about what AI will mean for them. Prior to having a strategy, develop a message that provides your team with much-needed detail on your thinking. Action can follow from direction. Involving the team in your use and deployment of AI whether it be in hiring, talent management, workforce development or task automation is key to a successful culture of improvement.
Prioritize Transparency in Employer Branding: Highlight your CSR (corporate social responsibility) and DEI initiatives clearly in job listings, onboarding materials, and outreach campaigns. Employees—and candidates—want to see action, not just words.
Closing Thoughts
Year-end hiring trends don’t just affect staffing decisions for a few months—they lay the groundwork for long-term strategies. By recognizing the biggest shifts in 2024 and preparing thoughtfully for 2025, you’ll position your organization to attract top talent, bolster employee retention, and stay agile in a rapidly evolving labor market.
And as we close the chapter on 2024, it’s the perfect time to reflect, strategize, and step confidently into the opportunities that 2025 will bring. From everyone at TalentFront, thank you for trusting us as your partner in talent acquisition. Here’s to new beginnings, continued growth, and of course, a very Happy New Year!
