- What is the meaning of “employment trends?”
- What are 5 current employment trends?
- Trend #1: The need for tech skill development
- Trend #2: The growth of AI in the workplace
- Trend #3: Aligning technology with human-focused management
- Trend #4: Mainstreaming the gig economy
- Trend #5: Supporting employee work-life balance and mental health
- What are future employment trends?
- Key takeaways
The future of the workforce is changing every year, and it’s important for workers to stay informed. We’ve looked into our “crystal ball” and identified the top employment trends for 2025 that you need to know to stay current and informed.
Recovery from the global COVID-19 pandemic and shifting technological trends continue to have a profound influence on the workforce. Government priorities have also shifted the balance dynamic in the workplace (and will likely continue to do so).
But by following current employment trends in 2025 and beyond, companies will be better able to support initiatives that foster creativity and growth, incorporate technology, and focus on employee well-being, giving them the best chance to thrive in an ever-shifting global economy.
What is the meaning of “employment trends?”
We hear the term “employment trends” bandied about in social media and the news, but what does it actually mean? An “employment trend,” according to Science Direct, “refers to the patterns and changes in the job market over time, including factors such as job creation, job types, and workforce demographics.” Simply put, it refers to shifts in the job market, including job availability, demand for particular skills, and overall economic conditions, over a period of time.
There are several factors that affect employment trends, including:
Demographic shifts. Changes to the overall population of a state or country can affect the number or types of jobs available (e.g., a large number of older workers leaving the workforce).
Economic growth. This includes wages and salaries, job creation (or layoffs), and the demand for goods and services.
Education and skills. An educated and skilled workforce leads to increased productivity and competitiveness to attract more businesses and job opportunities.
Advancements in technology. This can lead to both job loss and creation due to automation and an increased need for tech skills.
Government policies. These policies, including tax incentives, investment in infrastructure, and investment in workforce training and development, can lead to more job opportunities.
Expert Tip
Are employment figures going up or down?
As of December 2024, the unemployment rate was 4.1%, which had changed little over the previous seven months. The labor force participation rate was 62.5%, which also hadn’t changed much over 2024. Additionally, the U.S. economy added 250,000 jobs in December 2024.
This means that things are stable, according to Rob Haworth, senior investment strategy director for U.S. Bank Asset Management. As Haworth says, “The labor market looks set to continue on a positive path…we’re not seeing companies let go of many people and job openings continue to outpace the number of unemployed people.”
That said, given the recent change of administration in the U.S., employment figures could be in flux. This is why it’s important to stay current on economic news and policy changes.
What are 5 current employment trends?
As it has been in the past, attracting and retaining top talent will be a priority for most industries in the U.S. This has been a continuing challenge due to several factors, such as the influence of Generation Z in the workplace, the current government’s discouragement of DEI policies, and possible future economic uncertainties.
Given all of that, here are five emerging employment trends in 2025 that look to have great influence on the U.S. workforce.
Trend #1: The need for tech skill development
There’s no doubt that technology has had a significant impact on the workplace over the last 20 years, and there are no signs of this slowing down. With the advancement of artificial intelligence (AI) and task automation, it is more important than ever to have a tech-savvy workforce.
Unfortunately, this does mean that some jobs will be replaced by AI. But, at the same time, even more roles will be created that require cutting-edge skills and knowledge. Now more than ever, workers will be required to learn new skills to meet the needs of the changing landscape or risk becoming obsolete.
Trend #2: The growth of AI in the workplace
Tied in with the need for tech-related upskilling, the growth of AI and other automation will require businesses to change the way they operate in the global economy. While it’s true that some roles are becoming obsolete, the use of AI is also enhancing the way many workers perform their jobs, leading to increased productivity and growth.
Far from becoming automatons themselves, the integration of AI will free workers from rote tasks and encourage them to further develop their creative skills, emotional intelligence, cognition, and interpersonal communication.
