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101 Hiring Statistics You Must Read: 2021/2022 Data Analysis & Market Share

Candidate hiring continues to evolve. Changes to the process are now focused on making job hunting much easier. Hiring statistics show that new tech will bring about changes in candidate recruitment. New talent acquisition methods will influence the way candidates decide about accepting jobs.

But, of course, we cannot talk about recruitment without mentioning it in relation to the COVID-19 pandemic. There’s no question that the biggest impact of the health crisis was on employment. Millions of jobs were lost worldwide and vulnerabilities were exposed, particularly in the sector of the gig economy where workers have fewer means and job protection.

We have collated some of the most current hiring reports available. This reading will give you a greater knowledge of recruitment and hiring. You should be able to align your business with such developments.
key hiring statistics

1. General Hiring Statistics

Job seeking and hiring have changed in recent years. One of the main drivers of this development is the way companies recruit candidates. Businesses have realized that compensation is an important consideration for candidate job acceptance. Hence, lowering communication skills standards for applicants. Check out the latest recruitment statistics to know more about these developments. Below are general hiring data that will impact hiring in the coming years.

  • The top 5 recruiting priorities of recruitment professionals in 2021: Improving quality of hire (52%), Increasing retention rate (24%), Improving time-to-hire (23%), Growing talent pipeline (22%), Diversity hiring (22%) (Human Resources Director, 2021).
  • 66% of staffing and recruitment professionals view globalization as an opportunity in 2020 (Bullhorn, 2020).
  • 80% of the 100 highest-grossing recruitment agencies operate in multiple countries (Bullhorn, 2020).
  • 56% of US businesses will offer signing bonuses to new hires from business schools (GMAC, 2018).
  • 75% of the US workforce will be Millennials by 2025 (MRI, 2017).
  • 87% of recruiters say a four-year college degree makes an entry-level candidate competitive (ICMS, 2021).
  • 8 out of 10 recruiters use references to screen candidates (SHRM, 2017).
  • Requirements for excellent conversational skills and enthusiasm have decreased by many 20% (Jobvite, 2018).

Impact of COVID-19 on Employment

  • 64.7% of IT professionals are worried about losing their job during the coronavirus pandemic (CV Library, 2020).
  • Young workers are the most affected by pandemic-related unemployment. The unemployment rate of young workers ages 16-24 jumped from 8.4% to 24.4% from spring 2019 to spring 2020 (EPI, 2020).
  • During the early days of the pandemic, employees were reluctant to change jobs resulting in a 47% drop in applications across all industries (TalentLyft, 2020).
  • The US unemployment rate reached an all-time high of 14.7% in April 2020 (BLS, 2020).
  • In the European Union, unemployment is expected to rise to 8.6% in 2021 due to the Coronavirus pandemic (Statista, 2020).

Source: Jobvite, 2021

2. US Job and Labor Markets

The United States job market has significantly slowdown as of 2020. This is in part with the US-China trade rift in 2018 and was further aggravated by the COVID-19 pandemic. Private and non-farm payrolls have risen, albeit, below forecast figures. The average job gains are down from last year. Moreover, the country’s economic recovery has yet to impact different demographic groups. These groups continue to suffer from high unemployment rates, especially due to many companies downsizing their workforces. The divide between African American and White unemployment rates remains significant to date. The US labor market has also been changing. Changes include the way by which job seekers discover new jobs and talent pool expansion. The following are some statistics that prove this point.

