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100+ Recruitment Statistics Every HR Should Know in 2025

Uncover the latest recruitment statistics to optimize your hiring processes and retain top talent.

Anh Nguyen
No ads, just real software reviews. An independent writer and a bad BUT wholeheartedly enthusiastic dancer
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The recruitment landscape we’re been in is so much different now in the last two years, with tech, economic fluctuations, and shifting workforce priorities. But you don’t have to sacrifice hours each day just to stay current with the latest recruitment stats. This article provides key statistics, trends, and insights into the hiring world. It even gets refreshed quarterly, if not monthly, to ensure you have access to the most up-to-date data. Enjoy!

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Key Recruitment Statistics

  • In the past year, 42% of job seekers considered quitting their jobs, with 71% applying for one or two new positions.
  • It takes an average of 42 days to fill a position.
  • Nearly half (47%) of job seekers want to know salary details before applying.
  • More than half (53%) of candidates encounter misleading hiring practices. 34% feel ghosted after just one week.
  • Over two-fifths (43%) of U.S. job seekers report that a company changed the initially advertised salary after several interview rounds.
  • Only 41% of job seekers think a college degree is crucial in today's job market.
  • About 3 in 10 companies used 3 or more social media accounts to attract candidates.
  • 20% of the Fortune 500 used a recruitment chatbot for their hiring.
  • Talent shortage was the primary obstacle in the hiring process for 56% of employers.
  • In 2024, 60% of companies reported an increase in their time-to-hire.
  • 27% of talent acquisition leaders say their teams face unmanageable workloads, up from 20% last year.
  • 98% use social media for hiring and employer branding, with 65% having dedicated social channels for these purposes.
  • Clear requirements and job descriptions are a priority for nearly 3 in 4 employers.
  • Regardless of work style, over 70% of employers intend to expand their global workforce.
  • It takes 90 seconds for one-third of employers to form an opinion about a candidate.
  • Hiring diverse talent has become a more significant challenge for nearly half of employers. 72% now use structured interviews to reduce hiring bias.
  • Employers filling positions with salaries of $60,000 are saving from $7,800 to $22,500 by reducing mis-hires through skills-based hiring.
  • Almost 75% of employees believe the onboarding process greatly influences their decision to stay with a company long-term.
  • 7 in 10 organizations track turnover rates, with 57% citing incentive compensation and employee rewards as the main cause.
  • Nearly half believe AI can identify skill gaps and suggest talent development strategies and plans to improve retention.
  • Although 45% of organizations identified AI as a key factor in recruitment restructuring, 54% noted it as a contributing factor rather than a substitute for human roles.
general recruitment statistics

Candidate Experience Statistics

The data we've gathered from CareerPlug, Greenhouse, Criteria, and Phenom points to a clear shift in the job market: today's job seekers are more selective, informed, and empowered. Companies that prioritize transparency, efficiency, and respect in hiring are seeing better engagement, while those with outdated or impersonal practices are struggling to compete for top talent and will continue to fall behind.

A positive candidate experience increases offer acceptance rates.

A well-structured and respectful hiring process plays a vital role in whether candidates accept a job offer. According to CareerPlug’s 2025 Candidate Experience Report:

  • 66% of job applicants accepted a job offer because of a positive candidate experience.
  • 26% of job seekers rejected offers due to poor communication or unclear job expectations.
  • 36% declined offers after a negative interview experience.
  • 70% prefer in-person interviews (which reinforces that while technology can enhance efficiency, it should not replace human interaction in critical hiring stages.)

Beyond hiring, onboarding plays a crucial role in employee retention. CareerPlug found that 75% of employees believe a strong new employee onboarding process significantly influences their long-term commitment to a company.

Candidate experience recruiting stats

Salary transparency and hiring efficiency drive job seeker engagement.

Job seekers value pay transparency, with almost half (47%) preferring to see salary information before applying for an open position. The report from CareerPlug also found that:

  • 33% abandoned job applications that require one-way video interviews as they found these interviews impersonal and time-consuming.
  • 40% feel uneasy about AI in the hiring process.
  • 47% believe AI chatbots make recruitment seem impersonal.

Employees are confident about job prospects and are becoming more selective.

Despite economic uncertainty and layoffs, job seekers remain optimistic about their ability to secure better opportunities. According to Greenhouse’s 2024 Candidate Experience Report:

  • More than 7 in 10 (71%) job seekers have a positive outlook on the job market.
  • 42% plan to look for new jobs within the next six months.
  • Of those considering leaving, 71% applied for just one or two positions, demonstrating selectivity rather than desperation.
  • The top reasons for leaving a job include: pay dissatisfaction, a desire for better perks and benefits, and layoffs (33% of job changers left due to termination).

Candidates are rejecting jobs due to poor hiring experiences.

A negative hiring experience is enough to turn candidates away. Greenhouse found that:

  • 20% of job seekers rejected job offers due to negative interview experiences.
  • 79% of candidates would consider reapplying to a company if they received feedback after an interview, even if they were initially rejected.

Ghosting hurts employer brand.

