If you’re wondering why hiring is so hard right now, you’re not alone—many of your peers are grappling with the same question.
Organisations across industries face a tight labor market in 2025. A shortage of highly skilled talent and other challenging hiring trends are leaving many roles unstaffed while negatively impacting employee workloads and morale.
Traditional recruitment approaches are becoming less effective, complicated by changing workforce preferences and the increased need for technology expertise, especially in the field of AI.
Firms must implement innovative tactics that balance careful resource management with the pressing need to keep projects on track. A majority seem to be willing to try.
Obstacles company leaders face
Intense talent competition. Skilled professionals remain in high demand, with supply falling well short of employer needs. This hiring trend forces companies to either delay strategic projects or proceed with understaffed teams.
Growing skills gaps. A number of managers say they have skills shortages on their teams, jeopardizing work quality and project schedules.
Budget constraints. Many organisations face headcount budget restrictions affecting their ability to hire needed talent.
Technical debt burden. Companies that have failed to modernise their systems face mounting technical debt, making it harder to attract tech professionals who often prefer working with current technologies and clean code bases.
Cross-functional collaboration. For businesses that operate in silos, it’s harder to attract talent who increasingly join the job market to seek environments that foster teamwork and cross-functional innovation.
Employee engagement. Low employee engagement drives higher turnover as workers seek more meaningful and fulfilling work experiences. It also makes it harder to attract new talent, as poor engagement visibly impacts company culture and shows up in employee reviews.