THE FUTURE OF
Better Work
3 defining trends that will shape 2025
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Generative AI is already transforming job-seeking and recruitment, but its full impact on US working life has yet to be realized.
The sections below will dig deep into these upcoming shifts and act as a guidebook for managers navigating the changes, offering key tips for differentiating and continuing to recruit the best talent.
Read on to learn more about three key predictions for the year ahead.
The saying goes that the only constant is change.
The job market landscape and ever-evolving hiring practices are no exception.
Prediction 1:
New approaches to hiring will help navigate economic uncertainty
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The case for skills-first hiring with AI
AI workforce impact dashboard
Unlocking new careers with AI
03
01
02
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While GenAI is poised to have a significant impact across jobs and industries, fewer than half of business leaders feel that their companies are doing enough to empower employees to use it. Some workers remain resistant to using technology they fear could one day fully replace their roles.
Programs that teach employees how to use GenAI to make themselves more productive and free up time to focus on more engaging tasks will be key to tackling AI anxiety.
AI is not only transforming existing roles, but creating new professions, too. In May 2024, the share of job ads on Indeed.com containing terms related to GenAI had grown by nearly eightfold since the same month in 2023.
It’s a small percentage — equivalent to just over one in every thousand roles — but it's a percentage that is growing fast.
Despite fears of an economic slowdown,
the US economy continues to outpace
most major countries, with solid consumer spending and wages growing faster than inflation.1234
Meanwhile, job postings have been trending downward since early 2022, but unemployment and layoffs remain low, according to Indeed’s 2025 US Jobs & Hiring Trends Report.
Still, an aging population and expected decline in immigration mean the US workforce may shrink this year.
All this makes predicting the precise trajectory of the job market difficult, but there are some key ways employers can stand out to potential hires.
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Flip through and click on the flashcards below to learn more about each of the approaches.
74%
70 million+
Nine out of 10
of hiring managers say they would prefer to be matched with talent based on skills rather than searching for them3
people, accounting for roughly half the US workforce, are screened out when four-year degree requirements are included on a job posting4
HR leaders already use AI in their work.5
This subtle shift in prioritizing skills over academic accomplishments could spell out a massive transformation in the way recruitment works. By placing substance over superficiality at the heart of its AI products, Indeed helps hiring managers focus on finding candidates who are the best fit for the job.
None of us [know] with any certainty what the future holds, but if we all start incrementally building today toward a better tomorrow, we’re moving in the right direction. When we work together, we have a greater chance of ensuring that job seekers facing bias and barriers aren’t left behind.
LaFawn Davis
Chief People & Sustainability Officer at Indeed
Job seekers should also think deeply about how they use AI, as companies are finding clever ways to screen out applicants who use tools like ChatGPT to submit applications without any human review. The key lesson here? AI tools should assist job seekers, enhancing their efforts rather than replacing them completely.
Embracing pay transparency
Embracing pay
transparency
Employers today are more open about salaries in job postings, in part due to changing pay transparency laws. In September 2024, 57.8% of job postings on Indeed included pay information, up from 52.2% in September 2023.5
As recruiters work to impress talent, they must be intentional about remuneration.
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Tapping into
“skills-first” hiring
Tapping into
“skills-first” hiring
The share of job postings requiring a bachelor’s degree fell to 17.6% in October 2024, from roughly 20% pre-pandemic.6
Employers are placing a greater emphasis on skills gained on the job rather than academic qualifications — and Indeed’s Smart Sourcing technology helps recruiters instantly find employees with the right skills.
Back
Paying healthy
wages
Paying healthy wages
Wage growth has settled at 3.3%, down from
a peak of 9.3% in 2022.7
This means a more stable market for employers, who are more likely to raise wages to compete for workers — especially in low-wage sectors and for in-person services like childcare.8
Back
When used with care, AI can be a powerful tool for connecting hiring managers with exceptional applicants. That’s particularly true on Indeed, where insights are provided from job seekers on work preferences and qualifications.
When you post a job on Indeed, our AI recommends candidates that match your requirements. You can choose the candidates that are the best fit and invite them to apply with a single click. We are combining the power of AI with the incredible power of human judgment. The power of you. It’s smart, it’s fast, and it’s incredibly effective.”
Chris Hyams
Indeed CEO
While some industry observers have focused on how AI may replace job roles, Indeed is already demonstrating how the technology can be used to help candidates showcase the depth of their professional talents.
Hiring practices in some HR departments have become more rigid with time-pressed recruiters looking for candidates to check certain boxes — paying close attention to external certifications like degrees. But this outdated approach may often disadvantage specific communities, especially Black, Hispanic, and rural Americans.