Employer ghosting and deceptive hiring practices discourage job seekers and erode trust. According to Greenhouse:

  • 52% of U.S. job seekers reported being ghosted after an interview.
  • 42% of UK job seekers also experienced ghosting.
  • Candidates from Historically Underrepresented Groups are 67% more likely to experience ghosting than white candidates.
Recruiting challenge statistics

Misleading hiring practices, such as bait-and-switch salary offers and unclear job descriptions, also contribute to distrust in the hiring process.

The Greenhouse report also noted that:

  • 53% of job seekers reported experiencing “love bombing,” where excessive praise early in the hiring process led to an underwhelming final offer.
  • 43% of U.S. candidates said a company changed the advertised salary after several interview rounds.
  • 53% reported job scope changes, where actual job responsibilities were significantly different from what was initially advertised.
  • Gen Z job seekers are 17% more likely to experience misleading salary tactics than older candidates.

Interview bias and inappropriate questions are still a concern.

Bias and unprofessional interview practices continue to affect hiring outcomes. According to Criteria’s 2024 Candidate Experience Report:

  • Over 25% of candidates reported experiencing bias during interviews.
  • 64% of job seekers said the biggest mistake an interviewer can make is asking inappropriate or personal questions.

Read More: 10 Tips for Conducting Interviews to Hire Superstar Staff

Career advancement opportunities matter more than degrees.

More candidates are prioritizing professional development over traditional education requirements. The Criteria study discovered:

  • One-third of job seekers rank career advancement as the most important factor when considering a new position.
  • Only 41% of job seekers consider a college degree “very important”—a strong indicator of the shift toward skills-based hiring.
Candidate experience insights and data

Fortune 500 companies are improving their career sites to make job searching faster, clearer, and more user-friendly.

Top employers are enhancing their job search platforms to attract talent. The 2024 State of Candidate Experience ebook, published by Phenom, found:

  • 49% of Fortune 500 companies display job search options “above the fold” so candidates can immediately begin searching.
  • 100% have mobile-optimized career sites with load times of 5 seconds or less, ensuring accessibility across devices.
  • 98% provide clear error messages to guide applicants through the process and minimize frustration.
  • 96% offer single sign-on (SSO) to make it easier for returning users to apply without re-entering credentials.
  • 44% include a social application option, allowing candidates to pull in details from their social profiles for a quicker application process.

Employer branding and social media are shaping hiring success.

Companies that leverage digital engagement and employer branding see better hiring outcomes. The Phenom report stated that:

  • 89% of Fortune 500 companies use 6 or more job aggregator platforms, including popular sites like LinkedIn, Indeed, or Monster.
  • Around 3 in 10 (29%) used three or more social media accounts to attract candidates.
  • Additionally, 61% of their websites featured links to more than 3 social media platforms.
  • 37% publish high-quality content that provides real value, including videos, blogs, employee testimonials, and company reviews, to their visitors.

Read More: Social Media Screening: Ethics, Controversies, and Best Practices

To make the job application process more efficient and engaging, many Fortune 500 companies have introduced user-centric features.

More specifically:

  • 15% offered a type-ahead search feature that auto-displays relevant results as users begin typing.
  • 24% used auto location detection to recommend nearby jobs.
  • 28% offer a job cart or favorites function, allowing candidates to save jobs without needing to log in.
  • 99% feature well-structured job descriptions with clear job responsibilities and qualifications.
  • 82% had videos with employee testimonials that showcase insight into their organizational culture and work-life.
  • 12% personalize job recommendations based on a candidate’s browsing history and profile.
Statistics on attracting potential candidates in recruitment

A clear employee value proposition (EVP) enhances talent attraction.

Job seekers want to know what a company stands for before applying. Per Phenom’s survey:

  • 37% of Fortune 500 companies presented a clear EVP explaining the company identity, why it’s a great workplace, and additional information on career development opportunities, DEI policies, and benefits.
  • 37% provide content in multiple languages, making their hiring efforts more inclusive and globally accessible.

That said, many still struggle with branding consistency and applicant feedback.

Despite investments in employer branding, some areas still need improvement:

  • Only 12% of Fortune 500 companies maintain consistent branding throughout the entire job application process.
  • Just 24% send candidates a satisfaction survey about their application experience.
  • 97% do not have curated social media content on their career sites.
Statistics on candidate engagement

Recruiting chatbots are becoming more common, but their role is still evolving.

Fortune 500 companies are using conversational AI to improve their recruitment process, with a fifth of them using chatbots with a variety of features, as reported by Phenom.

  • 17% provide job suggestions based on candidate inputs.
  • 15% answer frequently asked questions to reduce recruiter workload.
  • 10% assess candidates with job-qualifying questions, potentially speeding up the screening process.
  • 9% personalize the candidate experience by greeting returning users by name.

Read More: Better Applicants with Recruiting Chatbots

Hiring Challenge Statistics

Based on recent reports from Breezy HR and GoodTime, talent shortages, retention issues, and rising competition for skilled candidates are the most pressing challenges impacting hiring today. Additionally, longer hiring timelines, administrative inefficiencies, and remote work complexities are adding pressure to recruitment teams.

Talent shortages remain the top hiring challenge.

Finding qualified candidates is the most significant obstacle for employers. According to Breezy HR’s 2024 Hiring Challenges Report, 56% of employers cited "not enough qualified candidates" as their biggest recruitment challenge.

