The Future


of Recruiting
2023

Staffing
Introduction

The Future of Recruiting 2023

You can’t foresee the future — but you can help create it.

It’s a challenging and pivotal time to be in the staffing industry. In this time of uncertainty and rapid
realignment, recruitment leaders can meet the moment as change-makers.

You’ll have to be more strategic, more adaptable, and acutely in-tune with talent, both internal and
external – what candidates want, what skills they possess, and how your teams can grow their careers. 

To set you up for success, this report offers 17 predictions based on dozens of interviews with global
talent leaders, surveys of thousands of recruiting pros, and analysis of billions of data points generated
on LinkedIn.

Explore the report: 1. Recruiting trends → Experience the report online:

2. Economic uncertainty → Explore the global report ->

3. Employer branding → Explore regional editions →

4. Skills-first hiring →

5. Internal mobility & upskilling →

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Recruiting trends
Prediction 1 | Recruiting trends

Recruiting will drive business-critical changes.

The staffing industry was rocked by the pandemic and rose to the challenge of the Great
Reshuffle. There’s no question that recruitment is becoming more strategic, and there is an
opportunity to advise the executive table on all aspects of talent strategy, as business leaders
look externally for expertise.

Recruitment experts “have the opportunity to actually change the seats at the table,” says
Microsoft’s Brett Baumoel. “You’re going to truly change the table itself.” 

The depth of knowledge and experience that you bring to your clients positions you as a
consultative partner across their businesses — from advising on compensation, to fine-tuning
employer brand, to identifying and filling skill gaps within an organization.

Recruiting professionals have never been able to make a bigger impact than
right now. You used to be able to say, ‘these hires helped our company.’ Now
you can say, ‘I changed the make-up of our company, I changed where we
work, I changed what we look for, and I changed how we hire.’ ” of recruitment pros say 


87%
their function has
Brett Baumoel, VP of Global TA, Engineering at Microsoft
become more strategic
over the past year.

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Prediction 2 | Recruiting trends

Recruiting will have more say over pay.

Rising inflation. Stagnating real wages. A stubbornly competitive labor market. With these three
trends on a collision course — and compensation ranked as the #1 top priority for candidates
globally — something has got to give. 

The feedback loop between talent, finance, and DEI on discussions of comp needs to be more
Only 45% of recruitment

45% pros say their companies

agile than ever — particularly at a time when pay transparency is on the rise. Staffing
organizations can help their clients stay ahead of the curve by raising this conversation today and
advising on best practices.
increased salaries
As the leader with the clearest view of candidate priorities, labor market dynamics, and real-time enough to keep pace
recruitment trends across industries, you’re in the best position to lead the conversation about pay with inflation
and its business impact — from championing comp models that favor skills over pedigree, to
promoting comp packages that keep pace with inflation.

Jump to predictions about economic uncertainty → Page 9

As a corporate recruiter, I used to be proud of closing a candidate for a less-than-

market or less-than-approved offer — now I’m embarrassed that I did that. That new
hire becomes an immediate flight risk who can be poached with a better offer. We owe
it to the business to share that perspective as we collaborate and co-create our
company’s compensation and offer philosophy.”

John Vlastelica, CEO at Recruiting Toolbox

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Prediction 3 | Recruiting trends

Recruiting will double down on employer branding

as talent regains leverage.
Recruitment professionals know the competition for talent has not let up, even as hiring has
slowed down. While less hiring typically means less power for workers, experts see that dynamic
swinging back in the opposite direction over time: 57% predict that the future of recruiting will be
more favorable to candidates and employees (as opposed to employers) over the next five years.

That’s why refining and conveying a clear, compelling employer value proposition (EVP) is more
46%
of staffing professionals 

important than ever. With most recruiting budgets expected to shrink or stagnate, employer predict their employer
branding stands alone as the only line item where a majority of recruitment pros expect an
increased investment this year. But investing in employer branding won’t get you far if you don’t branding investments will
work to understand talent’s top priorities and authentically walk the walk. increase this year.

Jump to predictions about employer branding → Page 13

When you think about employer branding and how you articulate your culture
to attract, engage, and retain talent, you need to go beyond performative.
Candidates can see through it. They’re tapping into their networks to
understand who you really are — beyond what your career site says.”