  • The top 5 industries that had to downsize their workforce due to COVID-19 include (1) Travel & Tourism, (2) Hotels, Bars, & Restaurants, (3) Entertainment, (4) Conferences & Trade Shows, and (5) Manufacturers (TalentLyft, 2020).
  • The top 5 companies hiring during the pandemic are Instacart, Amazon, Walmart, CVS Health, Dollar General (TalentLyft, 2020).
  • There were 7.2 million job openings in the US and a total of 6 million hires as of July 2019 (BLS, 2021).
  • However, with the ongoing pandemic forcing businesses to close or downsize, the national unemployment level of the US stands at 10.13 million as of January 2021 (Statista, 2021)
  • 72% of employers are having a hard time finding skilled candidates (Manpower Group, 2018).
  • 74% of recruiters will face hiring competition in 2019 (Jobvite).
  • Millennials make up the largest age group in the US workforce (Pew Research, 2018).
  • Businesses can expand a talent pool 10 times by recruiting through employee networks (LinkedIn).
  • Most people discover new jobs through referrals (LinkedIn).
  • Employee referrals are the number one source of quality hires (LinkedIn).

unemployment in the US

3. Challenges Facing Recruiters

Recruitment executives have implemented changes in the way they hire candidates. This is in response to the problems that they face in recruiting employees. Candidate health and decision-making, recruitment time, and online application glitches cause these complications. Check out the following statistics that reflect the complications that recruiters offer.

  • The top 5 recruitment challenges caused by the Coronavirus pandemic: Firing instead of hiring, High volume hiring, Difficulties filling jobs, Digitization of recruitment, Hiring budgets cut (TalentLyft, 2020).
  • 77% of recruiters go back and hire candidates who at first didn’t appear to be fit (Jobvite Recruiter).
  • 75% of recruiters have experienced candidates changing their minds (Jobvite, 2018).
  • 41% of companies say entry-level positions are the hardest to fill (Hireology, 2018).
  • 36 working days – The average time it takes a company to hire talent (SHRM, 2017).
  • 89% of talent say they accept a job offer faster when contacted by a recruiter (LinkedIn).
  • Talents are 4x more likely to consider a company for a future opportunity when a company offers feedback (LinkedIn).
  • 39% of recruiters allocate 1 to 3 business days to candidate training (SHRM, 2017).
  • 59% of candidates have abandoned an online application due to issues or bugs on the website (ICIMS, 2017).
  • 89% of hiring executives say bad hires often lack soft skills (LinkedIn, 2019).

Use of Social Media in Recruiting

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4. Mobile Employees Hiring

The mobile workforce is expanding. Geographically challenged employees now work using technologies. These include mobile devices, computers, and the Internet. Freelancers make up a vast majority of this group. The number of freelancers will increase in the coming years. Mobile employee recruitment has become an alternative for many businesses. The following are some of the most recent stats on mobile employee recruitment.

  • 50% – The estimated increase in the number of mobile employees by 2020 (Pwc, 2020).
  • 65% of companies communicate the importance of a mobile assignment to an employee’s career (BGRS).
  • 21% of executives say global mobility is key to attracting and retaining top talent (Deloitte, 2017).
  • 41% of companies use mobility strategies in recruiting outside talent (Deloitte, 2017).
  • 81% of companies that pursue talent mobilization experience revenue growth or surpass targets (Cornerstone).
  • Since COVID-19, the internal mobility of companies in the US has increased by 20%. (LinkedIn, 2020)

mobile employees

5. Strategies to Boost Hiring

Organizations have been devising new ways to improve their recruitment processes. These new hiring methods help attract and retain more talent. These hiring methodologies include appealing compensation packages and flexible work deals. Reaping the applicant tracking software benefits can also improve the hiring process. The following are statistics on these hiring innovations.