Retaining employees is becoming just as difficult as hiring them.

Once companies find skilled professionals, keeping them long-term is the next major challenge. 32% of surveyed employers listed retention as their primary hiring issue.

So, where are all the good candidates going? The data from Breezy HR shows that job search activity has increased globally, with more professionals looking for new opportunities in the U.S. (+21%) and UK (+27%), indicating that they are going to other companies.

Increasing time-to-hire is becoming a significant concern.

According to GoodTime’s 2025 Hiring Insights Report:

  • 60% of companies reported an increase in their time-to-hire in 2024, up from 44% in 2023.
  • Only 6% of employers were able to reduce their time-to-hire, indicating a widespread challenge across industries.
  • No industry successfully improved its hiring speed this year, unfortunately.
Recruitment metric time to hire statistics

Recruiting teams are overloaded with repetitive tasks.

The GoodTime survey data revealed that administrative inefficiencies continue to burden recruiting teams, even with the increased use of AI and recruitment process automation.

  • 35% of recruiters’ time is spent on interview scheduling, which remains one of the biggest time-consuming tasks.
  • 27% of talent acquisition leaders report that their teams face unmanageable workloads, up from 20% last year.
  • 45% of TA leaders say that more touchpoints are required in the hiring process than in previous years, adding to the complexity.
  • 51% anticipate that recruitment team turnover will be an even greater challenge in 2025, worsening hiring slowdowns.

Remote and hybrid work arrangements still pose a challenge for TA leaders.

As companies navigate remote and hybrid work, many are struggling to adapt their hiring strategies. Per GoodTime:

  • 27% of TA leaders cited difficulties in adapting interview processes for remote and hybrid work.
  • 26% reported broader challenges with hybrid work models, including managing distributed teams and balancing flexibility with productivity.
  • 25% said meeting candidate expectations for fully remote roles is a major hiring obstacle.

Read More: Advice to Engage Remote Employees from a Remote Worker

Social Recruiting and Employer Branding Stats

The talent competition is fierce, and hiring leaders are realizing the power of social media and employer branding to attract top talent. As indicated in Content Stadium’s recent report, most companies already have or plan to implement an employer branding strategy, with a growing emphasis on authenticity, employee advocacy, and high-quality content to engage job seekers.

Employer branding and EVP strategies are now a priority for most companies.

Organizations recognize the importance of employer branding in attracting talent:

  • 72% of companies have an employer branding strategy, while 19% plan to implement one.
  • 48% already have an EVP (employee value proposition) strategy, and 36% intend to start one.

Authenticity is the foundation of strong employer branding on social media.

Research by Content Stadium shows that using photos of actual employees in social media posts is a great way to boost engagement. Most people surveyed (61%) said they're more likely to engage with posts that include employee photos, while only 8% disagreed, the research found.

Read More: 29+ Employee Engagement Ideas That Work Wonders

Employer branding statistics

Social media is now a dominant force in recruitment and employer branding.

Nearly every company is leveraging social media for their recruitment efforts:

  • 98% use social media for hiring and employer branding.
  • 65% have dedicated social media channels specifically for recruiting purposes.
  • 64% of employer branding teams say their primary goal is to increase job applications through social media.
  • Specialists often share information about job openings, events, and company news but find that posts about job vacancies, company culture, and employees receive the highest engagement.

LinkedIn and Facebook dominate social recruiting, but Instagram is gaining traction.

Social media platform preferences for recruitment are evolving:

  • LinkedIn (78%) and Facebook (65%) remain the top platforms for social recruiting.
  • Instagram (58%) is growing in popularity as companies look to reach younger job seekers.
  • Videos are now the most popular post format, while posts about “life at the company” (such as workplace tours and celebrations) have decreased in frequency.

Recruitment teams struggle with content creation despite increased reliance on social media.

While many teams produce their own content, they face limitations in time and design expertise:

  • 58% of recruitment teams create their content internally.
  • 48% still rely on their marketing teams for at least some content creation.
  • 95% use tools or software for content creation, with more teams adopting specialized template platforms to streamline the process.
  • 85% of recruiters experience challenges in content creation, citing lack of time and design skills as major obstacles.

Employee engagement amplifies recruitment content reach and credibility.

Data shows when team members are engaged and share recruitment content, it gives the employer’s hiring efforts a major boost.

  • 90% of companies encourage employees to share recruitment content on social media.
  • 43% believe employee-shared content has a more significant impact than company-shared content.
  • 34% have implemented formal employee ambassador programs to boost visibility and credibility further.

Companies are integrating online and offline employer branding efforts.

Organizations are expanding their employer branding strategies beyond social media by investing in in-person and internal recruiting initiatives:

  • 64% participate in recruitment events, helping them connect with candidates directly.
  • 51% maintain dedicated career websites as a central hub for job opportunities.
  • 50% host internal employee events to strengthen workplace culture and retention.

Social recruiting’s primary goal is to increase job applications.

For most companies, the primary objective of social media recruitment is to attract more applicants.

