Skills-based hiring is on the rise as organisations are thinking differently about recruiting a broader, more diverse range of talent more cost effectively – and, in the current environment, it makes perfect sense.

As talent researchers, we are always on top of the latest employment and recruitment trends. While some are fads that aren’t strategic, others reflect a move towards the future of people management.

Skills-based hiring is on the rise as organisations are thinking differently about recruiting a broader, more diverse range of talent more cost effectively – and, in the current environment, it makes perfect sense.

So, what is skills-based hiring?

In simple terms, instead of focusing on candidates’ CVs to match their experience and qualifications to a specific job role, employers are becoming more interested in looking for people with relevant skills sets. This is essentially a form of talent pooling (something we have been doing for clients for years) which takes a longer-term approach to workforce planning.

Employers in sectors where there is a talent shortage can use skills-based hiring to identify transferable skill sets from other fields, widening their potential talent pool and providing the opportunity to bring in fresh perspectives and ideas from other industries. This not only helps to fill vacancies but also fuels innovation.

For example, while sector knowledge is important in sales roles, it’s the sales skills that really matter; the understanding of the products, services and target audiences can be learnt on the job.

At Luminos, we’re pleased to see skills-based hiring on the agenda for 2024 because it aligns so well with our ethos and services. We are all about using talent insight and acquisition strategies as an alternative to outdated recruitment techniques to solve organisations people problems in a challenging employment market – and skill-based hiring is a key component of this.

Recruitment should be about so much more than filling vacancies. Organisations that really want to grow, innovate and succeed must think outside the box when it comes to building high performing teams. Talented people with the right skills, aptitudes and values can be overlooked when job roles and requirements are too regimented and this leaves many employers struggling to recruit.

Want to have a chat about how skills-based hiring could work for your organisation as part of a more holistic talent acquisition strategy?

Get in touch.