Using AI and machine-learning, Indeed's Smart Sourcing helps employers match with candidates based on skills developed over the course of their careers and training courses they’ve taken while on the job, which are included in their profile. One study from Harvard Business School demonstrated that when degree requirements are dropped from job descriptions, the employees hired without a formal degree typically stay with companies longer than their college-educated peers.
Use the data below to explore this meteoric rise, as well as the types of roles requiring the highest levels of AI proficiency.
Select a role from the list below to see how AI could transform the working day for professionals in that sector.
Share of job postings with AI proficiency required, by occupation
Generative AI roles take off in the US
While some industry observers have focused on how AI may replace job roles, Indeed is already demonstrating how the technology can be used to help candidates showcase the depth of their professional talents.
AI Competency* at Performing Relevant
Job Skills Requested by US Employers
Percentage of job postings on Indeed containing GenAI terms over a 7-day moving average
Data correct as of May 31, 2024
Potential jobs include
- AI Training -
Mathematician
- AI Mathematical Modeller
37.1%
Potential jobs include
- AI Programmer
- AI/ML Engineer
Mathematics
Potential jobs include
- Technical Writer AI Content
- Graphic Designer AI Content
0.1262
Generative AI
Potential jobs include
- AI Research Scientist
- Data Scientist - AI Methods
23.6%
Software Development
ChatGPT
Launches
16.7%
Information Design & Documentation
Types of Roles
Potential jobs include
- AI Industrial Engineer
- AI Process Engineer
Job category
Childcare
Beauty and Wellness
Scientific Research and Development
Nursing
Loading and Stocking
Hospitality and Tourism
Community and Social Service
Administrative
Accounting
Architecture
Arts and Entertainment
Banking and Finance
Beauty and Wellness
Childcare
Civil Engineering
Cleaning and Sanitation
Construction
Customer Service
Dental
Driving
Education and Instruction
Electrical Engineering
Food Preparation and Service
Human Resources
Industrial Engineering
Information Design and Documentation
Installation and Maintenance
Insurance
IT Operations and Helpdesk
Legal
Logistic Support
Management
Marketing
Mathematics
Media and Communications
Medical Information
Medical Technician
Personal Care and Home Health
Pharmacy
Physicians and Surgeons
Production and Manufacturing
Project Management
Retail
Sales
Security and Public Safety
Software Development
Sports
Therapy
Veterinary
Loading and Stocking
Banking and Finance
Arts and Entertainment
Project Management
Architecture
Legal
Administrative
Accounting
Sports
Media and Communications
IT Operations and Helpdesk
Therapy
Mathematics
Insurance
Personal Care and Home Health
Installation and Maintenance
Production and Manufacturing
Information Design and Documentation
Marketing
Industrial Engineering
Construction
Sales
Community and Social Service
Cleaning and Sanitation
Nursing
Human Resources
Civil Engineering
Management
Scientific Research and Development
Hospitality and Tourism
Software Development
Food Preparation and Service
Logistic Support
Electrical Engineering
Medical Technician
Physicians and Surgeons
Education and Instruction
Security and Public Safety
Driving
Medical Information
Retail
Dental
Pharmacy
Customer Service
Veterinary
0.0895
10.4%
Scientific Research & Development
Potential jobs include
- IT Support - AI Products
- Database Administrator
Potential jobs include
- Marketing Manager: Data & AI
- AI Content Marketing Expert
Accounting
Administrative
Architecture
Arts and Entertainment
Banking and Finance
Beauty and Wellness
Childcare
Civil Engineering
Cleaning and Sanitation
Community and Social Service
Construction
Customer Service
Dental
Driving
Education and Instruction
Electrical Engineering
Food Preparation and Service
Hospitality and Tourism
Human Resources
Industrial Engineering
Information Design and Documentation
Installation and Maintenance
Insurance
IT Operations and Helpdesk
Legal
Loading and Stocking
Logistic Support
Management
Marketing
Mathematics
Media and Communications
Medical Information
Medical Technician
Nursing
Personal Care and Home Health
Pharmacy
Physicians and Surgeons
Production and Manufacturing
Project Management
Retail
Sales
Scientific Research and Development
Security and Public Safety
Software Development
Sports
Therapy
Veterinary
9.4%
0.0654
Industrial Engineering
Potential jobs include
- Research Engineer: Chip Design
- AI Hardware Engineer
Hiring practices in some HR departments have become more rigid with time-pressed recruiters looking for candidates to check certain boxes — paying close attention to external certifications like degrees.