  • 64% of recruitment teams say their main objective is to drive more job applications.
  • Expanding social media reach and increasing website traffic are also key priorities for nearly half of these recruitment teams.
Social media recruiting stats

Remote Recruiting Statistics

International hiring has become a key strategy for accessing elite talent, reducing costs, and expanding the workforce diversity of many organizations. According to Remote’s 2024 Global Workforce Report, organizations are embracing global recruitment at an increasing rate, with many filling senior and executive roles internationally.

International hiring is a powerful solution for accessing skilled talent.

Companies are turning to global recruitment to address talent shortages and expand their hiring reach:

  • 71% of teams have engaged in international recruitment efforts.
  • 87% of employers successfully filled at least 4 out of 10 roles with candidates from outside their local areas.

International hiring is particularly strong in industries that rely on highly skilled professionals:

  • 89% of employers in the technology sector are expanding their global workforce.
  • 87% in HR, 82% in IT and telecoms, and 81% in finance are also prioritizing global talent acquisition.

Companies are prioritizing senior and executive roles for international hiring.

Data shows that organizations are not just hiring entry-level workers globally; they are expanding their leadership teams with international talent:

  • 85% of companies hired senior-level employees internationally in the past year.
  • 84% expanded their executive teams through global hiring.
  • 80% recruited mid-level professionals, while 75% hired entry-level employees for remote roles.

Flexibility is driving the growth of globally distributed teams.

The increasing demand for flexible work options is a major factor in the growth of globally distributed teams.

  • 65% of organizations reported an increase in flexible work requests.
  • 31% were able to reduce overhead costs by hiring remote employees.

Global hiring is expanding across all work models (remote, hybrid, and in-office.)

Despite differences in workplace policies, most employers are actively growing their global workforce:

  • 73% are increasing international hiring with a remote work model.
  • 75% are hiring globally while implementing a hybrid work policy.
  • 70% continue global hiring efforts even with an in-office work structure.

Compliance and remote team management are top global hiring challenges.

While international recruitment offers many benefits, it's clear that there are challenges:

Read More: 6 Ways to Manage Virtual Teams

AI-generated resumes are increasing the risk of hiring underqualified candidates.

AI tools are making it easier for candidates to enhance their resumes, but this is also leading to concerns about skill gaps and misrepresentation:

  • 65% of employers believe AI-generated resumes are contributing to an increase in underqualified candidates.
  • Among them, three-fourths (74%) consider this a big issue impacting their recruitment decisions.
Remote recruitment statistics

Diversity Hiring Statistics

Diversity, equity, and inclusion (DEI) recruitment initiatives have faced setbacks and advancements over the past year. According to reports from GoodTime, Breezy HR, and Hays, DEI hiring efforts have become more complex, yet companies that commit to inclusive hiring stand to attract top candidates and long-term organizational success.

DEI is losing priority despite its proven benefits.

According to GoodTime, for the third consecutive year, the percentage of companies treating DEI as a measurable priority has declined:

  • Only 22% of employer respondents in 2024 said they actively considered DEI in their hiring strategy, a continued drop from previous years.
  • Despite this decline, 78% of employees still say DEI matters to them.
  • Companies that neglect DEI risk losing top talent, as research consistently links diverse workplaces to greater innovation and stronger business performance.

Read More: 109+ Must-Know Diversity in the Workplace Statistics in 2025

Diversity hiring statistics

Retaining diverse employees is now a bigger challenge than sourcing them.

The emphasis on retaining employees from underrepresented backgrounds has increased dramatically:

  • 47% of employers now consider retention of diverse employees a key priority, up from 21% in 2023.
  • Companies are focusing on inclusive onboarding (55%) and mentorship programs (54%) to improve retention.
  • Despite these efforts, 13% of employers are unsure which diversity and inclusive initiatives they have in place to support diverse talent, signaling a need for clearer strategies.

Attracting diverse talent remains the biggest DEI hiring challenge.

For the third consecutive year, employers report that sourcing diverse candidates is their top DEI obstacle:

  • More than 50% of employers say attracting diverse talent is their primary challenge, up from just over 40% last year.
  • 46% of employers struggle with selecting diverse candidates, a sharp increase from 18% the previous year.

To tackle these challenges, companies are expanding their hiring efforts:

  • 55% now showcase employee diversity in their branding to appeal to a wider talent pool.
  • More companies are disclosing diversity data and improving employee benefits to attract quality candidates.
  • The number of employers using returnships or return-to-work programs to source diverse talent has nearly tripled, from 11% to 30% year over year.
Diversity recruitment stats

Bias in hiring still impacts diverse candidates.

Job seekers continue to report discrimination based on age, ethnicity, gender, and other identifying characteristics:

  • 57% of professionals feel their likelihood of being hired has been reduced due to an identifying characteristic.
  • Age discrimination is the most commonly perceived bias, with 70% of workers over 40 feeling they’ve faced age discrimination, compared to 47% of younger workers.
  • Ethnicity (35%) and gender (32%) are also frequently cited as factors that negatively impact hiring decisions.

Anonymized recruitment is gaining support among diverse job seekers.