Trend #3: Aligning technology with human-focused management
Managers in the workplace will need to be careful not to let AI take over the way they do business, like a workplace HAL 9000 from the film “2001: A Space Odyssey.” Successful managers will be people-focused, rather than task-focused, supporting the building of strong interpersonal relationships on their teams and throughout the organization.
At the same time, organizations need to acknowledge that many workers (especially Gen Z) favor AI-based performance evaluations over the traditional process, viewing it as less biased. Management may also face a greater challenge with identifying true skill sets in their workforce, and separating it from AI-supported productivity.
2025 will see all facets of business management working towards greater balance between the human touch and technology-enhanced output.
Trend #4: Mainstreaming the gig economy
The pandemic of the early 2020s saw an increase in freelance and gig-based employment, as businesses saw a decrease in profitability and an increase in layoffs of full-time workers. In 2025, this gig economy will continue to grow beyond rideshares and food delivery to include highly skilled workers in tech, healthcare, and creative fields who are looking for competitive pay and flexible work arrangements.
This ever-evolving work environment will require many companies to continue supporting remote or hybrid work options and be prepared to offer competitive pay to attract this top talent in their field.
Trend #5: Supporting employee work-life balance and mental health
For the past few years, companies have come to realize the importance of employee well-being as it relates to productivity, and this trend appears to be continuing in 2025. While many U.S. workers (and their employers) still seem to prioritize being “always available,” studies show that this mindset isn’t sustainable and may lead to decreased productivity that can hurt the bottom line.
In fact, the World Health Organization (WHO) estimates that “12 billion working days are lost every year to depression and anxiety at a cost of US$ 1 trillion per year in lost productivity.”
To combat this, more and more employers are offering wellness and employee assistance programs (EAPs) and four-day work weeks to combat this growing sense of isolation, stress, and overwork. This will also help them to attract and retain top talent, as fewer workers seem satisfied with just working for a salary and want to feel more valued, heard, and supported in their work.
There is also a growing shift of management adjusting their approach towards employees, as they look to reduce burnout and prioritize the mental well-being of their teams by regularly checking in with workers and promoting a healthy work-life balance.
Statistical Insight
Despite current uncertainty, talent recruitment will still be a top priority for most businesses in 2025, with 50% planning to hire more full-time employees and 85% expecting higher revenues over the next 12 months, according to Paychex's 2025 Priorities for Business Leaders study.
What are future employment trends?
According to the World Economic Forum (WEF), which delves into the future of the global work environment over the next five years, “About 170 million new jobs will be created by global macro trends this decade.” This translates to 14% of today's employment!
This means that, despite the 92 million job roles that will be eliminated by these trends, there will still be a net employment increase of 78 million jobs. So what does that mean for workers today?
According to the report compiled by the WEF, the top five jobs of the future include:
Farmworkers (due to the efforts to combat climate change)
Delivery drivers
Software developers
Building construction workers
Retail salespeople
Care jobs—such as nurses, social workers, and counselors—are also a top growing profession, according to the report, due to a large aging population.
The WEF’s Future of Jobs report also states that “30% of key skills required in the job market will change by 2030” with a focus on continuous learning, upskilling, and reskilling programs.
The top needed skills of the next five years will include:
Technology skills, including AI, networks, cybersecurity, and tech literacy
Resilience, curiosity, and flexibility
Leadership, talent management, and social influence
Environmental stewardship
The bottom line is that tech integration in the workforce is here to stay, and employment trends in 2025 and beyond will be focused on the best ways to keep the workforce skilled and engaged, as well as balance tech, AI, and human ingenuity.
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Key takeaways
An “employment trend” refers to the patterns and changes in the job market over time, including factors such as job creation, job types, and workforce demographics.
Several factors affect employment trends, including demographic shifts, economic growth, education and skills, advancements in technology, and government policies.
Employment trends for 2025 include continued education and skill development, the growth of AI, human-focused management, mainstreaming the gig economy, and supporting work-life balance.
