Job seekers today are navigating a complex landscape where, despite a robust overall employment market, securing a new position remains a challenge, according to economic analysts.
In April, unemployment figures were relatively low at 4.2%, while job growth surpassed expectations. The rate of layoffs is at a historic low, indicating that those currently employed are largely retaining their jobs.
However, many are finding it increasingly difficult to gain employment.
The current pace of hiring has slowed to its lowest level since 2014. Approximately 23.5% of unemployed individuals are facing long-term joblessness, a significant increase from 19.6% just a year prior.
Cory Stahle, an economist at the Indeed Hiring Lab, described the situation as a “low firing, low hiring trend” in a recent analysis.
The job market is experiencing a “growing divide” between employed individuals and those seeking work, according to Stahle.
This shift in market dynamics can be disorienting for job seekers, especially when contrasted with the period of abundant job openings and high turnover rates in previous years.
“This is just how it is right now: Companies are not hiring,” stated Mandi Woodruff-Santos, a career coach and personal finance expert. “If they are, it’s very infrequent.”
Economic challenges, including trade disputes and declining consumer confidence, may further complicate the job search in the near future, economists warn.
“The market won’t be immune to the effects of decreasing business and consumer confidence indefinitely,” Stahle noted.
Strategies for Job Seekers in a Competitive Market
“As the market shifts, so too should your job search tactics,” advised Jennifer Herrity, a career trends expert at Indeed, in an email communication.
1. Innovate Your Networking Approach
Experts indicate that tapping into personal connections will be crucial for job seekers now more than ever.
Since many job openings are filled through referrals or internal candidates, individuals must think “creatively” and “strategically” about networking opportunities, according to Woodruff-Santos.
“Rather than waiting for your resume to catch someone’s eye, you need to be proactive: Put yourself in front of decision-makers,” she emphasized.
Establishing genuine human connections can provide an edge, she added.
More from Personal Finance:
Prices are declining on some items, but those changes may not be lasting
The Social Security card will soon be available in digital form
Defaulting on student loans significantly affects credit scores
Woodruff-Santos advises seeking unconventional networking events beyond typical job fairs. Consider attending conferences, seminars, or book signings related to your field. For instance, if you work in IT and a book is released about AI security, attending its launch could connect you with industry professionals.
Additionally, reconnecting with former colleagues ahead of potential job openings can enhance visibility to hiring managers, noted Herrity.
2. Explore Internal Opportunities
Employees who feel unfulfilled in their current roles may be overlooking the potential for advancement within their own organization.
“Though it may seem like external hiring is slowing down, opportunities often exist internally,” Frances Weir, a principal at the consulting firm Korn Ferry, observed in a March briefing.
However, employees should remain strategic about their applications—applying to multiple positions at once or seeking a new role shortly after starting in their current one might not be advisable.
3. Tailor Your Applications
“In a competitive market, generic resumes won’t catch the attention of employers,” Herrity cautioned. “Ensure your resume and cover letters are customized for each position while mirroring the job description’s keywords and illustrating how your skills align with the employer’s requirements.”
Applicants should focus on achievements rather than duties when sharing their experiences, as demonstrating quantifiable results showcases their capabilities.
4. Pursue Skill Development
“Hiring managers appreciate candidates who use slow periods to enhance their skills,” Herrity noted. “This is particularly critical for those facing prolonged unemployment who may find themselves lacking in competencies.”
She recommends engaging in free or low-cost courses in relevant fields, which not only fill skill gaps but also indicate drive and self-motivation.
Recent certifications or completed courses should be prominently listed in the “education” or “skills” sections of resumes, she added.
5. Stay Open-Minded
While pursuing your ideal job, being open to contract positions, hybrid roles, or related industries could prove beneficial, according to Herrity.
“Short-term roles can offer valuable opportunities for networking and skill development, setting you up to jump into a full-time position when it becomes available,” she advised.