Anonymized hiring practices—where candidate names and identifying details are removed from resumes—are becoming more widely accepted:

  • 57% of job seekers say anonymized recruitment increases their confidence in a fair hiring process.
  • Support for anonymized hiring is even higher among underrepresented groups: 66% of Black job seekers, 64% of Asian job seekers, 63% of individuals from mixed/multiple ethnic backgrounds, 64% of LGBTQ+ candidates, and 62% of neurodivergent candidates.

Employers are adopting structured hiring processes to minimize recruitment bias.

Companies are becoming more structured in their recruitment practices and candidate selection to promote fairness and consistency in hiring.

  • 72% of companies now use structured interviews to ensure a standardized approach to candidate evaluation.
  • 48% are using data-driven assessments, a sharp increase from 30% in 2023.
  • Candidate experience surveys have risen in popularity, from 25% last year to 40% in 2024.
  • The use of interview coaching programs has nearly doubled, from 23% to 45% in one year.
  • Blind hiring initiatives—where identifying details are removed from resumes—have more than doubled year over year.

Inclusive onboarding and mentorship programs are key to retaining diverse talent.

Employers are recognizing that an inclusive work environment starts with a strong onboarding program:

  • 55% of companies use onboarding as a key tool for improving retention among diverse employees.
  • Mentorship programs have grown significantly, with 54% of companies now offering them, up from 46% last year.
  • Employee resource groups (ERGs) have seen rapid adoption, rising from 30% in 2023 to 54% in 2024.
  • However, 13% of employers still do not have a clear strategy for retaining employees from historically underrepresented groups.
Stats on how companies reduce recruitment bias

Salary and Compensation Trends

Data from Breezy HR and BambooHR shows that with limited salary increases, employee dissatisfaction with compensation structures is rising. While salary remains the primary driver of job satisfaction, employees also highly value non-monetary incentives when assessing job opportunities.

Stagnant salary growth is a major retention challenge.

Limited salary increases have become a significant barrier to retaining employees:

  • 41% of employees cite a lack of salary growth as their top retention concern.
  • Two out of five salaried employees have not received a raise in the past year.
  • Among the 60% who did receive a raise, the average increase was only 3.6%—a steady decline from 4.6% in 2023 and 6.2% in 2022—marking a 42% drop in salary growth over two years.

Growing dissatisfaction with pay structures is impacting employee morale.

Employee sentiment around compensation is worsening, contributing to job dissatisfaction:

  • 33% of employees feel negatively about their current incentive compensation, up from 23% last year.
  • Only 50% of employees were at least somewhat satisfied with their most recent raise, compared to 64% last year—a significant drop.
  • 55% of employees believe their CEO is overpaid, yet 27% admit they don’t know the CEO’s actual salary.
  • Compensation directly affects employees' sense of value, with 42% of VP/C-suite employees feeling extremely valued, compared to only 12% of individual contributors.

Compensation satisfaction varies significantly by job level.

Higher-ranking employees generally feel more financially secure, while individual contributors report greater financial stress:

  • 56% of VP/C-suite employees are satisfied with their recent salary increases, compared to 41% of team leads, managers, and directors and only 35% of individual contributors.
  • 57% of VP/C-suite employees feel their salary supports their lifestyle, while only 39% of individual contributors and 43% of team leads/managers/directors.

Additionally, 25% of individual contributors not actively job hunting cite exhaustion as their reason for staying, compared to only 11% of VP/C-suites, suggesting that financial constraints may be trapping lower-level employees in unsatisfying jobs.

Salary remains the leading reason employees leave their jobs.

Employees are increasingly willing to switch jobs for better pay:

  • 77% of employees would leave their job for a higher salary, up from 73% in 2023.
  • Among those willing to switch, a 12.5% pay increase is enough to motivate a job change.
  • However, 23% of active job seekers would accept a 5.4% salary cut for a role that better meets their needs or offers other benefits.

Salary dissatisfaction is also a key factor behind quiet quitting, with 51% of employees actively seeking or considering new job opportunities while remaining disengaged in their current roles.

Higher compensation is a top motivator for job seekers.

Salary remains the most critical factor for over half of job seekers:

  • 54% of job seekers in the past six months are considering leaving their jobs for better pay.
  • 36% left their previous jobs due to low wages.
  • 35% cited mental health concerns as their reason for quitting, indicating that pay dissatisfaction is often tied to overall well-being.

Additionally, 78% of employees actively monitor salary trends and job postings to stay informed about market rates, often to negotiate raises or plan career moves.

Pay disparities contribute to resentment and disengagement.

Salary discrepancies can create workplace tension and lower morale:

  • 40% of employees feel resentment toward colleagues who were hired at the same time but earn more.
  • 31% feel frustrated by pay gaps caused by better market conditions at the time of hiring.

Non-salary compensation is increasingly important to employees.

While salary is crucial, many employees would trade higher pay for better benefits:

  • 85% of employees want additional perks and benefits beyond what their employer currently offers.
  • While 37% prioritize salary above all else, a majority (63%) would accept a pay cut for specific perks, including 28% who would trade a salary increase for a 4-day workweek and 26% who would accept lower pay in exchange for more paid time off.

