In 2025, given the tight labor market and hiring challenges, employers are looking at traditional

and new ways of hiring.

Trend 1: Firms have started hiring candidates without a college degree. Research indicates that

hires without degrees tend to stay longer with their employers.

Trend 2: Employers are resorting to take a more traditional approach of promoting their

employees from within. Promotion opportunities are greater at top-tier firms, where employees

are twice as likely to be promoted within three years than at lower-ranked employers. Promotions

also often come with higher pay and better prospects for career advancement elsewhere.

Trend 3: Firms are being more innovative by offering degree apprenticeships that allow

employees to earn a wage while pursuing a degree—particularly useful in industries with a

shortage of graduates. Firms are also investing heavily in workforce training to enhance skill

development. Training plays a critical role in boosting promotion prospects, both within

companies and beyond.

Trend 4: Employers are hyper focused on retention, as high staff turnover can be costly. High

turnover is costly even for low wage workers; replacing them can cost employees up to 35% of

the departing person’s annual earnings according to Joseph Fuller of Harvard Business School.

As a result, employers are going to great lengths to encourage long-term retention, some

companies are offering an array of benefits, such as:

 Paid lunches and commutes

 An allowance for monthly wellness allowances, access to gyms and health clubs

 Tuition reimbursement, study leave, and completion bonuses for qualifications earned

 Three-month sabbaticals for every decade of service

These benefits not only reduce turnover but also contribute to a more motivated and engaged

workforce, while lowering the cost of hire.

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rapidly changing economy.

Adapted from an article in the Economist