As we enter 2025, hiring is noticeably cooler than it was in the red-hot days of 2021 and 2022. Hiring for knowledge-work roles, particularly in technology and financial services, is likely to continue to be sluggish until employer demand picks up again. But in other sectors, such as clerical and administrative work, hiring is holding steady or even picking up.

To avoid a hard landing, employment indicators like hiring and quit rates, unemployment and layoffs will need to stop falling and begin stabilizing or improving. Employer demand (job postings and hiring) and monthly payroll gains must also pick up. To do so, the pace of job growth will need to rise above the average clip of the past year.

The overall decline in job postings is broad-based, with the exception of healthcare categories. The largest declines in 2024 came from a handful of industries, including Pharmacy and Production & Manufacturing, where postings fell more than 20% year over year.

New York City continues to thrive as a global hub, drawing ambitious professionals seeking career advancement and professional challenges. However, the city’s talent marketplace is undergoing significant change as a result of technological advances, green initiatives, and fundamental shifts in work arrangements. These trends are reshaping the workforce and creating new opportunities for both employers and workers. The challenge for organizations is navigating these changes while maintaining a high level of candidate engagement. This requires a new approach to talent acquisition that focuses on employee advocacy and authentic storytelling as well as embracing flexible working practices.