Talent acquisition trends and takeaways for 2025

In my 20 years as a talent leader and technologist, I’ve seen this business cycle before. In an economic downturn or an unexpected event like the pandemic, budgets shrink and hiring capacity is reduced. Business needs surge back before talent teams can catch up, forcing tough decisions on which roles to prioritize. 

A few weeks ago, I met with Tiffany Hindman, global talent acquisition leader at ServiceNow, to review the latest survey results from Recruiter.com. We reflected on where we are and where we’re going as an industry, and what talent leaders might do today to prepare for the future.

Will 2025 be business as usual?

Never let a crisis go to waste, they say, and in the world of human capital, this has never been more true. For the talent leaders who choose it, today’s budget crisis combined with technological innovation and market uncertainty could be the galvanizing force to usher in a new way of hiring. 

80% of respondents in the Recruiter.com survey felt insecure about their job last year. While budget cuts may have settled and workforce reductions paused, organizational changes are still underway as companies realign. Despite these challenging times, 7 in 10 are optimistic about the future of TA.

Talent leaders who embrace change today will not only navigate these tough times, but also position themselves for long-term success by making talent acquisition essential to business success and shareholder value.

This isn’t just about surviving a cycle—it’s about transforming to thrive in the next phase. Those who adapt today will be the talent leaders, business leaders, and even CEOs of tomorrow. From our discussion, I put together these 5 takeaways and actions for innovative talent leaders today.

#1: Human experience still rules recruiting – that’s why you need AI to keep up

The recruiting process feels broken to candidates and hiring teams alike. Many of the challenges should be solvable by technology and enabled by people.

Recruiters who connect the right people to the right roles are more critical than ever, because talent is more important than ever. But how and when they make that connection depends increasingly on the context of the role and the needs of the business. 

AI assistants and automations will give back time and focus by managing high volume, low value processes. It is up to talent acquisition leaders to structure their teams and workflows to identify and resource the human experiences that add value. Speed and connection matter both to employees and employers, but people create culture. 

Action: As hiring ramps up, prioritize resources to go after roles with the highest strategic value and let technology help you with the rest. Seek out a community of talent leaders focused on this question of experience and AI.

#2: Embrace what’s next and make this crisis your moment

Spending isn’t projected to increase, but hiring demand will. Instead of “doing more with less,” embrace change and make talent acquisition what you’ve always wanted it to be: making human connections, doing really important work, and creating value.

43% expect next year’s TA technology budget to stay the same

This is the moment to be part of the creative process for recruiting: new job descriptions, new team structures, better processes, better analytics, new channels, new technologies. Drive the conversation and make vendors your partners in defining the next generation of the talent tech stack and design new processes that focus on value. You will be tested, but you’re inventing the future.

Action: Find trusted advisors and partners, both internal and external, to question your assumptions and begin to test out new ways of doing things. Consider design thinking principles to help you move beyond what you already know.

#3: Trusted data and shared metrics for the win

Data is not just critical to aligning teams, it is the foundation for transformation. This matters both for creating trusted and compliant AI, and for aligning strategy, resources, and execution. More sophisticated, data-driven approaches to talent acquisition and hiring, prioritized by business objectives, will win in the war for talent.

Almost 64% of respondents rank volume metrics such as offer acceptance rate, time to source, and number of open positions as their most important measures of success. While just 26% put performance based metrics at the top of their list: candidate response rate, source of hire, and candidate experience and hiring manager NPS.

Workforce planning, hiring conversations, and budget cycles start with shared data and analytics. The universe of people and company data available to an organization today is vast. The ability to transform that data into meaningful, accessible insights, becomes a talent advantage. 

Action: Align on what matters most to drive outcomes. When you focus on performance and bring trusted data to the conversation, you’ll keep your talent strategy on track, and pave the way for an AI strategy.

#4: Be ruthless with time and resources

If people are a company’s greatest asset, then losing people to the competition is your greatest liability. Knowing the talent you already have – in house and in your network, the talent in the market, and what talent your competitors are going after will be much more important than backfilling jobs with external candidates. 

The recruiter’s core responsibility will shift from transactional work to aligning business requirements with talent market insights and the organization’s talent ecosystem. This realignment is no small feat and talent teams will become ruthless with their time and resources. By automating more of the process for roles and segments where a recruiter’s expertise adds low or no value, talent acquisition becomes a strategic lever with demonstrable business value instead of a cost center.

As talent team members become more invested in cultivating networks for talent, and careers of those recruited, talent acquisition and talent management converge. An indicator of this is the emergence of internal mobility as a metric for TA teams. Although 60% of respondents ranked it last in importance, a few outliers put it at the top of their list. 

Action: Assess current talent, gaps, and opportunities within your organization. Create an internal market map that aligns with business objectives, so your team has a roadmap for prioritization.

#5: What got you here won't keep you here

From paper resumes and fax machines to myriad sources and a global competition for top talent, the role of the recruiter has become incredibly complex and complicated. The potential for process improvement is tremendous, but that also begs the question, what will recruiters do now?

Traditional entry paths to talent acquisition will likely disappear as the process evolves. Sourcers will become researchers and analysts. Talent teams will add more junior recruiting roles, customer service and consulting capabilities to their function. Your next great hire may come from anywhere in the company. 

The talent leaders and advisors of the future must understand how to add value to the business and to apply data to the scale and complexity of modern recruiting. 

• 56% of VPs of talent acquisition come from a recruiting background with a title of recruiter, lead recruiter, or technical recruiter in the past
• 44% have a sales role in their background.
• 63% transitioned from a director or senior director role in recruiting or talent acquisition
• Just 15% made the jump from recruiter or senior recruiter to VP, while 14% made a lateral move from VP to VP. 

This evolution opens doors for ambitious talent leaders to step into influential positions. Those who show their value will find pathways to executive roles like CHRO or even CEO. Some may even become founders, using their expertise to launch their own ventures.

Action: Develop a professional growth plan for your team that includes training in data analytics, technology adoption, and strategic consulting skills, preparing them to be adaptable leaders in an evolving talent landscape. Source your next great recruiting hire using attributes instead of resumes.

The future of talent acquisition is here

Talent acquisition is at a turning point, and those who embrace the possibilities will lead the industry forward. From leveraging AI to cultivating meaningful connections, this is a transformative time for the hiring field. Today’s talent leaders are shaping tomorrow’s workforce—and for those ready to adapt and innovate, the future is incredibly bright.