Talent Trends Report - October 2025
October Talent Trends Report: From Caution to Capability
The latest REC/KPMG UK Report on Jobs shows the hiring market may finally be finding its balance.
After months of slowdown, the sharpest declines in recruitment appear to be over. Permanent placements are still subdued, but the rate of contraction has eased, and temporary hiring remains stable in key regions, signs that we may be entering a new phase of stabilisation rather than stagnation.
For business leaders, this isn’t just another data point. It’s a signal that agility is becoming the new advantage. The organisations that use this steadier period to strengthen workforce plans, streamline hiring processes and build flexible, on-demand talent models will be ready to move fast when confidence returns.
The latest REC/KPMG UK Report on Jobs shows the hiring market may finally be finding its balance.
After months of slowdown, the sharpest declines in recruitment appear to be over. Permanent placements are still subdued, but the rate of contraction has eased, and temporary hiring remains stable in key regions, signs that we may be entering a new phase of stabilisation rather than stagnation.
For business leaders, this isn’t just another data point. It’s a signal that agility is becoming the new advantage. The organisations that use this steadier period to strengthen workforce plans, streamline hiring processes and build flexible, on-demand talent models will be ready to move fast when confidence returns.
What’s shifting in the market
Signs of stability: The pace of decline in permanent hiring is at its weakest in a year - a potential turning point.
Wider talent pools: Candidate availability remains high, creating rare access to experienced professionals.
Cooling pay pressure: Salary growth has slowed, giving businesses a short-term cost advantage.
Flexibility still winning: Temporary hiring remains resilient as organisations lean on adaptable workforce models.
Why this matters
This is a market for the prepared, not the passive. Delaying action until the upturn is obvious means facing higher costs, tighter competition, and reactive decision-making. Those who act now, by mapping critical roles, simplifying hiring cycles and investing in agile talent solutions, will be the ones leading when the market accelerates.
Read the full report
The October Talent Trends Report unpacks the latest data, explores the business implications, and outlines how flexible, on-demand hiring models are reshaping workforce strategy.
About the Report
The October Talent Trends Report combines REC/KPMG market intelligence with Vermelo’s expertise across insurance, financial, professional and technical markets to provide an informed, forward-looking view of the hiring landscape.
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About the report: The October Talent Trends Report combines REC/KPMG market intelligence with Vermelo’s expertise across insurance, financial, professional and technical markets to provide an informed, forward-looking view of the hiring landscape.