7.7%
IT Operations & Helpdesk
Potential jobs include
- Applied AI ML Director - Bank
- AI Deployment Strategist
7.2%
3.7%
Marketing
Potential jobs include
- AI Content Editor
- AI Proofreader
1.6%
2.4%
3.1%
3.0%
2.8%
3.3%
Fair
Poor
Poor
Poor
Poor
Poor
Poor
Poor
Poor
Poor
Poor
Poor
Fair
Fair
Fair
Poor
Poor
Poor
Poor
Fair
Fair
Fair
Poor
Fair
Poor
Poor
Fair
Fair
Poor
Poor
Poor
Fair
Fair
Fair
Fair
Poor
Fair
Fair
Poor
Fair
Poor
Poor
Poor
Poor
Poor
Fair
Poor
Fair
Poor
Fair
Poor
Fair
Poor
Fair
Fair
Poor
Fair
Poor
Poor
Fair
Poor
Poor
Fair
Fair
Fair
Poor
Good
Fair
Fair
Fair
Fair
Fair
Good
Fair
Fair
Good
Fair
Good
Good
Good
Fair
Good
Good
Good
Good
Good
Good
Good
Good
Fair
Good
Good
Good
Good
Good
Fair
Good
Good
Good
Good
Good
Fair
Good
Good
Good
Good
Fair
Fair
Good
Fair
Good
Good
Fair
Good
Good
Good
Good
Good
Good
Good
Good
Fair
Good
Good
Good
Good
Good
Good
Good
Good
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Excellent
Poor
Poor
Poor
Poor
Poor
0.0272
5.1%
Electrical Engineering
3.4%
2.7%
3.2%
4.2%
4.8%
6.5%
7.4%
8.2%
8.2%
8.9%
9.1%
10.2%
4.8%
3.9%
4.9%
13.6%
13.2%
14.4%
16.4%
10.7%
7.0%
17.1%
12.6%
10.6%
24.3%
24.5%
25.0%
7.9%
25.4%
10.1%
27.2%
9.3%
9.1%
14.0%
29.9%
10.1%
18.7%
18.0%
33.8%
33.4%
23.9%
34.8%
35.8%
37.1%
40.1%
25.8%
41.5%
42.3%
15.6%
14.9%
48.0%
19.8%
51.7%
17.6%
6.0%
55.2%
54.7%
29.2%
55.8%
56.7%
5.8%
57.7%
9.3%
14.5%
10.2%
67.1%
52.0%
3.2%
11.6%
8.0%
12.5%
14.9%
6.2%
12.8%
56.8%
7.5%
10.5%
60.8%
64.1%
12.5%
8.1%
5.3%
64.3%
5.2%
3.9%
4.2%
11.7%
4.2%
20.9%
39.3%
27.7%
25.6%
24.8%
24.1%
23.2%
22.5%
22.8%
20.9%
20.6%
20.1%
19.9%
19.1%
19.1%
19.3%
19.6%
19.0%
18.6%
18.5%
18.5%
18.1%
17.2%
17.6%
17.3%
16.5%
15.6%
15.8%
15.5%
15.5%
14.3%
14.3%
13.9%
14.0%
14.2%
13.3%
13.2%
12.6%
12.5%
12.9%
12.2%
11.5%
10.6%
10.3%
10.0%
7.3%
5.9%
3.8%
5.0%
6.9%
Fair
7.7%
10.4%
Fair
69.4%
66.2%
70.9%
82.1%
81.4%
88.0%
91.9%
68.5%
66.0%
67.6%
45.6%
46.4%
66.7%
47.7%
60.3%
74.4%
37.4%
44.7%
46.7%
46.7%
53.0%
39.8%
47.2%
60.6%
42.1%
38.5%
38.5%
40.6%
38.2%
22.4%
32.5%
36.1%
34.7%
37.8%
20.9%
20.5%
27.0%
25.1%
26.9%
26.4%
14.8%
Excellent
Poor
Poor
Poor
Poor
0.0092
0.0016
0.0016
0.0050
0.0024
0.0040
5.0%
Banking & Finance
4.8%
Media & Communications
0
20
40
60
80
100
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0%
5%
10%
15%
20%
25%
30%
35%
*How to read the chart: Economists at Indeed extracted the most common skills listed on job listings for positions in the selected job category. ChatGPT was then asked whether it could perform those tasks to a “Poor,” “Fair,” “Good,” or “Excellent,” standard.
Source: Indeed
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Prediction 2:
Work wellbeing will be a key
bottom-line strategy
Since 2019, Indeed has been asking employees at thousands of firms how they feel at work — specifically, how highly they rate their happiness, job satisfaction, stress, and sense of purpose in their day-to-day.
Indeed combines those four indicators to create a Work Wellbeing Score, rated out of five, which jobseekers can find on many Indeed company profile pages. This massive dataset has become the world’s largest study of work wellbeing.
