As 2025 approaches, Australia’s job market is set to be impacted by a number of key trends. Factors such as changes in the global economy, leadership changes (like we have recently witnessed with the US election), shifting Jobseeker expectations, and technological innovation all impact the jobs market. We have unpacked some of the key trends and what these mean for both Jobseekers and Employers:

Rising Demand for Key Skills

Certain industries are set to dominate job growth. The US National Skills Commission predicts that healthcare, education, professional services and accommodation sectors will contribute over 65% of total employment growth. Additionally, more than 90% of new roles will require post-secondary education, illustrating the need for upskilling and ongoing learning.

Employers are focusing on “power skills” (soft skills) such as adaptability, problem-solving, and leadership. These skills are more difficult to assess, but are critical to building strong teams, fostering collaboration, and driving long-term success in any workplace.

The Tech Factor

We know that AI and machine learning is being used increasingly in business. By 2027, AI and automation are expected to handle up to 42% of tasks. 

While some manual jobs might be lost to AI during this time, there will be an increase of job creation in roles relating to data science, cybersecurity and AI development. Australian businesses have an opportunity to attract global talent impacted by international tech layoffs.

For Jobseekers, understanding how to positively impact technological advancements with human-centric skills will be a big advantage.

Hybrid Work is Here to Stay

The demand for hybrid work environments remains strong, despite the fact that many businesses (Amazon and NSW Government being key examples) are focusing on return to office mandates for their employees. How this will impact retention and talent attraction remains to be seen. With employees now understanding the value of hybrid working, there is likely to be a gap between workforce preferences and employer offerings.

To attract top talent, employers must focus on flexibility – not just in location but in work schedules and contracts. On top of this, short-term and part-time roles are becoming a strategic solution for businesses navigating economic uncertainties.

Economic and Workforce Trends

While Australia’s unemployment rate remains low, economic uncertainties mean businesses must be cautious. Companies are balancing hiring with ‘right-sizing’ strategies, focusing on filling critical vacancies rather than creating new roles. Many teams are managing additional workload when there are vacancies, but responsibility is usually spread throughout the team.

Preparing for 2025

Employers and Jobseekers must stay agile to thrive in 2025. For businesses, this means embracing technology, making employee well-being a focus and offering flexible roles. For professionals, continuous learning and adapting to new workforce demands will be key.

At Flexi Personnel, we are here to help businesses and individuals navigate these changes. Whether you’re looking to future-proof your team or your career, we provide expert guidance tailored to Australia’s evolving job market.