Trends can be fleeting and temporary. What is hot on TikTok today will be old news in a few weeks. However, ignoring recruitment trends is a dangerous game to play, as they can often be more than just a fad. They can indicate lasting changes impacting how businesses attract and retain talent. Staying informed about these trends is crucial for recruitment and staffing firms, especially as technology rapidly evolves.
Here, we explore five key trends that are shaping the recruitment landscape.
1. The Growing Skills Gap and Talent Shortages
A significant challenge for recruiters today is the widening skills gap. By 2030, Korn Ferry predicts that over 85 million jobs could go unfilled due to a lack of qualified candidates, resulting in $8.5 trillion in unrealized annual revenues globally.
Key drivers include inadequate tech training, a shortage of soft skills, and the retirement of baby boomers. Sectors like technology, finance, manufacturing, and telecommunications are particularly affected.
Recruiters can bridge this gap by emphasizing soft skills when evaluating candidates. Even if candidates lack specific hard skills, they may thrive with the right training. Recruitment software that incorporates video interviews can help assess these soft skills effectively. With large databases, recruiters may also find candidates who, with some upskilling, could be ideal matches.
2. Meeting the Unique Needs of a Multi-Generational Workforce
Today’s workforce spans five generations, each bringing valuable perspectives and skills. Gen Z, in particular, stands out for its tech-savviness and unique social and economic awareness. Having grown up in a digital world, this generation is adept at self-upskilling.
At a recent webinar, Tracker CEO Andy Jones noted that Gen Z is driving innovation in recruitment. Their expectations for authenticity, flexible work, and personal growth are reshaping how recruiters engage with them. “They are decidedly self-sufficient in upskilling, everything being just a ‘Google’ away,” he said. “Some might label them as risk-averse, but others see them as forward-thinking and open-minded, more so than any previous generation.”
Recruiting Tips for Tapping into a Multi-Generational Workforce:
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- Use a mix of platforms and strategies to attract different generations. LinkedIn and Job boards might attract Gen X and Millennials, whereas Insta or TikTok will be the place to engage with Gen Z. Consider traditional outreach and emails for baby boomers.
- Consider the language used in job descriptions. To prevent the alienation of certain groups, avoid age-biased adjectives and damaging stereotypes. Steer away from labels such as ‘recent graduate’, ‘lively’, or ‘energetic’, which can be seen as ageist.
- Focus on skills and competency rather than years of experience.
- Offer flexibility. Baby boomers heading for retirement still have lots to offer but may wish to slowly wind down their working hours, while Gen X and Millennials want better work-life balance.
- Optimize engagement throughout the candidate journey.
3. Understanding the Importance of Gen Z
By 2025, Gen Z will make up 30% of the workforce. Their distinctive preferences include a focus on career development, flexibility, and values such as sustainability and authenticity. Traditional job boards may not appeal to Gen Z as much as social media, where recruiters can connect through platforms like LinkedIn, Instagram, and TikTok.
Kendra Cato, thought leader, business influencer, and founding member of Women of Color in Staffing, advocates finding innovative ways to connect with Gen Z. Leveraging social media, particularly LinkedIn, Instagram, and TikTok, is essential. She shared an anecdote: “An IT recruiter friend gained significant traction and engagement through a LinkedIn article comparing recruitment and the job search to a popular rom-com.” It was a quirky approach that worked.
According to Rob Green, CEO of Rectec, staffing firms should prioritize placing Gen Z in roles that align with their desire for growth. They want more than just a job—they want a workplace that supports their long-term career aspirations.
Best Practices for Recruiting Gen Z:
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- Offer career growth opportunities
- Provide flexibility in work arrangements
- Focus on skills-based hiring
- Prioritize diversity, equity, and inclusion
Content should be short, educational, and authentic to reach this demographic. Avoid corporate jargon and focus on creating value-driven interactions. Don’t rely on job boards; engage with Gen Z via social media.
4. The Gig Economy, Flexibility, and Work-Life Balance
The gig economy continues to grow as both businesses and workers seek flexibility. From a business perspective, gig workers provide expertise on demand without the need for lengthy recruitment processes or permanent commitments. Small businesses, in particular, benefit from the gig economy by accessing specialized skills on a short-term basis.
Rob Green shared his experience using gig workers to grow his business: “As a small business, we’ve found immense value in the gig economy. It’s opened up skills and resources that hadn’t existed in our business before. It’s allowed us to achieve a lot more through adopting remote workers for short periods. I don’t know if we would have gotten our business where we are today without access to those resources.”
Platforms like Fiverr and Upwork offer access to a vast pool of talent, although finding the right fit can sometimes be challenging. Not everyone excels at self-promotion, meaning some skilled professionals may struggle in this space.
Andy Jones, Tracker’s CEO, said, “You are at the peril of the site’s star rating systems,” which don’t guarantee the best fit for the job; they can be inaccurate and unreliable.
Freelance talent is also reliant on personal branding. Some highly skilled technical people might not be as good at marketing and selling themselves as, let’s say, for example, a professional copywriter. This means some people may suffer in the gig economy rather than thrive in it.
From a recruiter’s perspective, the gig economy poses considerable challenges. How can you connect with the people using freelance platforms to find work?
Recruiters must first identify the online communities where gig workers hang out. Then, an engaging content strategy is required to reach this diverse cohort of workers, which includes everyone from baby boomers to Gen Z.
TIP: Share content that shows you understand the desire for flexibility. Talking about remote and hybrid roles and promoting jobs offering flexibility in working hours might pique interest, especially to those who are freelancing because they are juggling childcare or prefer to work a 4-day week.
5. Balancing AI and Tech with the Personal Touch
No article on emerging trends is complete without mentioning the rapidly evolving influence of Artificial Intelligence. ChatGPT and a multitude of other generative software platforms are now accessible to everyone, so there is no turning back.
The increasing reliance on AI in recruitment has streamlined many aspects of the hiring process, such as candidate sourcing, matching, and communications. AI excels at quickly processing large amounts of data, optimizing job matching, and automating repetitive tasks.
However, as powerful as these technologies are, they must be integrated thoughtfully to avoid losing the human element, which remains central to building trust and engagement.
Kendra Cato believes that recruiters can creatively combine digital tools with personal outreach. For instance, using AI-driven surveys or prompts before an introductory call can be both engaging and memorable. This approach enhances the candidate experience by blending automation with tailored interactions.
Yet, the risk of over-automation looms large. Rob Green warns of the dangers of AI-generated mass emails and impersonal touchpoints, which often result in negative experiences. AI must be used to assist, not replace, human judgment. Personalizing interactions with candidates and clients through well-placed calls or thoughtful follow-ups ensures that AI complements rather than dominates the recruiter’s role.
By striking the right balance, recruitment firms can deliver efficiency without sacrificing the empathy and personal engagement that drive loyalty and success.
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Keeping up with the right trends is important. We get it. That’s why we constantly listen to your feedback and develop our software to ensure you capitalize on all that automation and AI have to offer without losing the processes that nurture the all-important human touch.
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