Talent Trends in 2025

Talent Trends in 2025

Posted on 04 February 2025

1. AI adoption is necessary, but it's not the silver bullet...

AI can boost productivity and enhance recruitment efficiencies, but it cannot replace humans in the recruitment process yet. Despite concerns about inaccuracies, 67% of survey respondents assessed by Korn Ferry view increased AI usage as a key talent acquisition trend for 2025. Yet, 40% of talent specialists worry that over-reliance on AI could lead to an impersonal process, risking the loss of top candidates, while another quarter are concerned about algorithmic bias. When used strategically, AI can enhance the hiring experience for candidates, recruiters, and hiring managers. In 2025, more employers will leverage AI to improve the candidate journey beyond automating hiring.

2. Strong focus on critical skills that will transform businesses ​

In 2024, skills-based hiring emerged as a significant trend, but many companies struggled to adopt it fully. They plan to prioritise skilled talent for critical roles, with nearly 24% of survey respondents citing the challenge of finding the right skills for 2025. Defining critical skills is essential, as these are the abilities that drive business transformation and growth. To implement skills-based hiring effectively, companies should focus first on roles leading to the most transformation and then identify the necessary skills for those positions.

3. Learning and Development needed to retain key employees

Learning and Development (L&D) must transition from a checkbox item to a core part of talent strategy by 2025 to attract and retain top talent. A recent survey shows that 67% of employees would stay with a company offering advancement opportunities, while limited career growth drives turnover. With 32% of companies prioritising upskilling and 30% focusing on career paths, traditional L&D methods are no longer sufficient. Employers should invest in innovative approaches like virtual reality, gamification, and microlearning to effectively develop their workforce and create a win-win scenario for both employees and the business.

4. Employee Value Proposition = Employee Experience

In the past, businesses could attract top talent with an enticing employee value proposition (EVP) that often fell short. Today, candidates are savvy and wary of companies that fail to deliver on their promises. With 45% of HR professionals noting that integrating cultural values is key to attracting talent in 2025, a strong culture has become essential. However, if it’s not reflected in the employee experience, it can lead to higher turnover rates. As automation and standardisation rise, unique human experiences will become more important.

5. Working from home and personalised employee benefits

There’s no one-size-fits-all approach to talent acquisition, but in 2025, offering flexibility is essential. This trend emphasises inclusion and flexibility, enabling employees to work in ways that suit them best. Companies that resist modern work methods may struggle to attract and retain talent. With 76% of survey respondents indicating their employers have gone hybrid, remote work has become a staple. Flexibility also includes adaptable schedules and personalised benefits, which 34% of respondents see as crucial for 2025. Flexibility is a top priority for employee retention, marking hybrid work as the new standard for inclusive hiring.

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