Workforce trends for 2025

As we step into 2025, businesses across all industries are navigating a rapidly changing talent landscape. Driven by technological advancements, global economic shifts, and evolving workforce expectations, this year promises to bring both challenges and exciting possibilities. Below are the workforce trends the team at March Recruitment believe are set to define the market this year and actionable insights for employers looking to secure the best candidates.

1. Skills-based hiring

The emphasis on skills over traditional qualifications continues to grow, with organisations prioritising candidates’ competencies over degrees and job titles. According to studies by Harvard Business Review, Boston Consulting Group, and TestGorilla, hiring based on skills rather than formal education can improve job performance, reduce turnover and increase diversity and inclusion.

Harvard Business Review, for example, found that organisations that use skills-based hiring have better employee performance and skills that align with job requirements. TestGorilla, found that 89% of employers who use skills-based hiring have improved employee retention and Boston Consulting Group found that companies that use skills-based hiring can reduce turnover by 40%.

Our tip: Employers should leverage technology to assess skills accurately, incorporate skills-focused criteria in job descriptions and offer upskilling opportunities to meet dynamic market needs.

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2. Borderless hiring and remote work

The post-pandemic shift towards remote work has paved the way for borderless hiring. Organisations are increasingly tapping into global talent pools to find the best candidates. While this approach provides access to specialised skills and diverse perspectives, it requires robust systems to navigate legal, tax, and cultural considerations.

Our tip: Businesses should focus on building strong remote work infrastructures and fostering inclusive
virtual environments to support a geographically dispersed workforce.

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3. The rise of the contingent workforce

As businesses seek agility in yet more uncertain times, the contingent workforce continues to expand. Freelancers, contractors, and temporary staff are playing a critical role in filling skills gaps and meeting project-specific demands.

Gartner predicts that the percentage of contingent workers in the global workforce will reach up to 40% this year. In fact, according to a LinkedIn study in 2023, 65% of global company owners surveyed had the expectation of increasing their use of contingent workers by 2025.

Our tip: Employers should adopt strategic approaches to contingent workforce management, including clear onboarding processes, robust compliance measures, and partnerships with service providers to optimise contingent talent utilisation.

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4. The focus on employee experience

Employee experience has become a key differentiator in attracting and retaining talent. Workers across generations now prioritise personalised benefits, wellbeing initiatives, and opportunities for professional growth.

According to research from Gallup engaged organisations see 59% less employee turnover. What’s more, when employees are engaged, they’re more likely to remain loyal to their organisation. This highlights the importance of fostering a work environment where employees feel connected, valued and motivated.

Our tip: To stay competitive in 2025 businesses should:

• Implement flexible work policies to accommodate diverse needs.
• Offer tailored development programmes for different career stages.
• Foster a culture of recognition and feedback.

Investing in employee experience not only improves retention but also enhances productivity and employer branding.

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5. The role of ESG in recruitment

Environmental, social, and governance (ESG) considerations are also no longer optional in workforce planning. Candidates increasingly favour employers with strong commitments to sustainability and social responsibility.

Our tip: To appeal to top talent, businesses should:

• Showcase ESG achievements in recruitment materials.
• Embed sustainability practices into day-to-day operations.
• Support diversity, equity, and inclusion (DEI) initiatives.

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By aligning corporate values with those of prospective employees, organisations can enhance their appeal to purpose-driven talent.

2025 presents both challenges and opportunities for businesses seeking to attract and retain top talent. The key to success lies in staying agile and proactive in the face of change. At March Recruitment, we are committed to helping you navigate these trends and secure the exceptional talent your organisation needs to thrive.

Get in touch with our team to learn how we can support your hiring goals in 2025 and beyond.