Unveiling 2024 Hiring Trends: Human Potential and AI

March 5th, 2024
Chelsea Kilpack
Human Potential Intelligence

It turns out that last year’s Global Trends Report was giving us a glimpse into the way human potential was going to dominate the conversation in 2023. This year we asked nearly 6,000 HR professionals in the U.S., U.K., and Australia how they’re strategizing for the future of work and their perspectives on skills versus experience alone dominated the findings.

This year’s top trends for talent leaders are:

  1. Human potential is more valuable than past experience alone in the new economy.
  2. Comfort with using AI is exploding.
  3. Employee well-being keeps climbing the priority list.

Trend 1: Human potential is more valuable than past experience alone

The half-life of skills is plummeting. Everyone, from candidates to CEOs, can see the rapid change unfolding as another AI tool is released or a new tech trend grabs hold. And the general vibes around skills are quantifiable: according to IBM, the half-life of general skills is now just a measly five years.

The state of knowledge is lost on no one – 96% of our survey respondents said they are now looking at candidates’ ability to learn new skills, while also assessing for competencies that transfer to new responsibilities as roles evolve:

  • 34% said they’re comfortable using skills assessments and already use them across the hiring process (up from 29% the year prior)
  • 65% use skills assessments to determine potential
  • 21% replaced resumes with skills-based assessments

Key takeaway: Design processes that unlock human potential.

Tools to assess human potential are already here. HireVue’s Find My Fit encourages candidates to apply for roles that may have otherwise been off their radar.

Here’s how it works. Candidates complete brief assessments of their interests, personalities, and backgrounds. Then, the results are compared to the organization’s open roles, and candidates are handed a list of roles that best match their skills—not just the roles they searched for.

By bypassing preconceived ideas of what they’re capable of, candidates are given opportunities they may have never otherwise considered. Not only does this widen the pool of diverse talent, but it also helps candidates realize potential for future job opportunities.

Trend 2: Comfort using AI is exploding

You’d have to live under a very big rock to block out the persistent buzz about ChatGPT and generative AI, and the result of continued exposure to the tech is a tremendous increase in comfort using AI and automation in hiring.

Even though 47% of respondents reported top-line budget cuts, they also noted a 30% increase in HR technology budgets specifically. But before committing to any vendor claiming AI benefits, companies should consider:

  • Bias and fairness: companies should have auditable and explainable processes with publicly available 3rd party audit results and an AI Explainability Statement to demonstrate fairness.
  • Privacy and security: protecting candidate data is essential — look for SOC 2 Type 2 audits, ISO 27001 certificates, and a FedRAMP certification if you’re in the public sector.

Key takeaway: Look to AI and automation as partners, not replacements.

Recruitment and human connection go hand-in-hand. Technology will never be able to replace personal touch, but what it can replace are tedious, mundane tasks that bog down the process. Once AI handles the early stages, people can step in and create connections. From text recruiting to assessments and video interviews, talent teams can trust technology to keep things moving while they make confident hiring decisions with the insights they’re provided.

Trend 3: Employee well-being keeps climbing the priority list

Wellness needs don’t cease to exist when a person steps into work, which is why a holistic approach to wellness is critical. Thoughtfully designed benefits programs and internal mobility initiatives enhance overall job satisfaction and when employees feel valued, everybody wins.

When asked what investments they made last year to become employers of choice, 45% of HR professionals said they increased their wellness programs and 50% are focusing on internal candidates for open roles.

Key takeaway: Show your commitment to employee well-being early.

A commitment to employee well-being begins far before a candidate is hired. Candidates want proof that employers will keep their workplace wellness promises. If they feel like you care for them in the hiring process, they are more likely to say yes to a job offer.

So how can talent teams incorporate wellness throughout every step of the hiring process? It starts with the right hiring tools. HireVue’s end-to-end hiring solutions highlight wellness by:

  • Quickly taking candidates through the hiring funnel, showing them that their time matters
  • Answering their questions at any time of the day with a conversational AI chatbot
  • Giving candidates the flexibility to take skills assessments, schedule interviews, or show up for on-demand interviews—all at their convenience
  • Assessing candidates based on skills—demonstrating a commitment to equity and inclusion

What candidates are saying

Talking to hiring leaders without candidates wouldn’t give us the full picture we need, so we asked 3,376 candidates around the globe what they wanted out of work. These are the top takeaways to consider as you course correct and strategize for the year:

They want to feel valued and appreciated at work. The top three benefits candidates are looking for in 2024 are greater stability, financial bonuses and rewards, and the ability to grow with the company.

They want stable employment with opportunities to advance. More than half (52%) of candidates said they are drawn to a company that promotes from within and almost the same number (53%) have considered applying for another role in their company

They want a clear, fast hiring process. Most job seekers (62%) cited poor communication as the top reason for a lousy hiring process. And 46% said it was due to a lack of transparency.

Needless to say, technology is completely rewriting how we work. And top companies that embrace ever-evolving digital transformation, are at the forefront of innovation and growth.

In today’s fast-paced environment, talent teams must be quick to adapt to changes. In 2024, the most competitive companies will be the ones who:

  • Uncover the human potential in their workforce
  • Work side-by-side with technology to maximize success

For a full copy of the report that includes in-depth takeaways and richer data, download The State of Hiring 2024.