Now, a groundbreaking collaboration between Indeed and the University of Oxford has produced The Work Wellbeing 100 — an index of the top 100 publicly traded companies ranked by their Work Wellbeing score.
Some of the research results may surprise readers. See if you can answer the questions below and discover why work wellbeing is so important.
100 public companies with the highest work wellbeing scores have outperformed the S&P500 by 11% since 2021.9
True
High-wellbeing workplaces outperformed the S&P500 over the last four years.
True
False
High-wellbeing workplaces outperformed the S&P 500 over the last four years.
True
False
When work wellbeing scores are available to candidates, application rates are significantly higher for employers with high scores.10
True
Workplaces with higher wellbeing scores tend to attract more candidates.
True
False
Work wellbeing is shown to be a strong predictor of employee performance regardless of the benefits to workplace harmony, particularly in tasks requiring social or emotional intelligence.11
False
Happy workers tend to get along better with other employees, which slightly lowers performance on specific tasks but increases morale overall.
False
True
It’s clear that high levels of work wellbeing benefit
companies just as much as they benefit workers.
The smartest organizations will make it a priority in 2025.
Prediction 3:
AI will have a big impact, but it will vary by industry
The rapid advancement of AI tools offers promising solutions to long-term labor supply challenges, with strong evidence showing their potential to boost individual worker productivity.
For example, Indeed’s Smart Sourcing adds the efficiency of AI to hiring talent sourcing. Rather than manually filtering through talent, Smart Sourcing’s algorithms help connect active candidates to recruiters’ open roles. They can also reach out to prospective hires with personalized messages, designed to increase the likelihood of a response.
Research shows that this technology can save hiring managers six hours per week.12 Adding the AI-driven list of potential talent provided by matched candidates means a hire is 19x more likely.13
Where are we now with AI?
When Indeed develops AI tools like Smart Sourcing, it focuses on making more time for decisions that benefit most from human expertise.
In the development pipeline is an
AI-powered talent scout that helps recruiters find job seekers that match the company’s long-term business priorities and align with their values.
This AI-powered talent scout that we’re envisioning is not some robot to replace humans.
It is all of you.
Think of this as a superhero suit that Indeed will build to put all the power of our data and AI at your fingertips; that empowers you to identify talent, to combat bias, to see the future of work. That’s what we believe the power of humanity and AI together can bring.
Chris Hyams
Indeed CEO
As of October 2024, just two in 1,000 jobs nationwide mentioned GenAI terms in the job posting — although the share is growing fast.14
Most of these job ads were concentrated in sectors with a reputation for quickly adopting new technologies like software development and mathematics.15 Many sectors could benefit through Indeed, as recruiters do, but barriers such as training costs and lack of knowledge stand in the way.16
One of these is the fear of AI replacing human workers — but these worries are likely misplaced. Indeed evaluated 2,800 skills used at work and found not a single one was very likely to be replaced by the current generation of AI models.
There are some big changes ahead, but the principles
of great hiring have not really changed.
Look for people with the
right skillsets rather than
the right qualifications.
Make happy workers the best advertisement for joining a company.
Be clear and open
with potential talent.
Indeed’s new features have made it easier than ever to achieve these goals. With technology that transforms and improves recruiting for everyone,
the human touch will remain the surest strategy for success in 2025.
Better work begins with better hiring.
1. OECD GDP growth remains stable in the third quarter of 2024, OECD, November 2024
2. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024
3. Consumer Spending, Bureau of Economic Analysis, accessed November 2024
4. Employment Cost Index – September 2024, Bureau of Labor Statistics, October 2024
5. Salary Transparency: Growth Slows, but Momentum Continues, Indeed, October 2024
6. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024
7. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024
8. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024
9. Global Work Wellbeing Report 2024, Indeed, September 2024
10. 2022 research by Dr George Ward cited during The Business Case for Work Wellbeing, Jan-Emmanuel De Neve, Professor of Economics and Director, Wellbeing Research Centre, The University of Oxford – Indeed FutureWorks 2024
11. The Business Case for Work Wellbeing, Jan-Emmanuel De Neve, Professor of Economics and Director, Wellbeing Research Centre, The University of Oxford – Indeed FutureWorks 2024
12. Better Work Begins with Better Hiring, Raj Mukherjee, Executive Vice President of Marketplace Product & UX, Indeed – Indeed FutureWorks 2024
13. The World Can Work Better, Chris Hyams, CEO, Indeed – Indeed FutureWorks 2024
14. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024
15. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024
16. Indeed’s 2025 US Jobs & Hiring Trends Report: What to Expect When You’re Expecting a Soft Landing, Indeed, December 2024