The myth of the candidate pool, and what it looks like now
It’s no secret that the recruitment market is always evolving and the competition for top talent is fierce. Over the past few years, we have experienced talent shortages across various industries.
Where there were once pools of candidates ready for the picking, now there are the few top candidates with 3 or 4 opportunities to choose from.
The market has shifted. But the way we source for talent has, in some ways, stayed the same.
Talent pools no longer exist in the same way they did before.
So how do we evolve our own hiring processes to accommodate this shift? Firstly, we must understand why this shift has occurred. Then we can adapt.
The 2025 talent market
We have written about the current state of the recruitment market already this year.
However, let’s take a deep dive into the talent market specifically.
With many candidates looking for a role you would be forgiven for thinking there is plenty of talent out there. And in short, there is! But the knock-on effect of border closures, the uncertainty of the market last year and the types of implementation projects that are happening across industries now, has resulted in a perfect storm where everyone wants the same few people.
In 2024, many implementation projects were on pause until confidence in the economy grew. Large scale hiring projects were exchanged for temporary hires that could be flexible with the business needs, if necessary.
In early 2025 we were all waiting to hear whether interest rates would be cut. And they were! This was the glimmer of confidence that everyone was waiting for, and businesses took this as a sign to push forward with projects that had been on their radar for a while.
With elections looming and talk of tariffs taking center stage, the market is still uncertain to some degree, however, there has been enough green shoots for many of our clients to go ahead with priority projects and hiring.
What the candidate pool looks like now
There are still many candidates looking for a role. Many of you will have experienced putting up a job advert only to receive 300+ applications.
And out of those 300+ applications to a single job advert, it is rare to find the right candidate as active candidates are generally the ones that aren't in demand. We are relying heavily on our networks and passive candidates who are open to moving for the "right" role.
The best talent out there doesn’t just have a number of opportunities at interview stage; they are actively being headhunted and approached with offers as well.
And the best recruiters are only working with clients they believe are the best to work for, with multiple opportunities available for top candidates, it is important that the value proposition is strong.
So, while there are many candidates looking, there are a limited few that are available and match your requirements perfectly.
How to secure the talent you want
Candidates are looking for more than their next job, they are looking for a purpose, interesting work and how to build upon their skill set.
There is still a hangover from last year’s uncertainty - a bit of fear left around “last in, first out”. This means that candidates may choose to stay in their current role for now, so long as they don’t hate it!
Nevertheless, you can still secure the talent you want. Let’s look at how, below.
1. Have a competitive offer
This doesn’t mean having the biggest salary to offer. There are many reasons why a candidate may want your role or work for your company over a competitor. Make sure you know these reasons and refer to them as much as possible when selling the role.
2. Build relationships – at every opportunity
Even when you aren’t actively hiring. Ensure you have a strong relationship with a recruiter who understands your business and can access that passive market. But also build relationships at every interaction. Leave a lasting impression with unsuccessful candidates. You never know when they will be back in the market and maybe more suitable.
3. Be open to out of the box solutions
Could you look at a contractor to cover your needs? A working holiday visa? Having a strong understanding of what your non-negotiables of the role are and what can you bend on will help to see the problem from a different perspective. Giving you more options to choose from.
4. Time plays an important role
Once you know there will be a need, give yourself plenty of time. You can even talk to your recruiter at the early stages before the role is live and get them to start managing the process.
On the flip side, don’t wait around if you find someone you like. If you can move quickly for the right candidate, they will see it as a positive sign, and you are less likely to lose them to another opportunity.
5. Do you have a backup option?
Following on from the above, don’t put all your eggs in one basket. As mentioned, the best talent may have a few opportunities they are considering, so make sure you also have your option 1, 2 and 3 ready. Your recruiter can help manage this.
Conclusion
In conclusion, the recruitment market will continue to evolve and the fight for the best talent will always be competitive.
By understanding what your non-negotiables are and considering out of the box solutions you will always have talent to choose from.
The candidate pool may not be the same as it once was in previous years, however there are still plenty of candidates out there. Building and leveraging your relationships will help you to access passive candidates that may be a better skills match, and having a competitive offer will help you to secure the candidates you want.
Author Kylie Blackwell, Director of Ambition Melbourne, has recruited in the Australian job market for 22 years, predominantly recruiting senior finance executives into the commercial industry and leading large teams across multiple disciplines.
Edited by Gemma Crolla, Digital Marketing Manager, Ambition Group Australia.
