Struggles persist for employers in recruiting competent mid-level professionals, as 58% of them now report increased difficulty in the hiring process
In the current job market, organisations are facing increased competition and costs for mid-level talent. This is due to a decline in the number of professionals entering the workforce at the early career stage, leading to a gap for entry-level professionals [1]. Roles advertised for recent graduates this year represent a 7-year low, and in 2020, graduate vacancies were cut by approximately 15% compared to 2019 levels [2].
The focus on mid-level hiring is shifting towards precision and resilience, with a move away from rapid headcount expansion. Startups and companies are seeking hires that can deliver outsized impact and strong return on investment. Hiring processes increasingly rely on AI-powered recruiting tools to automate sourcing, screening, and scheduling, reducing time-to-fill and recruiter workload [1]. However, human judgment remains vital in evaluating soft skills and fit.
Wage inflation pressures persist, but the cautious approach to hiring after recent volatility has led companies to be more disciplined about compensation and stability [1]. From 2022 to 2024, wages for mid-level positions rose by +8% compared to the pre-pandemic period of 2017 to 2019 [2].
For entry-level positions, the impact of AI and automation is significant and evolving. AI-driven workflows and automation reduce administrative tasks and enhance productivity, but there is growing concern over fairness, bias, and transparency in AI recruitment tools [2][3]. Regulatory frameworks like the EEOC guidelines and Illinois’s AI Video Interview Act aim to ensure ethical AI use. Entry-level roles that involve routine, automatable tasks are under pressure, pushing companies to look for candidates with practical skills, project-based experience, and adaptability to increasingly tech-driven environments [3].
The sustained decline in graduate and entry-level recruitment is contributing to hiring challenges. Over two-fifths (42%) of entry-level professionals feel they need to upskill due to the impact of AI [1]. Adopting a holistic approach that prioritizes long-term workforce development, targeted upskilling, and the application of AI alongside human insights can help employers avoid past mistakes and nurture a talent pool for the future [4].
The current trends signal a workforce that values flexibility, impact, ethics, and skill-based hiring more than sheer headcount or rapid growth. However, businesses are losing a key stage in how they build their teams by cutting entry-level roles, which could lead to the UK falling behind in developing sectors like green energy and advanced technology [5].
Entry-level jobs have dropped again, by almost a third since the launch of ChatGPT in 2022. Average salaries for these roles rose by over 10% as demand increased [6]. A quarter of UK business leaders are paying a premium for mid-level talent, with positions within accountancy, technology, legal services, and engineering noting the biggest surges in average salaries for roles such as Finance Managers, In-House Lawyers (5-10 years PQE), and Cyber Security Managers [7].
Chris Eldridge, CEO of Robert Walters UK&I, comments that the sharp rise in mid-level salaries in 2022 was the result of a perfect storm during the pandemic [8]. Wages for intermediate positions experienced their highest growth in 2022, reaching a six-year peak with a +5% year-on-year increase [2].
In conclusion, the future health of the labour market requires careful foresight and planning, not just relying on emerging technologies for a single solution. The current trends in mid-level talent hiring emphasize precision and strategic hiring, with a focus on AI as a facilitator, wage inflation moderated by cautious hiring, and AI/automation increasingly reshaping entry-level roles by automating routine tasks but also raising the need for new skills and disciplined regulatory compliance.
References: [1] https://www.bbc.co.uk/news/business-63030675 [2] https://www.personneltoday.com/hr/mid-level-salaries-rise-by-8-in-2022/ [3] https://www.personneltoday.com/hr/hr-professionals-in-demand-as-companies-navigate-ai-ethics-and-compliance/ [4] https://www.personneltoday.com/hr/uk-companies-need-to-prioritise-long-term-workforce-development/ [5] https://www.personneltoday.com/hr/uk-risks-falling-behind-in-green-energy-and-advanced-technology-skills/ [6] https://www.personneltoday.com/hr/entry-level-jobs-drop-again-as-average-salaries-rise/ [7] https://www.personneltoday.com/hr/a-quarter-of-uk-business-leaders-are-paying-a-premium-for-mid-level-talent/ [8] https://www.personneltoday.com/hr/mid-level-salaries-rise-by-8-in-2022/
- To navigate these shifting trends in the job market, businesses might consider focusing on education-and-self-development for entry-level professionals to prepare them with the necessary skills for the increasingly tech-driven environments.
- As mid-level positions are becoming more competitive and requiring precision hiring, it's crucial for companies to invest in finance to manage compensation and stability, ensuring they can attract talent that will deliver outsized impact and strong return on investment.
