The 3 Biggest Mistakes Companies Make in Today’s Hiring Climate

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The hiring climate isn’t universally difficult — but for certain industries like manufacturing, and for specific roles such as skilled labor, the challenges are growing more urgent by the day. According to a 2023 report from Deloitte and The Manufacturing Institute, the U.S. manufacturing sector could see 2.1 million unfilled jobs by 2030, driven by labor shortages, shifting skill requirements, and increasing retirement rates among experienced workers. This projected gap underscores the importance of evolving hiring strategies today — not tomorrow.

As demand for talent intensifies, employers are feeling the pressure and sometimes make short-sighted decisions in an attempt to fill roles quickly. While some of these decisions may be necessary (raising pay, expanding benefits), others may come back to haunt you in the form of high turnover, poor performance, or a damaged employer brand. Here are the three biggest hiring mistakes we see — and how to rethink them for long-term success.

Mistake #1: Lowering hiring standards instead of rethinking hiring requirements

Imagine this: A candidate with a strong résumé and relevant experience leaves the company after two months. Another hire, referred by a trusted employee, doesn’t last because they weren’t aligned with your culture. In both cases, you’re paying double to backfill the role — and you’re losing valuable time and productivity.

In a tight labor market, it’s easy to feel like you have to compromise. But there’s a difference between lowering your hiring standards and redefining the requirements that truly matter.

Too often, companies hyper-focus on résumé checkboxes and overlook core soft skills that signal a quality hire. In fact, a LinkedIn study found that 89% of bad hires are attributed to a lack of soft skills — not hard skills or technical expertise. Skills can be taught. Experience can be gained. But attributes like resilience, communication, and adaptability? Those are harder to develop post-hire.

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Mistake #2: Sacrificing the candidate experience

Candidate experience isn’t a luxury — it’s a competitive differentiator. In fact, 58% of job seekers have declined an offer due to a poor hiring experience, according to a recent CareerPlug study. And the ripple effects are real: 72% of candidates who had a bad experience shared it publicly via employer review sites, social media, or word of mouth, per a report from Human Resource Executive.

We often see candidate experience break down when recruiters are stretched too thin, hiring processes are inconsistent, or communication falls through the cracks. When that happens, top candidates disengage — or accept offers elsewhere.

Your hiring process sends a message about how your company treats people. A thoughtful, streamlined process communicates respect. A chaotic or disorganized one? That could be a dealbreaker.

Advanced RPO expert tips:

Mistake #3: Not leveraging data to make hiring decisions

Relying on gut instinct or outdated assumptions in this hiring climate is a recipe for inefficiency. Today’s hiring leaders need to be data-driven decision makers — and yet many organizations still fall short.

When used well, data can help you:

  • Understand pay competitiveness in your market
  • Identify bottlenecks in your hiring process
  • Predict where talent shortages may arise
  • Improve time-to-fill and retention rates

The right tools make it easier than ever to apply real-time insights to recruiting decisions. But having the tech isn’t enough — you need people who know how to use it effectively.

Advanced RPO expert tips:

Don’t let short-term pressure sabotage long-term hiring success

The labor market isn’t going to “go back to normal.” For industries like manufacturing — especially roles involving skilled labor — the hiring landscape will remain competitive for years to come. That’s why it’s critical to move from reactive hiring to strategic, future-focused recruiting.

If you’re struggling with unfilled roles, rising costs, or candidate disengagement, you’re not alone. We’d love to learn more about your challenges and share how Advanced RPO partners with organizations to build scalable, sustainable hiring strategies.

Contact us to start the conversation — and let’s secure the talent you need to move your business forward