John Graham Jr., VP of Employer Brand, Diversity, and Culture


at Shaker Recruitment Marketing

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Prediction 4 | Recruiting trends To so t s i s recruiters i need in t e uture
p f k ll w ll h f :

Recruiters will need a more strategic set of Percentage of staffing pros saying these are among the most

important soft skills over the next five years.

soft skills. Communication 80%

The skills companies need are changing fast. As LinkedIn’s CEO likes to say, “even if you aren’t
changing your job, your job is most likely changing on you.” Recruitment teams themselves are
no exception. 
2. Relationship building 78%

Adaptability, problem-solving, and business acumen rank among the top five soft skills staffing
professionals will need in the future. As recruitment pros become more strategic client partners,
they’ll need to adjust on-the-fly and find solutions that ladder up to overarching business goals.  

3. A d t
ap ab l i it y
61%

As companies align around skills-first hiring, staffing leaders will have to consider which skills
they value most — in the workforce at large, and within their own teams. 4 Pro e
. bl m- so ing
lv
59%

Jump to predictions about skills-first hiring → Page 17

5. B usiness cu en a m 51%

Recruiters need to be able to ask questions and really understand what

they're being asked to do, and how that fits into the overall goals and
Recruiters on LinkedIn 


objectives of the business.” with 1 or more of the 5 


3x soft skills above see 


Lars Schmidt, Founder of Amplify 3x m ore ro otions

p m 


than recruiters without

those skills.

Source: Global LinkedIn data, as of Jan 2023

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Prediction 5 | Recruiting trends Top recruiting outcomes hiring pros hope
to see from GAI
Generative AI will let recruiters focus on the Percentage of hiring pros saying they'd hope to see these outcomes

human part of hiring. from integrating generative AI into the recruiting process.*

Generative AI (GAI) — i.e., tools like ChatGPT that intelligently generate content — is a fascinating Automate repetitive tasks to

new technology that holds promise for talent professionals, many of whom believe it can help in time- 74% prioritize more strategic work
consuming tasks, like drafting job descriptions and personalized messages to candidates, among
others.

While two-thirds (68%) of hirers surveyed in February 2023 said they were “very hopeful” or Make it faster / easier 

“cautiously optimistic” about the impact of GAI on recruiting,* hiring influencer Glen Cathey 67% to source candidates
characterizes himself as “cautiously exuberant.” He believes GAI can save a ton of time and let
recruiters focus on the most human aspects of their jobs: listening to candidates, understanding their
desires, and helping them find a new job they feel good about. 

While GAI may help draft content, it’s crucial to keep a “human in the loop” — someone with the right
59% Make it faster / easier 

to engage candidates
know-how should always be there to carefully review and fine-tune generated content. “You still need
* Note: These results are from a smaller survey, distinct from the other survey
to keep your hands on the wheel,” Glen says.
results found in this report, comprising over 225 recruiting professionals and
hiring managers in the US. Due to the smaller sample size, these results
should be understood on a more directional basis.

For the foreseeable future of recruiting, humans will still play an essential role.
Humanness still matters, especially for hard-to-fill jobs, and the core of that is empathy. 

A good recruiter brings the opportunity and company to life, beyond what a person can
see on a website or job description.”

Glen Cathey, SVP, Workforce Advisory & Digital Strategy at Randstad

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Economic
uncertainty
Prediction 6 | Economic uncertainty

of staffing pros say the

Candidate diversity remains important in an macroeconomic environment is

56% negatively impacting hiring.

uncertain talent market.

In an uncertain economy, you might think employers would pull back on efforts to diversify their

workforces. Fortunately, that’s not the case.

Though most recruitment pros say hiring overall has been negatively impacted, three-out-of-four

Yet
say that diversity, equity, and inclusion (DEI) hiring is not being deprioritized — in fact, nearly 20%

say it is not lowering the priority

say it’s a higher priority now.

Work on DEI goes back decades, but it became a focal point for many in 2020, when a wave of
73% of DEI hiring.

companies pledged to make progress on diversity. Whether they deliver on that largely remains to

be seen, and you might look at these survey results with the same skepticism — is it aspirational

happy talk, or a real plan of action? Employees, candidates, and consumers alike will hold

businesses to their commitments. 

DEI is a priority to the next generation of employees. Their expectation is to

see leaders who look like them and to know organizations are committed to

DEI long-term — not only during times of social crisis.”

