Employers Show Caution During the Holiday Hiring Season Despite Increased Job Openings
The latest report from iCIMS, a leading talent acquisition software company, sheds light on the current holiday hiring landscape as it impacts various industries, particularly retail and transportation. With the holiday season fast approaching, potential candidates are eagerly seeking job opportunities, but employers are displaying a notable level of caution regarding seasonal hiring practices. This attitude raises the question: will this cautious approach hinder the holiday hiring process or create new opportunities?
According to the iCIMS October 2025 Workforce Report, job openings overall have seen an encouraging rise of 9% since September 2024, with applications skyrocketing by 19%. Despite these promising figures, new hires have remained stagnant compared to the previous year, suggesting that employers are hesitant to commit fully to onboarding seasonal staff. This dual scenario of plentiful candidates and employer caution presents a unique challenge in an increasingly competitive job market.
Trent Cotton, the head of talent acquisition insights at iCIMS, emphasizes the importance of speed in converting applications into hires. 'Employers will need to prioritize faster conversion, not more sourcing, to win top talent this holiday season,' he states. With candidate supply considerably high, it becomes crucial for companies to streamline their hiring processes to capitalize on the growing applicant pool.
Retail Hiring Trends
The retail sector, often a bellwether for holiday hiring, has experienced a 15% increase in job openings and a 7% rise in hiring year-over-year as of September. However, the proportion of hiring activity has declined over three consecutive months, showing a 9% drop since July. Despite attracting a robust number of applications—up by 18%—the hiring limitations appear to be a reflection of employers' cautious stance as they prepare for their busiest season. Retailers should expect to face challenges due to the complexities involved in the hiring process and the increasing time taken to fill positions, which has risen to an average of 42 days.
Transportation Sector Gains Momentum
In contrast, the transportation sector is exhibiting a more positive trend. Job openings in this industry have increased by 19%, and hiring has also seen a 7% uptick, reaching a 13-month high in September. While activity has eased slightly since July, the interest in transportation roles remains strong, with applications rising by an impressive 26% year-over-year. Interestingly, this industry is managing to fill positions faster than retail, as their time to fill has decreased from 42 days to 38 days, indicating a more effective hiring strategy.
Demographic Shifts in Applicants
An intriguing trend noted in the report is the changing demographic of applicants. In retail, candidates aged 18-24 have decreased as a percentage of total applicants, dropping to 37% from 43% year-over-year. Conversely, the share of applicants in the 35-44 age range has increased from 12% to 16%. A similar pattern is observed in transportation where younger candidates have also diminished, likely affecting the dynamic of the workforce and emphasizing the need for flexible hiring strategies that appeal to a broader age range.
Danny Rojas, a senior manager of talent acquisition at The Container Store, shares insights on how organizations can overcome hiring hurdles: 'At The Container Store, we've worked hard to prove that hiring velocity and candidate quality can coexist. By simplifying our process and empowering leaders to move quickly, we’ve managed to reduce our time-to-hire to approximately 8 days while maintaining our cultural values.' This highlights the balance between maintaining hiring quality and ensuring a swift recruitment process.
Focus on Efficiency
As highlighted in the iCIMS 2025 State of Frontline Hiring Report, about 62% of frontline hiring managers cite the quality of candidates as their greatest challenge, particularly as they gear up for the holiday season. To address this, iCIMS has introduced Frontline AI, a cutting-edge hiring solution specifically designed to enhance the speed and efficiency of the hiring process for organizations that require high-volume hiring. This tool emphasizes a seamless application and onboarding journey that can uplift the overall candidate experience.
With the holiday hiring season quickly approaching, employers are advised to review their hiring methodologies, eliminate unnecessary obstacles, and adapt to the evolving trends indicated by data. With the right strategies in place, companies can navigate this season successfully—even amidst growing challenges. For those who wish to explore more about iCIMS and its insights, the report is available for download, and attendees can learn more at the upcoming UNLEASH World event in Paris on October 21-22, 2025, where iCIMS will present its innovative approach in redefining AI in hiring practices.