Read More: The Best Employee Benefits for Attracting and Retaining Talent

Employee salary and compensation stats and trends

Employee Retention and Turnover Stats

While turnover rates are starting to stabilize, the negative effects of employee departures on workplace morale and company performance are still significant, as reported by Breezy HR and Eloomi. Companies are tackling these issues by implementing recruitment strategies such as raising compensation, providing flexible work arrangements, and enhancing onboarding and learning opportunities to improve employee retention.

Retention remains a key focus, but salary limitations and competition are major barriers.

Many companies are finding it tough to keep their employees due to salary issues and competition from other employers.

  • 41% cite limited salary increases as the top retention challenge.
  • 35% point to competition for talent as a major obstacle.
  • A lack of advancement opportunities (31%) also leads to people leaving.

To address these challenges, companies are focusing on flexibility and engagement:

  • Flexible work arrangements (47%) are becoming increasingly popular for retaining employees.
  • Team-building activities (42%) and employee engagement surveys (36%) are also being used to improve workplace culture and satisfaction.

Early turnover is a growing concern, with over half of employees leaving within their first year.

Retention issues often arise early in an employee’s tenure, highlighting problems with onboarding, expectations, and engagement:

  • 52% of new hires leave within their first year.
  • Certain industries, such as high-tech, experience even higher turnover rates (3.1%).
  • Only 25% of organizations rate their retention strategies as “advanced” or “top-notch.”
  • Two-fifths (40%) consider their retention approach to be at the “intermediate” level.
  • One-third of organizations acknowledge that their retention efforts are still in the early stages.

Read More: Employee Retention Statistics Companies Need to Pay Attention in 2025

Employee retention statistics

Employee engagement and satisfaction are critical for retention.

Organizations recognize that keeping employees engaged is essential to reducing turnover:

  • 70% of employers say boosting employee engagement and satisfaction is a top retention goal.
  • Other major retention priorities include enhancing performance and productivity (56%), reducing voluntary turnover rates (50%), retaining organizational knowledge (48%), and addressing burnout and work overload (48%).

Despite these efforts, only 25% of organizations now consider DEIB (Diversity, Equity, Inclusion, and Belonging) a significant retention objective, marking a decline from previous years.

Read More: Employee Engagement Strategies to Inspire Your Workforce

Companies are tracking turnover metrics, but leaders monitor them more extensively.

Organizations increasingly measure turnover rates and reasons for employee departures:

  • 69% track overall turnover rates.
  • 66% monitor reasons for employee departures.
  • 52% analyze voluntary turnover trends.

However, companies with stronger retention strategies are significantly more data-driven:

  • Nearly 90% of retention leaders track overall turnover rates, compared to two-thirds of other organizations.
  • 70% of retention leaders monitor involuntary turnover, while less than half of other companies do.

Exit interviews remain the top tool for understanding turnover.

Companies rely on multiple strategies to gain insights into employee departures:

  • 80%+ of organizations conduct exit interviews.
  • 42% gather feedback from direct supervisors.
  • 70% of leaders use employee surveys to understand turnover.
  • 60% of companies collect data from managers and supervisors.

In addition to traditional exit interviews, organizations are adopting stay interviews, anonymous feedback platforms, and listening sessions to improve retention efforts.

Employee turnover rates are stabilizing, but its impact remains severe.

Voluntary turnover has decreased compared to last year, but it still presents major challenges:

  • More than a quarter of organizations reported a voluntary turnover rate of 20% or higher in the past year.
  • 40% of companies now report a voluntary turnover rate of 9% or less, a positive shift from 2023.
Employee turnover statistics

Despite this improvement, the effects of turnover on organizations are significant:

  • 75% of employers say turnover increases workloads for remaining staff.
  • 56% report reduced employee morale due to high turnover.
  • 53% see declines in productivity and performance.
  • 46% struggle with the loss of essential skills and business knowledge.

Compensation and management issues are the biggest drivers of turnover.

The leading reasons for employee departures in 2024 include:

  • 57% cite compensation and total rewards issues as their reason for leaving.
  • Management-related issues ranked second, with over 50% of employees citing problems such as toxic leadership, inconsistent policies, or lack of support.
  • 45% left due to job-related factors, such as work tasks or schedules.
  • 43% quit due to limited career development opportunities.
Drivers to employee turnover statistics

Flexible work arrangements and career growth opportunities improve retention.

Organizations that prioritize flexibility and career growth opportunities are more likely to retain their employees.

  • 59% say flexible work arrangements are a major reason they stay.
  • 52% cite competitive pay as a key retention factor.
  • 50% value an excellent benefits package.
  • 60% of employees leave due to unclear career paths.

Strong onboarding and training programs boost retention.

Organizations are making onboarding and learning opportunities a priority:

  • More than 50% of companies are enhancing onboarding to improve retention.
  • 44% are expanding training and development programs to help employees build skills and grow within the company.

Read More: Talent Development Strategies to Boost Employee Experience and Retention

Transparent communication and well-being initiatives improve retention.

Organizations that focus on culture and communication report stronger retention:

  • 46% promote open and transparent communication.
  • 41% encourage a healthy work-life balance.
  • 40% prioritize mental health and employee well-being.