Dr. T
ana Session, DEI strategist

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Prediction 7 | Economic uncertainty

In the face of uncertainty, contractor hiring and

staffing partnership bring flexibility.
As uncertainty grows, businesses need to be more nimble and responsive to sudden shifts in the
market. To do so, employers may increasingly rely on contingent talent, like contractors or gig
workers, whose labor can be scaled up and down on demand.

In the US, for instance, LinkedIn job posts for contract positions are growing much faster than
job posts for full-time employees, which are relatively stable. (Note: contract positions mean
labor is “contracted” out to a company for a finite amount of time listed by a contract and can
be full-time or part-time work.)

This shift towards a greater mix of permanent and temporary workers opens the opportunity for
staffing firms to share their expertise and advise their clients on talent strategy, building
credibility and strengthening partnerships. Accordingly, 23% of companies expect to invest
The share of U.S. paid job posts for
more in external staffing firms in the next year.
contractor roles increased +26% YoY, 


while full-time roles only grew by 6% YoY.

Source: US LinkedIn data, May–Nov 2021 vs. May–Nov 2022.

If you're a recruiting leader in 2023 and you don't have a decent mix of
contingent talent, you'll be more risk-exposed to whatever the future brings —
good and bad. You need some elasticity so you can flex up or down as needed.”

Stephen Lochhead, SVP of Global Talent Acquisition at Expedia

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Prediction 8 | Economic uncertainty Demand for recruiters can rapidly reverse course

As companies reduce recruiting capacity,

opportunity increases for staffing organizations
The last few years have been a wild ride for recruiters. In the opening months of the pandemic,
many recruiters were first to be let go and suffered waves of layoffs. Only a few months later,
demand for recruiters skyrocketed and kept rising for almost two years.

With demand now falling as rapidly as it once rose, some companies are again cutting internal
TA teams. Organizations who make too many cuts, though, may be challenged if the market
recovers faster than expected. As this uncertainty continues, companies may look to staffing
firms for guidance on talent strategy and marketplace trends.
Source: Global LinkedIn data, as of Jan 2023.

In a downward cycle, there’s a natural tendency for companies to stop or slow

their talent efforts. In this next cycle, that’s probably the biggest mistake a
company can make. Access to talent is the number one priority of most CEOs
around the world.”

Marc-Etienne Julien, Chief Talent Officer at Randstad Global

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Employer

branding
Prediction 9 | Employer branding Most important priorities for candidates:

Staffing organizations will keep a closer eye 1

Compensation

on what candidates want most. 2

Work-life balance

The labor market remains tight, and talent is expected to retain the upper hand over the next five
Flexible working arrangements
years. To stay competitive, staffing organizations will have to reexamine their employer branding and 3

ensure that it aligns with what candidates are looking for today. 

Advancement
4
Every month, LinkedIn surveys over 20,000 members about the most important factors they weigh
when considering a new job. The top priority for candidates today is excellent compensation and Skill development
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benefits, by a fairly wide margin, followed by work-life balance and flexible working arrangements.

All three top priorities are also the three fastest-growing priorities for candidates — though in this case,
flexible work is rising much faster (+8% YoY) than compensation (+2%) or work-life balance (+2%). 

Ignore these three at your peril — while there’s much more to your employer brand than pay, balance, Fastest growing priorities for candidates:

and flexibility, they may soon be non-negotiables in the eyes of candidates. 

1 F lexible working arrangements +5%

2 Compensation +4%
Good pay, balance, and flexibility — they’re essential and we absolutely provide
that. But honestly, it’s not what makes us stand out. In today’s job market, offering
3 Supportive managers +4%
those benefits is expected. In our employer branding, we prefer to emphasize
what makes us unique.”

4 Clear goals from leadership +3%

Michaela Schütt, Head of Global Talent Acquisition at Siemens

5 Job security +2%

Source: Global LinkedIn Talent Drivers survey, as of Jan 2023.

