UK hiring struggle in 2025: More than half of professionals are looking for new jobs amid stagnant salaries
In 2025, the British job market will face increasing challenges. More than half of professionals are actively looking for new jobs and employers struggle to attract top talent because of concerns about salary and benefits.
Morgan McKinley UK, a global talent services firm, has revealed that 56% British professionals intend to actively seek a new position in the next six-month period. The results show that the hiring environment is becoming more competitive, with 40% hiring managers planning to hire during the same time period.
Morgan McKinley’s research for its 2025 Salary Guide span size=”font weight: 400 ;”>, reveals a major challenge employers face: attracting top talent. In the last six months, 59% of companies have lost out on top candidates due to their uncompetitive benefits and salary packages. Employee satisfaction with benefits is lukewarm. 59% of professionals are ‘neutral,’ ‘dissatisfied,’ or ‘highly unsatisfied,’ with the current offerings.
Despite the desire for flexible work arrangements, 45% require employees to spend more than three full days in the office each week. Half of UK companies have kept their salary bands static in the second half 2024. This makes it hard to attract new talent on a market that is still heavily reliant on remuneration.
In 2025, British employers will increase salaries for certain roles that are difficult to fill, a sign of a change in compensation strategies. Professionals remain cautiously hopeful, as only 40% expect to see a salary increase in 2018.
Victoria Walmsley is the Managing Director of Morgan McKinley UK. She said: “The UK job market continues to be competitive and organisations must be more strategic about their efforts in acquiring talent.” “Salary and benefits are still key factors in professional decisions. Employers must adopt a strategic approach when it comes to benefits and pay to retain the best talent .”
Walmsley added: “Enterprises that do not evolve run the risk of losing their best talent.” The trend is moving away from outdated hiring practices and incremental salary increases towards strategic talent retention. Job seekers demand greater transparency in salary ranges, clear progression pathways and flexibility. Employers that embrace these changes have the greatest advantage. After the post-pandemic changes, Britain’s job market is now moving at a more measured pace. Companies that invest in transparent salary structures, career progressions, and flexible policies will have the best chance of retaining and attracting top talent by 2025 .”
The Morgan McKinley 2025 Salary Guide provides up-to date and accurate salary information for a variety of roles in the UK. It gives hiring managers industry benchmarks to use when deciding what to pay their employees, and it gives professionals more insight into what they can earn.
A survey of 530 companies and 2751 professionals was undertaken to determine the hiring intentions of businesses for 2025. The research also sought to identify the main drivers behind job changes and expectations for salary increases.
For the Morgan McKinley UK 2025 Salary Guide, visit: https://www.morganmckinley.com/uk/salary-guide?utm_source=morganmckinley&utm_medium=media-pr&utm_campaign=salaryguide2025&utm_content=insightssurvey2025
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