Read More: 10 Wellness Challenges Your Employees Will Love

The Future of Recruitment: Trends and Initiatives for 2025

According to data provided by Breezy HR, TestGorilla, and GoodTime, recruitment in 2025 will be shaped by talent competition, AI-driven efficiency, and skills-based hiring. As companies face increasing pressure to attract and retain top talent, they are turning to technology, structured hiring methods, and a stronger emphasis on transparency and candidate experience.

Recruitment team turnover and talent competition are top concerns.

Recruiting teams are facing disruptive challenges that will impact hiring in 2025:

  • 51% of organizations predict recruitment team turnover will be their biggest challenge.
  • 42% say increased talent competition will make hiring more difficult.
  • 41% emphasize the need to connect with candidates more quickly and expand their talent pipelines to keep up with hiring demands.

Building stronger candidate relationships is key to successful talent acquisition.

Recruiting success in 2025 will rely heavily on developing meaningful connections with candidates:

  • 40% of talent acquisition leaders say building stronger relationships with candidates is a top priority.
  • 39% emphasize improving communication throughout the hiring process to reduce drop-off rates.

The rise of fractional teams: Contract and part-time hiring is growing.

Organizations are shifting toward more flexible employment structures:

  • 83% of employees surveyed are full-time salaried workers, but the use of contractors and part-time workers is increasing (21% in 2024, up from 18%).
  • Employers are embracing fractional hiring models to scale their teams more efficiently while adapting to economic and industry shifts.

Economic and cultural trends are influencing hiring strategies.

Employers are closely watching market and workplace trends to guide hiring decisions:

  • 58% of hiring teams cite the economic climate as their top concern for 2025.
  • 43% are monitoring the increasing demand for remote work.
  • 40% are focused on improving work-life balance as a retention tool.
Market trends that affect recruitment

Skills-based hiring is becoming the dominant recruitment method.

Employers are prioritizing hard and soft skills over traditional credentials to reduce hiring bias and improve long-term success:

  • 94% of employers believe skills-based hiring better predicts job performance than resumes.
  • 81% of companies now use skills-based hiring, compared to 73% in 2023 and 56% in 2022.
  • 95% of employers view skills-based hiring as the future of recruitment.

This shift is also delivering significant cost and time savings:

  • U.S. employers filling $60,000 salary roles save between $7,800 and $22,500 by reducing mis-hires through skills-based hiring.
  • Using this approach, companies save between 412 and 792 hours per senior management hire and 339 to 660 hours per non-senior hire.

Candidates also strongly favor skills-based hiring:

  • 68% of employees prefer a skills-based hiring process, a 21% increase from last year.
  • Over 80% of employees in the U.S. and Latin America say they prefer skills-based hiring over traditional resume-based evaluations.

The return to in-office work is accelerating.

While hybrid work remains dominant, fully in-office setups are making a comeback:

  • 37% of organizations now require full in-office work, up from 15% in 2023.
  • 55% of companies still operate in a hybrid model.
  • Only 1% maintain a fully remote workforce.

This trend highlights a shift in workplace flexibility, with many employers re-evaluating their remote work policies.

Transparency, flexibility, and pay competitiveness drive candidate attraction.

Research shows that companies who prioritize clear communication and attractive benefits are more successful in attracting candidates:

  • 73% of companies believe that well-defined job descriptions and clear expectations are key to attracting potential hires.
  • Flexible work arrangements (e.g., remote work opportunities), are a major draw for 55% of job seekers.
  • Offering competitive or above-average salaries is a top priority for 51% of companies looking to attract and retain talent.

AI and automation are transforming recruitment efficiency.

Nearly all companies (93%) are expected to invest in recruitment technology in 2025. Additionally:

  • 40% are focused on improving staffing efficiency in the next year.
  • 34% plan to integrate AI into their hiring processes.
  • 38% are prioritizing recruitment tech upgrades.

AI-driven automation is already streamlining key recruitment tasks:

  • 42% of companies use AI for interview scheduling.
  • 42% automate resume screening.
  • 46% use AI-powered reporting to track hiring success.
Stats on key recruiting priorities

The recruiter role is evolving toward strategy and candidate experience.

Recruiting coordinators are expected to take on more high-value responsibilities in the coming years:

  • 66% of hiring leaders predict recruiters will focus more on enhancing candidate engagement.
  • 60% foresee recruiters taking on strategic roles, such as data analysis and hiring process optimization.

AI is becoming a collaborative partner in recruitment, not a replacement.

Companies are integrating AI as a tool to support recruiters, rather than replace them:

  • 54% of organizations say AI is a key factor in restructuring hiring processes.
  • 45% believe AI is reshaping recruitment roles but enhancing rather than eliminating them.

Additionally, text-based recruiting tools and chatbots are gaining traction:

  • 52% of talent acquisition teams use centralized texting platforms for candidate communication.
  • Recruiting chatbots are being used to reduce candidate drop-off rates by ensuring faster responses and engagement.

Read More: Recruiting Chatbot ROI

Best Software for Recruiting and Retaining Talent

The statistics we’ve reviewed together make it clear that the 2025 hiring landscape is defined by efficiency, transparency, and candidate experience. Organizations that fail to modernize their hiring processes will struggle with longer time-to-fill and higher turnover rates, while those leveraging the right tools can streamline hiring, improve candidate experiences, and boost retention rates.

