How job seekers can stand out in a hiring slump

A cooling the labor marketcharacterized by bare rent and anemic job creationAccording to economists, it will be difficult for job seekers to find a job in 2025.

“It’s fair to say that 2025 is a hiring recession in the United States,” Heather Long, chief economist at Navy Federal Credit Union, wrote in a note Friday. The recession is affecting both blue- and white-collar workers, he wrote.

US employers added 584,000 jobs last year, according to a report from the Bureau of Labor Statistics released on Friday. According to Long, it was the worst year for overall job growth since the 2003 recession. There have been fewer jobs since April, meaning most of the gains came early in the year, he wrote.

Much of the hiring is also concentrated in the health care sector, making it difficult for workers to participate in the broader labor market, economists say.

“Healthcare will account for nearly 69% of all job growth in 2025,” Nicole Bachaud, a labor economist at career site ZipRecruiter, wrote Friday. “Relying on one industry to optimize job growth opens up an unstable foundation in the game to 2026.”

Long-term unemployment has also increased. In December, 26% of all unemployed people had been out of work for at least six months highest share As of February 2022, according to the BLS.

This means that “unemployment is becoming more permanent than temporary,” Basho said.

On Wednesday, the Bureau of Labor Statistics reported the hiring rate decreased by 3.2% in November. This is one of the lowest figures since 2013 Long.

In general, the current state of the labor market indicates a sharp change to the booming market in 2021 and 2022.

At that time “great resignation» job openings were at record levels, wage growth was the highest in decades, and workers were able to leave their jobs in droves for better jobs.

Economists have called this labor market, in which workers have significant leverage, unsustainable in the long run.

The Federal Reserve has raised interest rates to help cool the labor market and curb inflation, which is expected to reach its highest level in nearly four decades in 2022.

In addition, several factors have contributed to the anemic hiring environment, Long wrote: economic policies such as tariffs, business uncertainty, over-hiring in recent years and a reluctance to hire more workers until the use case for artificial intelligence is clear.

While the hiring slump may continue into the first half of 2026, the second half should be good for job seekers as tax reductionlower interest rates and a clearer rate picture, Long wrote.

According to job experts, there are ways job seekers can improve their chances of landing a new position, even in a recruiting environment.

1. Highlight your skills and use AI to help

Employers and recruiters have gradually moved to what’s known as “skills-based hiring,” meaning they prioritize a candidate’s skills and experience over education, says ZipRecruiter career expert Sam DeMas.

ZipRecruiter data shows that 88% of entry-level jobs omit degree requirements in their job descriptions, and about 70% of recent hires have less than a bachelor’s degree, DeMase said.

“Most employers want to hire people who can work right away,” he said.

Job seekers should make sure there’s a “strong” match between the job description and the experience and skill sets described in their resumes and cover letters, DeMase said.

It helps candidates stand out from recruiters and wade through automated applicant tracking systems that employers increasingly rely on to sort through applications, he said.

DeMase provided an example of what candidates can write to demonstrate their value proposition: “I’ve helped companies achieve Y by using my background in X.” For example: “Using my background in digital marketing and extensive experience in data analysis and content planning, I’ve helped companies create innovative campaigns that attract and delight the perfect audience and generate revenue.”

Generic skills statements like “I have good people skills and attention to detail” won’t work well in 2026, he said.

Priya Rathod, workplace career expert at Indeed, suggests using artificial intelligence to match keywords in job descriptions to words on your resume. This will help candidates get through the first round of CV screening, he said.

2. Growing target job sectors

For job seekers, it’s important to meet the employer’s requirements, Rathod said.

Workers should target certain growing areas of the labor market, including health care, skilled trades, infrastructure and income-critical jobs, especially in technology, he said.

“Getting a job in 2026 is not necessarily about applying everywhere,” Rathod said. “It’s really about matching your skills and where exactly employers are investing.”

For example, a worker with sales experience may not have specific experience in health care sales, but they can demonstrate sales skills in an application, Rathod said.

Think about transferable skills and work to upgrade your skills through additional credentials, licenses or certifications to fill any gaps, she said.

3. Networking is your friend

Don’t overlook network value, Rathod said.

Whether a person has a job, is unemployed, or has a part-time job and is looking for a full-time job, “networking will always be one of your best friends,” he said.

This can take several forms: Communication with industrial and public organizationsand chatting with friends and colleagues in person or online, he said.

4. Ignore the one-page resume.

DeMase provides some nuts-and-bolts formatting instructions to further assist the applicant through surveillance system firewalls.

For example, a resume should be in a one-column format with clearly defined sections, including subject, about me, accomplishments, work experience, experience and education, if applicable, he said.

A resume does not need to be limited to one page.

“There’s a myth about the one-page resume,” he said. “Don’t sacrifice experience to shorten your resume.”

Resumes are two pages long for those with five to 10 years of experience, and three pages long for those with more than 10 years of experience, DeMase said. These are not hard and fast rules and may vary by industry.