  • 88% of companies globally already use AI in some way for HR (SHRM, 2021).
  • 100% of Chinese firms and 87% of US employers are relying on some form of AI for recruitment  (SHRM, 2021).
  • 44% use publicly available data like social medial profiles to speed up recruitment (SHRM, 2021).
  • 67% of SMBs offer flexible work agreements (Workest, 2018).
  • 80% of Millennials want to work overseas (Pwc, 2020).
  • 68% of companies have increased salary offers for candidates in 2018 (Dev Skiller, 2017).
  • 83% of executives say companies are shifting to open-career models (Deloitte, 2017).
  • 51% of companies added temporary jobs in 2017 (Career Builder, 2018).
  • 66% of companies will train and hire candidates who may be lacking in skills but have potential (Career Builder, 2018).
  • 55% of companies who constantly recruit say it slashes their time-to-hire (Accurate).
  • 40% of employers keep their recruitment processes in-house to save on costs (LinkedIn, 2019).
  • 75% of employers use behavioral interview questions to assess soft skills (Career Builder, 2019).
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Top Uses of Data in the Hiring Process

Top Uses of Data in the Hiring Process
To increase retention: 56

To increase retention

%
Top Uses of Data in the Hiring Process
To evaluate skill gaps: 50

To evaluate skill gaps

%
Top Uses of Data in the Hiring Process
To build better offers: 50

To build better offers

%
Top Uses of Data in the Hiring Process
To understand what candidates want: 46

To understand what candidates want

%
Top Uses of Data in the Hiring Process
To do workforce planning: 41

To do workforce planning

%
Top Uses of Data in the Hiring Process
To predict candidate success: 39

To predict candidate success

%
Top Uses of Data in the Hiring Process
To assess talent supply and demand: 38

To assess talent supply and demand

%
Top Uses of Data in the Hiring Process
To compare talent metrics to competitors': 31

To compare talent metrics to competitors'

%
Top Uses of Data in the Hiring Process
To forecast hiring demands: 29

To forecast hiring demands

%

Source: Careerbuilder

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Recruitment and Technology

Technology has been playing a role in employee recruitment. Technologies such as social media, video, and applicant tracking software help speed up the hiring process. Likewise, candidates have been using tech to discover and apply for jobs. These technologies include recruitment sites and social media. Companies have also been turning to top applicant tracking software tools, resulting in faster hiring.

  • The top challenges driving HR technology decisions or organizations: finding, attracting, retaining talent (56%), developing people to reach their full potential (43%), improving employee experience (42%), creating collaborative work environments (40%), workforce planning (38%), ensuring well-being, diversity, & inclusivity (34%) (Pwc, 2020).
  • 60% of recruiters and hiring executives use video technology (Jobbatical, 2020).
  • 5 million+ – The number of information technology jobs to be added globally by 2027 (Forbes, 2018).
  • 84% of companies use social media in recruiting (SHRM, 2017).
  • 60% of people look for jobs using social professional networks (56%) and word of mouth (50%) (LinkedIn).
  • The most effective talent branding tools include company websites (68%), online professional networks, and social media (LinkedIn).
  • 7 out of 10 people use Google to search for job openings (ICIMS, 2017).
  • Only 17% of contingent employees found jobs using mobile apps for on-demand jobs (ICIMS).
  • 50% of employers do not use applicant tracking software (Accurate).
  • 78% of companies using an ATS say recruitment tech makes hiring easier than ever (Accurate).
  • 79% of job seekers say they are likely to use social media in searching for jobs (Career Builder, 2018).

Recruitment Communication

Recruiter-candidate communication is a very critical component of the hiring process. Poor communication can fail to close the hiring loop as candidates can become frustrated with the process. Frustration, in turn, could result in candidates refusing to take the job. If you’re experiencing these pain points, you may need the help of top HR software companies to get your affairs in order. In a nutshell, poor communication can make you miss out on top talent.