Here’s how leading organizations are addressing hiring challenges through technology, and so should you:

Recruitment marketing platforms for employer branding and candidate attraction.

With 73% of employers emphasizing transparency in job descriptions, recruitment marketing platforms:

  • Create compelling employer branding content, improving candidate attraction.
  • Leverage social media and job boards, aligning with the 61% of companies now using social recruiting.

Candidate sourcing tools for passive candidate recruiting and high-volume hiring.

With 73% of employers increasing international hiring efforts, talent sourcing tools help:

  • Access global talent pools quickly and streamline remote hiring workflows.
  • Reduce time-to-fill, a key priority for companies hiring in highly competitive industries.

Applicant tracking systems (ATS) for standardized selection and onboarding.

As bias in hiring increases by 48%, companies are using ATS platforms for:

  • Blind resume reviews to promote fairer hiring practices.
  • Automated onboarding workflows to improve early retention, as 52% of employees leave within their first year.

Employer of record (EOR) services for simplified remote workforce management.

With 73% of companies hiring internationally and 43% struggling with labor law compliance, EOR services:

  • Handle legal and payroll complexities, ensuring compliance in multiple markets.
  • Enable global talent acquisition while reducing administrative overhead.

Virtual career fair software for campus recruitment and remote hiring.

With high turnover in early-career roles, virtual career fair platforms:

  • Improve early engagement with students and recent graduates.
  • Widen the pool of potential candidates globally.

AI and automation for better recruitment efficiency and candidate engagement.

With recruiting teams experiencing high turnover (51%) and struggling with candidate pipeline management (41%), automation is key to reducing manual workloads and improving hiring speed.

  • AI-powered recruiting software is helping hiring managers focus on actionable, strategic hiring rather than repetitive tasks like interview scheduling and resume screening.
  • 52% of hiring teams now use recruiting chatbots and texting platforms to cut screening time and reduce cost-per-hire without sacrificing the candidate experience.
  • AI-powered recruitment automation tools improve hiring accuracy and long-term retention by using data-driven insights to predict candidate success.

Recruiting CRM software for talent pipeline and long-term hiring success.

With 40% of hiring teams prioritizing stronger candidate relationships, a recruiting CRM is essential for:

  • Re-engaging past applicants and passive candidates to shorten time-to-hire.
  • Tracking candidate skills for 81% of companies now using skills-based hiring over traditional resumes.

Candidate assessment platforms for skills-based hiring.

With 95% of employers predicting skills-based hiring as the future, talent assessment platforms:

  • Reduce mis-hires, saving up to $22,500 per hire and improving retention rates.
  • Support data-driven hiring, ensuring candidates are evaluated fairly based on ability, not background.

Diversity hiring tools for strengthened DEI hiring strategies.

As over 50% of employers struggle to attract diverse talent, diversity hiring tools:

  • Support blind hiring and structured evaluations, reducing unconscious bias.
  • Expand access to underrepresented talent pools, improving workforce diversity.

Video interview platforms for enhancing interview scheduling and accessibility.

With 42% of organizations automating interview scheduling, video interview platforms:

  • Enable on-demand interviewing, reducing no-shows and scheduling delays.
  • Support flexible, remote-friendly hiring, appealing to 55% of candidates seeking hybrid opportunities.

Employee engagement platforms for strong team morale and retention

With 70% of employers citing engagement as key to retention, engagement platforms:

  • Monitor employee satisfaction through real-time surveys and feedback tools.
  • Improve workplace culture, helping employers track and address engagement concerns before they lead to turnover.

Employee recognition software for encouraging retention through appreciation

With 75% of organizations saying turnover increases workload on remaining staff, recognition platforms:

  • Boost retention by rewarding high performance, ensuring employees feel valued.
  • Encourage peer-to-peer recognition, improving workplace morale and productivity.

Employee assistance programs (EAPs) for employee mental health and well-being

With 40% of organizations prioritizing mental health initiatives, EAPs:

  • Provide mental health resources and counseling services to reduce burnout.
  • Help employees navigate financial, emotional, and work-related challenges, which ultimately improve long-term retention.

Find the right recruitment software without the headaches or guesswork

Need help finding the right recruiting software for your organization? Our HR tech experts provide you with tailored recommendations from our database of 1,000+ vendors, free of charge. Speak with an HR software expert today!

Anh Nguyen
No ads, just real software reviews. An independent writer and a bad BUT wholeheartedly enthusiastic dancer
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Anh is a full-time content creator and HR software reviewer known around the (virtual) SSR office for her even-handed, evidence-based mindset, who can often be found getting beyond the mere bottom of the story.

With a Business degree in one hand and a lifelong passion for writing in the other, Anh has dedicated the past five years to carving her path in tech writing. Her background in recruitment positions her as the go-to companion for your HR software quest.

Anh joined SelectSoftware Reviews in 2022 to continue sharing her insights on everyday HR and recruitment Tech with her favorite audience—fellow HR professionals.

‍Featured in: ERE Media, e27, theHRDirector (HRD), HR HelpBoard, Hubstaff, Lever, Recruiting Daily, Smart Recruiters, Willo, and WorkTango.

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