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Prediction 10 | Employer branding When estimating what candidates care
about recruitment pros tend to …
Staffing pros will recalibrate what they pitch
to candidates. Over-value:
You learned what candidates want in an employer — but how does that compare to what employers Flexible work arrangements
think candidates want? 
Candidates
Recruitment
To find out, we gave around 2,000 recruitment pros the same survey question already answered by estimates
20,000 candidates, and asked them to guess candidates’ top priorities. Comparing the two sets of
answers reveals some interesting misalignments. 
Opportunities to advance
Candidates
Staffing pros tend to get tunnel vision on the most important priorities, to the detriment of other still-
Recruitment
important factors. In reality, candidates’ preferences are more diffuse and less top-heavy than a estimates
simple list might suggest. 

So instead of fixating on the particulars of a client’s flexible work policy, home in on the end result —
happy and inspired employees — and don’t neglect other aspects of company culture that foster
that happiness. And rather than only focusing on how they can grow their careers within an Under-value:
organization, show candidates how they can develop new skills to elevate their careers, whether or
not they choose to stay. 

Employee happiness
Candidates
Recruitment
When the economy recovers, th e competition for talent is going to spike back up estimates
very quickly. So it’s really important for companies to make progress in how they
position their employer brand and, more importantly, how they bring it to life.”
Opportunities to develop skills
Candidates
M arc-Etienne Julien, Chief Talent Officer at Randstad Global
Recruitment

estimates

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Prediction 11 | Employer branding What’s different about Gen Z’s priorities?
Gen Z values development and diversity.
Gen Z — professionals born later than 1996 — are already a major part of the workforce. Many
are just getting their careers off the ground, and their priorities reflect that.

Gen Z’s priorities are significantly different from their parents’ generation, Gen X. Career
advancement and gaining new skills are super important to younger workers: they’re over 50%
more likely to value moving up the ranks, compared to Gen X.

The younger generation is also much more focused on the importance of having an inclusive
work environment.

Gen Z is almost 50% of our workforce, and we've learned to respect their ways
of working. Gen Z doesn't live to work, they think corporate jargon is silly, and
they expect to be paid fairly."

Ruben Santos, HR Strategy & Program Lead for HR 


Europe & Indonesia at Ahold Delhaize

Source: Global LinkedIn Talent Drivers survey,

as of Jan 2023.

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Skills-first hiring
Prediction 12 | Skills-first hiring When looking for candidates on LinkedIn,
recruiters are...
Skills-first hiring will become the gold standard.
Slowly but steadily, staffing organizations have begun to embrace skills-first hiring — the +25% more likely 

practice of valuing a candidate’s skills over more superficial signals like an impressive alma to search by skills than they
mater or previous employer. 

were three years ago, and

Since 2019, the share of recruiter searches on LinkedIn that includes a skills filter has grown
+50% more likely 

by 25% — and today, recruiters are 50% more likely to search by skills than they are to search
to search by skills than by
by years of experience. 

years of experience.

Now, skills-first hiring is poised to be the way of the future. Three-fourths of recruitment pros
Source: Global LinkedIn data, as of Jan 2023. 

say it’ll be a priority at their firm. But not all staffing organizations are there yet: only 76% feel
they can accurately assess candidates’ skills today. Clearly, they’ll have some catching up
to do over the next few years.

How do we get better at filtering in, not filtering out? Recruiters have been
of recruitment pros predict
trained to copy and paste a job description so they can hire really, really fast.
They're not really looking at what the work requires and what skills are needed. skills-first hiring will be a
That's starting to change.”
76% priority for their organization
Jennifer Paylor, VP, Head of Global Talent Innovation 
 in the next 18 months.

& Skills Transformation at Capgemini

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Prediction 13 | Skills-first hiring No degree? Increasingly, that’s no problem.

Skills-first strategies will shine a light on

20% of U.S. job posts on

overlooked talent. LinkedIn don’t require a

four-year degree.
If you’re not convinced yet that skills-based hiring is the future, consider this: by being open to 


hiring candidates who don’t have college degrees, you’ll be taking a big step forward in diversifying
The share of these job
your candidate pipelines.

posts has grown by +30%

There’s a growing consensus that removing four-year requirements is one of the most important over the past 6 months.

things you can do to promote diversity. Members of underrepresented groups are far less likely to

have attended college — but that doesn’t mean they don’t have the skills and potential to succeed.

Source: US LinkedIn data, June 2022 vs. Dec 2022.

Research shows that workers who didn’t go to college but have experience perform almost as well as

college grads on critical measures like productivity.

Today one in five jobs on the LinkedIn platform doesn’t require a four-year degree. That number is

expected to grow as more employers look to hire people from a multitude of backgrounds who can

bring different perspectives to their organizations.