  • 58% of recruiters adapting their recruitment process due to COVID-19 are now using social media networks like Facebook, LinkedIn, and even Instagram to find potential hires (CNBC, 2020).
  • 27% of employers are transparent about salaries and pay ranges (LinkedIn, 2019).
  • 52% of job hunters say a lack of response from employers is their biggest frustration (Websolutions, 2020).
  • 47% of businesses claim to have a formal communication process that covers post-hire and pre-start periods (Career Builder, 2017).
  • 82% of hiring executives see candidate experience as important (Career Builder, 2017).
  • 53% of job hunters want recruiters to clearly explain expectations in the job description (Career Builder, 2017).
  • 86% of applicants say employers should treat them the way they treat current workers (Career Builder, 2017).
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How Job Seekers Communicate with Companies

How Job Seekers Communicate with Companies
Phone : 74

Phone

%
How Job Seekers Communicate with Companies
Email : 73

Email

%
How Job Seekers Communicate with Companies
SMS : 24

SMS

%
How Job Seekers Communicate with Companies
Social media: 16

Social media

%

Source: Clutch

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Most Popular Applicant Tracking Software

  1. BambooHR. BambooHR is an award-winning HR software service designed for small and mid-sized businesses to keep track of their HR procedures and candidates. Learn more in our BambooHR reviews.
  2. SmartRecruiters. SmartRecruiters is end-to-end hiring management and talent acquisition platform. Discover how it works in our SmartRecruiters reviews.
  3. Workday. Workday is an HR platform that integrates the administrative functions of a business and packages it with real-time analytics. Learn how to maximize its potential to your benefit in our Workday reviews.
  4. Submittable. A submissions management tool that can receive all kinds of submittable media, including job applications. Look at our Submittable reviews to learn more.
  5. Greenhouse. Our Greenhouse reviews details a system that can streamline the hiring process, from prospecting, scheduling, and interviewing.

6. Job Acceptance

One factor that contributes to the slow hiring process is candidates’ job acceptance. These attitudes include job opportunities reception, reasons for job changes, and external influences. Check out more job acceptance statistics that we have compiled below.

  • The most important considerations in accepting new jobs are compensation (49%), professional development (33%), and better work/life balance (29%) (LinkedIn).
  • Career opportunity is the number one reason for changing jobs (LinkedIn).
  • 85% of active and passive job hunters are open to new job opportunities (LinkedIn).
  • 70% of the global workforce is composed of passive talent (LinkedIn).
  • 67% of employed Americans say that job interviews influence their decision to accept a job (ICIMS, 2017).
  • 36% of women and 29% of men say flexible work arrangements are critical to consider a job (LinkedIn, 2019).
  • 35% of job seekers say they will turn down an offer if the employer does not offer a remote work option. (Career Builder, 2020)
  • Moreover, 23% of employees report they are willing to have their pay cut by 10% if it means they can work from home. (OWL Labs, 2020)

job acceptance reasons

7. Diversity in Hiring

Diversity in the workplace has become the new norm, making it imperative to adopt the concept of recruitment and hiring. The concept’s use in recruitment has made its way into companies’ recruitment goals, but this is not to say that pursuing diversity is without its problems, the process could use some improvements. Check out the following stats to know how diversity in recruitment is doing these days.

  • 37.2% of companies say they have diversity hiring goals (Allegis, 2018).
  • More recently, 77% of talent professionals report that diversity will be a crucial factor in the future of recruiting. (LinkedIn, 2020)
  • 71.5% of businesses say they have a diversity strategy, are making progress, or have “arrived.” (Allegis, 2018).
  • However, 38% of recruitment executives say finding diverse candidates to interview is the biggest barrier to improving diversity (HireVue, 2019).
  • Luckily, with more remote work options being offered, researchers say that this will help boost geographical diversity among applicants by 20%. (LinkedIn, 2020)
  • 40% of hiring decisions are influenced by unconscious bias (HireVue, 2019).
  • 41% of companies have seen an increase in the percentage of new hires that are minorities and women (HireVue, 2019).
  • 70% of organizations have seen an improved likelihood of hiring African American candidates (HireVue, 2019).

Top Reasons Why Companies Focus on Diversity

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8. Candidate Qualifications

Another factor affecting hiring in the US is candidate qualifications. The increase in the number of people pursuing higher learning is seen to improve the qualifications of entry-level candidates. The improved educational background of candidates will give organizations a broader pool of highly-qualified talent. More statistics on candidate qualifications are listed below.

