Hiring Optimism Wavers as Companies Brace for Challenges

Category: Federal & State Compliance

Written by Jessica Burns on Dec 3, 2025

Hiring optimism is showing signs of strain across North America, according to a recent Express Employment Professionals-Harris Poll survey. While most hiring managers view the current climate as an employer’s market, declining confidence and reduced plans to hire suggest that optimism is wavering.

Uncertainty on American Hiring Managers’ Minds

Seventy-eight percent of hiring managers feel positive about their company’s hiring outlook this year, down from 84% toward the end of 2024. The majority (68%) say it’s an employer’s market, yet reports of decreasing positivity and fewer plans to hire signal that optimism is wavering.

Currently, 37% of hiring managers feel negatively about their hiring outlook, and 58% of companies plan to increase the number of employees in the remainder of the year, down from 63% toward the end of 2024.

As uncertainty weighs on hiring managers’ minds, 91% still expect to face hiring challenges this year.

Top 3 Challenges for U.S. Companies

  • Finding qualified candidates: 46%
  • Implementing/identifying ways to utilize AI in hiring: 33%
  • Difficulty planning labor needs*: 33%

*i.e., due to concerns of a recession or economic downturn and/or changes in government policies

Meanwhile, Canada Companies Face Similar Challenges

Down from 71% toward the end of 2024, 69% of hiring managers feel positive about their company’s hiring outlook this year. Sixty-four percent say it’s an employer’s market, but declining positivity and fewer plans to hire indicates optimism is decreasing.

Forty-six percent of hiring managers feel negatively about their hiring outlook. Only 43% of companies plan to increase the number of employees in the remainder of the year, versus 51% toward the end of 2024.

As uncertainty weighs on hiring managers’ minds, 90% still expect to face hiring challenges this year.

Top 3 Challenges for Canadian Companies

  • Finding qualified candidates: 48%
  • Difficulty planning labor needs*: 30%
  • Available talent pool not matching needs: 24%

*i.e., due to concerns of a recession or economic downturn and/or changes in government policies

Graphic with headline ‘Data-Driven Workforce Trends to Elevate Your Hiring Strategy – Fall 2025 Edition.’ Includes Job Insights and Express Employment Professionals logos. Illustration shows a person holding a briefcase and looking through binoculars while ascending steps inside a silhouette of a head, symbolizing strategic vision and workforce planning.

Discover more about current workforce trends, including AI for collaboration and job security fears, in the latest Job Insights report.

To track the latest workforce trends, The Harris Poll, on behalf of Express Employment Professionals, conducts a biannual Job Insights survey tracking employment and hiring trends across a wide range of industries.  

For the latest commentary on the state of employment in America, visit ExpressPros.com/AmericaEmployed, and for Canada, visit ExpressPros.ca/Newsroom.