Scrappy, self-taught types won’t have shiny brand names on their resume. Local

community colleges are a great source of nascent tech talent that big

employers never ever recruit from.”

Clyde Seepersad, SVP & GM, Training & Certification 


at The Linux Foundation

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Prediction 14 | Skills-first hiring

Staffing organizations will focus on mapping

the skills candidates have (and need).
Skills have become a critical currency, and staffing organizations will need greater visibility into
the skills that candidates do and don’t have. Forward-thinking firms will organize databases that
91%
both list the skills of pipelined candidates and the skills needed for specific requisitions. 

A whopping 91% of recruitment pros told us that understanding their talent’s skills is required to
make informed talent decisions — though slightly less (88%) say it’s currently a priority at their of recruitment pros agree that

organization.

understanding skills talent does

Mapping your talent’s skills will help you do a better job spotting skills gaps. It will also make it
and doesn’t have is necessary to
easier for you to match qualified workers with open roles.

make informed talent decisions.

For this to work, however, staffing organizations must distinguish between which skills are truly

“must-haves” for a role — and which are merely “nice to have.”

There used to be a lot of emphasis on qualifications. Now, it's much more about
skills and experience, the mindset is shifting. It's really refreshing.”

Alex Fleming, Regional President, Northern Europe at Adecco

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Internal mobility
& upskilling
Prediction 15 | Internal mobility & upskilling

Staffing organizations will recognize the business Employees at organizations with high
internal mobility stay 60% longer.
value of upskilling and internal mobility.
Median employee tenure for orgnizations in the top and
Your organization’s next great hire might already be on the payroll. The shaky economy is forcing bottom quartile of internal mobility.
firms to look within more frequently when filling open positions: 56% of staffing professionals say
4.9

internal recruiting will be an important factor shaping the future recruiting over the next 5 years.

years
Internal mobility provides big payoffs, starting with higher employee retention. LinkedIn data 3.1 

shows that employees stay at organizations almost 2x longer if the employer is highly committed
years
to internal hiring.

Improving internal mobility also saves your organization turnover cost, which can accrue quickly if
attrition is high. Recruitment pros who stay help maintain institutional knowledge and consistent
client partnerships, while also contributing positively to firm culture.

Organizations with Organizations with

low internal high internal
Internal mobility will be a multiyear journey for many companies, but you can mobility mobility
also build shorter-term wins along the way. Looking at your internal policies to
Source: Global LinkedIn data, as of Jan 2023.
make sure they align with your vision for talent mobility — that’s something
organizations can do now.”

Jennifer Shappley, VP, Global Talent Acquisition at LinkedIn

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Prediction 16 | Internal mobility & upskilling

Top ways LinkedIn members want employers to be

Upskilling will be a key tool for retaining a more inclusive of under-represented groups

diverse workforce.
1 Increasing development and advancement
With organizations facing serious skills gaps, it’s no wonder 70% of staffing professionals say opportunities

upskilling and reskilling employees will be an important factor shaping the future of recruiting
over the next five years.
2 Providing an equal pay scale regardless of
background

But there’s another reason why L&D is gaining more attention: employers understand that offering
learning opportunities will be critical to advancing diversity and inclusion. 
Providing a wide range of benefits and
3
accommodations
In fact, when LinkedIn asked members how they’d like to see organizations be more inclusive of
underrepresented groups, “increasing professional development and advancement opportunities”
Source: LinkedIn Talent Drivers survey results as of Dec 2022
was the #1 answer in several countries, including India, Brazil, Italy, Mexico, and Japan. 

You can keep hiring diverse talent, but if you’re losing them just as fast, you’re not
actually changing things. You also have to enable people to move and grow once
they enter your organization."

Andrew White, Sr. Global TA Program Manager, 


Internal Hiring at Microsoft

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Prediction 17 | Internal mobility & upskilling

Learning will be a compelling driver for Most important priorities

candidates, not just employees.

for candidates overall:

If I join this organization, will you help me develop new skills? Will you offer me a clear path to 1 C ompensation
advancement? Will you help me grow, even if I only stay at this organization for a couple years?

