2024 Was the Year of the Great Divide in the Job Market
When you look back at 2024 from the perspective of job searching, hiring, and the job market, there was a great divide between the data and the reality for many job seekers. “Great” probably isn’t the best word to use here because it was anything but for many people looking to get hired. But there was definitely a significant divide between the story the data told about the job market and the lived experiences of anyone looking for work in 2024.
That divide left many job seekers, especially the long-term unemployed, wondering why it’s so hard to get hired, and why they can’t find a job — any job. For anyone with questions about what happened to hiring, please know it’s not just you. The job market is not nearly as good as it appears to be.
2024 by the Numbers
The numbers were all good, on the face of it. The Bureau of Labor Statistics (BLS) reported low unemployment and high job creation. Unemployment averaged around 4% for the year, up slightly from an average of 3.8% in the fourth quarter of 2023 and 3.5% in 2022. Under the Biden-Harris administration, over 16 million new jobs were created.
These are considered low unemployment rates and high job growth, but there were 7 million unemployed people in November 2024. Over the year, there were 150,000+ tech layoffs and thousands of media layoffs. The Wall Street Journal reports that over 1.6 million unemployed workers had been looking for a job for more than six months in November, up 50% since the end of 2022. Most of those looking are tech, media, and law, traditionally high-paying jobs.
Other industries were hard hit, too. The problem was (and still is) the mismatch between the sectors creating jobs (government, social assistance, and healthcare) and those losing jobs (business and professional services, retail, tech, and manufacturing).
To add to the mix, the BLS adjusted the new job creation number downward by 818,000 year-over-year. Almost half of the jobs that weren’t actually created were in business and professional services. And the number of long-term unemployed was 1.2 million more people in December 2024 than the prior year.
What Else Impacted Hiring
Scams, Scams, and More Scams. 2024 seemed to be the year of the scam, and it’s only getting worse. Job seekers had to spend more time and energy than ever weeding through job listings to avoid getting scammed. Many of those scams are so sophisticated that some people even thought they were hired. They took themselves out of the job market because they had an offer and had to start over.
Easy Application Tools. Tools like LinkedIn and Indeed’s Easy Apply didn’t make things easier for many of those who were job hunting. Employers were overwhelmed by applicants, and even if your application was a perfect match, it was hard to get noticed.
AI Done Wrong. AI, done right, was a useful tool for editing resumes and cover letters, learning about prospective employers, and preparing for interviews. It wasn’t so helpful if you used it to write your resume and cover letter based on a job description and ended up with almost the same application materials as everyone else who used the same tool. Recruiting and hiring managers can tell who is putting the time and effort into applications — and who isn’t.
Being Too Qualified. Being considered overqualified was an issue too. There are long-term unemployed who couldn’t even get hired by retailers hiring thousands of employees for the holidays, because (according to the rejection notices) they weren’t a match.
Getting Ghosted. Ghost jobs — positions that were listed but the company wasn’t really hiring for — were another issue. Job seekers applied for these jobs because they were listed as current openings but heard nothing. Why were they even listed? Stack Overflow outlines many of the reasons employers post ghost jobs along with tips for how to avoid being ghosted.
Job Market Predictions for 2025
Unfortunately, all the factors that made job searching hard last year will continue to be an issue for 2025.
The Congressional Budget Office projects the job market to continue to soften, with unemployment rising at least through 2027. Layoffs will most likely continue in the hardest-hit sectors. Unless there is a turnaround and higher growth than expected, it will be more of the same.
The old days of writing a resume and cover letter for a job, applying, getting an interview, and securing a job offer, all within a reasonable amount of time are history, in many cases. It shouldn’t be as challenging as it is currently to get hired, but here we are.
Tips for Job Seekers
As we said, job searching has changed and it’s not going to go back to the way it used to be. Throw everything you know out the window and start over.
Let Employers Know You’re Available. LinkedIn makes it easy for job seekers to advertise their availability. Enabling the “Open To Work” feature will let your network and potential employers know you’re in the job market. Before you start, make sure your LinkedIn profile is updated and includes your most relevant experience, education, certification, and achievements.
Go Back to Basics. Streamline your job search and use the resources that are the best fit for where you are in your career and your hunt for employment. Here’s how to make sure you’re searching in all the right places.
Be Selective When You Apply for Jobs. Don’t waste your time or the company’s by applying for jobs that you aren’t qualified for. Instead, make sure you’re a good fit for the role. Take the time to ensure your resume and cover letter are perfect (AI is a good way to proofread and edit your application materials), and check to see if you have any contacts at the company who can help you with a referral or recommendation.
Expand Your Search. Bigger isn’t always better when it comes to your next employer — or to the job sites you’re using. Smaller companies and small job boards have good jobs, too. When you're looking for a job in a specific industry or career field, using job sites that focus on the jobs you're interested in can be a time-saver. The Job Search Database includes links to hundreds of career sites organized by category.
Consider Alternatives. Don’t simply apply for jobs online. Use as many alternate resources as you can think of, such as networking online and in-person, tapping your college career services center, applying directly on company sites, and searching for posts on LinkedIn for jobs listed by your network. Tell everyone you know (other than your boss or co-workers if you’re employed) that you’re job hunting. Most people are happy to assist, but they can’t help if they don’t know you’re looking for work.
The Bottom Line
To sum it up, 2024 was not all it was cracked up to be, and there continues to be a significant mismatch between the industries laying off workers and those that are hiring.
2025 looks like it will be a challenge, too, but hopefully, the job market will make a turn for the better, and it will be easier to get hired this time around!
If we can answer any questions or help make it easier, don't hesitate to chat with us on Substack. We are happy to help however we can.
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I think "ghosted" needs a universal definition. Some people describe it as something that happens after the application or if they're initially contacted for a "fit" discussion. Many recruiters don't call their phone screenings, or the initial intake call an interview, yet most job seekers consider them an interview.