  • 50% of companies have seen an increase in the number of candidates with a master’s degree for entry-level positions (ICMS, 2021).
  • Only 24% of college seniors will graduate with a degree in STEM (ICMS, 2021).
  • 52% of recruiters say they are most interested in candidates with a degree in STEM (ICMS, 2021).

increase of masters degree workers

9. Remote Work and the Gig Economy

With the Coronavirus health crisis, many organizations were forced to shift their operations online. And fortunately, with improved Internet connectivity, A lot of jobs and tasks can be accomplished online, allowing employees to work from home.

The idea of working from home has proved appealing to many, especially when it comes to achieving a work-life balance. The working model has also caught the eye of freelancers, making it a valuable contributor to the “gig economy.” The following are more statistics on the work from home scheme.

  • 84% of recruiters are in the process of adapting their hiring processes to facilitate remote exchanges due to the COVID-19 pandemic (CNBC, 2020).
  • Experts predict that by 2025, roughly 36.2 million employees in the US will work remotely. (Upwork, 2020).
  • As of 2020, 41.8% of the American workforce are working remotely (Upwork, 2020).
  • In 2018, it was predicted that 25% of employers will offer remote work (Career Builder, 2018).
  • However, more recent data shows that 67% of employers provide flexible work arrangements. (Zenefits, 2020)
  • More than 35% of the US workforce are freelancers (Forbes, 2019).

freelancers in the US economy

  • 64% of college seniors say they are likely to get a job in the “gig economy” to supplement their main income (ICMS, 2021).
  • 65% of contingent workers found jobs from referrals (ICIMS).
  • The lack of employee benefits is the biggest setback to the “gig economy.”  (ICIMS).
  • 82% of contingent employees say they have at least one current contract job that is knowledge-based (i.e. writing, professional consulting and photography, etc.) (ICIMS).
  • 76% of gig workers find contract work exciting (ICIMS).
  • 96% of software and IT companies allow remote work in some capacity (LinkedIn, 2019).
  • A 13% increase in productivity has been observed when employees are allowed to work from home (LinkedIn, 2019).

Source: Zenefits

How to Leverage These Hiring Statistics to Your Advantage

The hiring process has indeed changed across all types of industries. It is up to business owners to adapt or risk poor performance in the recruitment game. The trends presented here can provide a bird’s eye view of the hiring landscape, especially with regard to what recruitment professionals are doing to adapt to changes brought about by COVID-19.  Knowing these trends can be very handy for those who are hitting snags in your hiring process. Using technology, communication and relaxing candidate qualifications improve the way you hire talent. Top HR software is the prominent technology to date.

For those of you who have all the needed things already in place, it may be high time to take the roads less taken. Try to focus on attitudes, offering remote work, diversity, and recruitment strategies. Adhering to these trends will not only put your hiring prices in high gear but also help you retain top talent. But, if you want to further speed up your process, choosing the best applicant tracking software is the way to go.

 

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Jenny Chang

By Jenny Chang

Jenny Chang is a senior writer specializing in SaaS and B2B software solutions. Her decision to focus on these two industries was spurred by their explosive growth in the last decade, much of it she attributes to the emergence of disruptive technologies and the quick adoption by businesses that were quick to recognize their values to their organizations. She has covered all the major developments in SaaS and B2B software solutions, from the introduction of massive ERPs to small business platforms to help startups on their way to success.

1 Comments »
Zach Gagnon says:

There are some crazy statistics here! Thanks for having them all on one page for us to see. Look forward to showing my boss that there was a 13% increase in productivity for people who worked from home! Also, in the statistic, "82% of contingent employees ay they have at least one current contract job that is knowledge-based (i.e. writing, professional consulting and photography, etc.)" I think it was supposed to be "say" instead of "ay"

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