2 W ork-life balance
These are the kinds of questions candidates are asking and they will only get louder in the future. In
the years ahead, candidates won’t just be thinking about a given job but whether that employer is 3 F lex working arrangements
the right career destination. This will be especially true for Gen Z, but holds true across the global
workforce: advancement and skill development were the #4 and #5 top priorities for all candidates. 

4 A dvancement
The bottom line: candidates care deeply about learning and development, so match them with
opportunities that meet their needs. It will be critical to the success of your organization. For more on 5 Skill development
the state of learning, explore LinkedIn Learning’s recent 2023 Workplace Learning Report.
Source: Global LinkedIn Talent Drivers survey,
as of Jan 2023.

Companies need to do more than provide a good workplace environment —

they also need to help employees develop new skills.”

Jade Shi, Employer Branding Manager at Alibaba

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Conclusion
Conclusion
While every prediction in this report may not bear out precisely as described,
preparing today will leave you better equipped for whatever tomorrow holds. 

Change is coming to the recruitment industry, but that doesn’t mean you’ll be a
passive observer. As an industry leader, you’re in a position to reshape the way the
world works — and ensure it works for everyone.

Ultimately, the future of recruiting belongs to those willing to build it. And as a change-
maker at your organization, the future of recruiting belongs to you. 

Explore the other reports.

Global report | Health Care industry report

Explore the regional report editions.

Australia & New Zealand | Belgium, Netherlands, & Luxembourg | Brazil | France |

Germany, Austria, & Switzerland | India | Mexico | Middle East & North Africa |

Southeast Asia | United Kingdom

Read the translated global report.

Dutch | French | German | Italian | Japanese | Portuguese | Spanish | Spanish (LATAM)

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Methodology
Survey data

LinkedIn Research surveyed 1,611 recruiting professionals in management seniority roles or higher (1,216
corporate recruiting pros, 395 search and staffing pros), in addition to 403 hiring managers. Survey
respondents are LinkedIn members who were selected to participate based on information in their LinkedIn
profile and qualified based on survey responses. This survey was conducted in six languages across 20
countries between October and November 2022. 

Candidate priorities and inclusion preferences are based on LinkedIn’s Talent Drivers monthly survey of
global members, including 20,396 members surveyed in December 2022. To measure candidate priorities,
respondents are asked to “select the most important factors when considering a job opportunity,” and can
select up to five of 15 employer value propositions. The fastest-growing candidate priorities are those with
the greatest percentage increase between December 2021 and December 2022. 

Insights data

Behavioral insights for this report were derived from the billions of data points generated by the 900 million
members in over 200 countries on LinkedIn today. Unless otherwise noted, all data reflects aggregated
LinkedIn member activity as of January 1, 2023. Demand for recruiters is measured by the number of paid
job posts for recruiter positions on LinkedIn globally.

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Acknowledgments
This report was informed by insightful interviews with several recruiting leaders around the world,
to whom we owe our sincere thanks, including:

Naif AlGhamdi at Almara Survey dat

Andrew Barnes at 4 Day Week Globa
Stephanie Scalis
Brett Baumoel at Microsof
Meng Zha
Glen Cathey at Randsta Megan Leonard

Alex Fleming at Adecc

Pragashini Fox at Thomson Reuter LinkedIn platform dat
John Graham Jr. at Shaker Recruitment Marketin Cesar Zulaic
Marc-Etienne Julien at Randsta Shonali Bos
Stephen Lochhead at Expedi Jamila Smith-Del
Chris Louie at Thomson Reuter Adriana Zurban
Bjorn Luijters at Ahold Delhaiz Caroline Liongosar
Jennifer Paylor at Capgemin Brian Xu

Gemma Leigh Roberts at The Resilience Edg

Editorial and productio
Ruben Santos at Ahold Delhaiz
Dan Schawbel at Workplace Intelligenc Greg Lewi
Lars Schmidt at Amplif Sheila Azada
Michaela Schütt at Siemen Alia Cousin
Clyde Seepersad at The Linux Foundatio Phyllis Furma
Tana M. Session at TanaMSession.com Melissa Mangin
Jennifer Shappley at LinkedI Grace Nurre
Jaishree Sharma at Jubilant Pharmova Limite
Jade Shi at Alibab
John Vlastelica at Recruiting Toolbo
Sophie Wade at Flexcel Networ
Andrew White at Microsof
Elsa Zambrano at NXP Semiconductors

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