If you’re interested in anything skills-based hiring-related – whether it’s rate of adoption, employee attitudes, or the benefits and impact of this hiring practice – then you’re in exactly the right place.
We collected responses from over 2,000 employers and employees to bring you The State of Skills-Based Hiring 2024; now, we’re bringing you 47 key skills-based hiring statistics.
Employers and skills-based hiring statistics
In 2024, the majority of employers have adopted some form of skills-based hiring. They perceive it as an effective hiring strategy, and they’re seeing measurable benefits. Here are 18 statistics on employer adoption, attitudes to, and benefits of skills-based hiring
Employer adoption of skills-based hiring
Globally, 81% of companies are using skills-based hiring in 2024.
This is compared to 73% in 2023 and 56% in 2022.
59% of those employers started using skills-based hiring in the last two years.
49% are using cognitive ability tests
49% are using role-specific tests
38% are using work sample assignments
42% are using preference tests
60% of companies expect their budget for skills-based hiring to increase in the next 12 months, and 35% say it will stay the same.
Employer attitudes to skills-based hiring
98% of employers believe skills-based hiring is more effective at identifying talented candidates than resumes
94% of employers believe that skills-based hiring is more predictive of on-the-job success than resumes
88% of employers believe that employees hired via skills-based hiring stay longer in their roles
56% said skills-based hiring helps them verify candidates' soft skills
54% said it helps them verify hard skills
53% said it helps them verify cognitive abilities
Benefits of skills-based hiring for employers
90% of employers using skills-based hiring reduced mis-hires
91% of employers using skills-based hiring boosted retention
81% of employers using skills-based hiring reduced their total time-to-hire
78% of employers using skills-based hiring reduced their total hiring costs
90% of employers using skills-based hiring improved workplace diversity
Skills-based hiring adoption rates statistics
Let’s dive a little deeper into the data on skills-based hiring adoption rates. Below are 10 statistics about skills-based hiring adoption rates divided by organization type, industry, and region.
By organization type
75% of remote organizations are using skills-based hiring, a decrease of 20% from last year
85% of hybrid organizations are using skills-based hiring, an increase of 21% from last year
70% of in-person organizations are using skills-based hiring, an increase of 13% from last year
Companies with between 501 and 1000 employees are using skills-based hiring the most in 2024 (88%)
By industry
The industries with the highest adoption rates of skills-based hiring are marketing (95%), scientific and technical services (89%), and construction (89%)
The industries with the lowest adoption rates are hotel and foods services (54%), wholesale (56%), and government and public institutions (61%)
By region
87% of US companies are using skills-based hiring, compared to 71% in 2023
80% of Canadian companies are using skills-based hiring, compared to 74% in 2023
84% of UK companies are using skills-based hiring, compared to 75% in 2023
94% of Latin American companies are using skills-based hiring, compared to 72% in 2023
91% of Australian companies are using skills-based hiring in 2024, compared to 90% in 2023
67% of French companies are using skills-based hiring in 2024
86% of Spanish companies are using skills-based hiring in 2024
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Employees and skills-based hiring statistics
Employees are incredibly supportive of the adoption of skills-based hiring practices; they perceive significant benefits and want to see adoption increase. Read key stats below!
Employee attitudes to skills-based hiring
90% of candidates agree that they’re more likely to secure their dream job with skills-based hiring
81% of employees say they have gained access to new employment opportunities through skills-based hiring. This is compared to 66% in 2023.
68% of employees say they prefer hiring processes that include skills-based assessments. This is compared to 56% in 2023.
15% prefer a hiring process without skills-based assessments.
56% of employees would like to see the adoption of skills-based hiring increase in the next 12 months
84% of employees feel that skills-based assessments help to reduce unconscious and/or conscious bias during the hiring process. This is up from 69% last year.
85% of employees agree that skills-based assessments help them better understand the specific job requirements of a role.
Of the 15% who prefer a hiring process that doesn't include skills-based assessments, 57% say it's because it makes them anxious, and 52% say it's because they end up taking tests that aren't relevant.
Skills-based hiring and diversity statistics
Diversity is an objective for the majority of employers and employees. Here are 5 statistics for skills-based hiring and diversity.
85% of employers report that diversity is an objective for them in 2024 (no change from 2023).
90% of employers using skills-based hiring reported an improvement in diversity, with 23% reporting a very large improvement
31% of employees say they have experienced and been negatively impacted by conscious and unconscious bias during the hiring process (an increase from 21% in 2023)
75% of Black employees gained access to employment opportunities through skills-based hiring in 2023
73% of Asian and Arab employees gained access to employment opportunities through skills-based hiring in 2023
The future of skills-based hiring statistics
60% of employers expect their budget for skills-based hiring to increase over the next 12 months. 35% say it will stay the same.
Only 5% of employers expect their skills-based hiring budget will decrease
58% of employers say they will use skills-based hiring more than they did in the last 12 months
Only 8% of employers say they will use skills-based hiring less often
68% of employees want to see the adoption of skills-based hiring methods increase in the next 12 months. This is up from 42% in 2023.
Only 7% of employees want to see skills-based hiring adoption decrease
For the rest of the story, read our report
So there you have it – all the skills-based hiring statistics you could possibly need. In case you do need more, check out our State of Skills-Based Hiring report for the rest of the skills-based hiring story. Alternatively, check out 17 essential resume statistics.
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