Hiring, job openings and turnover decreased in December, with hiring reaching its lowest point in five years both in the U.S. and globally, according to a new report from BambooHR.
Across industries, hiring decreased to 1.9% in the U.S. and 1.7% globally, the report found. Turnover dropped to 2020 levels.
Based on BambooHR’s platform data, performance reviews spiked as the year ended, marking a 14% month-over-month increase and 11% year-over-year increase in the U.S.
“This surge indicates organizations are dedicated to assessing and enhancing performance as they prepare for the new year,” according to the report.
In the U.S., hiring decreased by 12% month-over-month and 8% year-over-year, and globally, hiring decreased by 22% month-over-month and 10% year-over-year.
Similarly, job openings decreased by 13% month-over-month and 21% year-over-year in the U.S. and declined 10% month-over-month and 22% year-over-year globally.
Economists are still determining whether 2025 could bring a “soft landing” for the job market, based on December jobs data and other typical indicators. Upcoming shifts will likely depend on new policies enacted by the Trump administration, experts told HR Dive.
Job seekers feel split over the 2025 labor market as well, according to an Express Employment Professionals report. While half feel optimistic about finding a job, the other half anticipate difficulties, including major barriers such as a lack of the right skills.
With ongoing market uncertainty, the war for talent will continue, HR pros told HR Dive. Employers can prioritize internal advancement and leadership development and use AI-based tools to improve talent sourcing.
