The Recruitics Talent Market Index offers a fresh perspective on industry talent supply and demand dynamics. It tracks the fluctuating prices of attracting talent through paid advertising across diverse media channels. By focusing on pricing data, the Index complements traditional labor market metrics like job openings and hiring volume, providing a more precise signal of demand for talent, regardless of job posting volume.
In this Report:
Retail and Transportation Recruitment Prices Rise as the Holiday Season Approaches, but Milder Than Previous Years; IT and Finance Continue to See Surging Talent Attraction Prices along with Demand for Specialized Roles.
Retail 
Retail experienced a significant month-over-month increase in recruitment prices as companies rushed to secure talent for the upcoming holiday season. This rise aligns with typical seasonal hiring trends but is less pronounced compared to previous years. The year-over-year price drop highlights a shift, with more vacancies being filled through organic applicant flow, particularly for in-store positions.
This has been aided by rising labor force participation, which has alleviated some of the recruitment pressures that were more intense in 2023. As more workers re-enter the job market, the reliance on aggressive spending on talent attraction has decreased, especially for roles that benefit from a high volume of walk-in applicants.
Transportation & Logistics 
Prices surged in the Transportation & Logistics sector, reaching a two-year high in September 2024. Heightened supply chain demands drove this spike as businesses prepare for the holiday shopping season. The YoY increase reflects the sustained need for logistics roles, particularly as e-commerce grows its retail sales share. Currently, e-commerce accounts for 16% of all retail purchases, with in-store shopping still being the preferred method for most American consumers.
However, projections indicate a material shift is on the horizon, with e-commerce expected to take a more significant share of retail sales in the coming years. This anticipated growth will likely keep demand high for logistics and transportation workers as companies adapt to a more digital retail landscape.
Finance & Operations 
Talent Attraction prices in the Finance & Operations sector have climbed to a 33-month high, driven by strong demand for professionals specializing in financial strategy, automation, and compliance. The continued rise in talent attraction prices highlights sustained competition for talent in roles critical to operational efficiency.
Businesses are increasingly prioritizing these areas to enhance decision-making, streamline processes, and ensure regulatory compliance. As organizations focus on long-term financial health, the need for highly skilled talent in finance and operations is expected to remain elevated, contributing to the ongoing upward price trend.
IT & Related
Talent Attraction prices in IT have been rising steadily since May, as demand for specialized skills in AI, cybersecurity, and cloud computing remains robust. Despite the downsizing seen in some areas of the tech sector over the past two years, companies are prioritizing critical roles for innovation, digital transformation, and achieving price savings through automation. As a result, demand for professionals who can develop and manage these technologies is increasing.
Food Services
Talent attraction prices in food services have remained relatively stable this year, with a modest month-over-month increase. However, the broader trend shows a significant cooling since the peak demand in 2022. Similar to retail, many vacancies are now being filled through organic applicant flow, particularly for in-person roles such as restaurant staff.
Rising labor force participation has eased some of the recruitment pressures that were more intense in 2023, reducing the need for aggressive spending on job advertisements. As more workers re-enter the market, particularly those seeking roles with flexible hours or walk-in application processes, employers can fill vacancies more efficiently, contributing to the year-over-year decrease in recruitment prices.
Healthcare
Although talent attraction prices in healthcare dipped slightly month-over-month, they are still notably higher than during the pandemic, reflecting ongoing labor market pressures. The sector consistently sees job gains, with 45,000 new jobs added in September, though this was below the monthly average of 57,000 over the past 12 months. Demand remains strong, particularly in hospitals, home healthcare, and nursing facilities, driven by the aging population and the increased need for long-term care.
Since early 2023, talent attraction costs have steadily risen as healthcare organizations compete for talent, especially with the looming challenge of nurse retention and an aging workforce. This rising demand, coupled with a labor supply that has not kept pace, suggests that prices will remain elevated. The steady increase underscores the sector's need to attract and retain skilled healthcare professionals, as the competition for talent is expected to persist over the long term.
Hospitality 
The drop in hospitality prices reflects the post-summer cooling after a surge in travel demand peaked in June. Despite this recent decline, employment in the leisure and hospitality sector remained strong, with 69,000 new jobs added in September, far exceeding the previous 12-month average. While recruitment prices have steadily declined since the summer, they peaked in July—the highest level seen over the entire reporting period.
This elevated pricing aligns with the rebound in leisure and travel, which saw significant growth over the summer despite broader economic uncertainty, wage stagnation, and elevated unemployment rates. The strong performance of the leisure and hospitality sector underscores the enduring demand for travel and leisure activities, which has remained elevated over the past two years. Even as prices cool, the sector's hiring needs remain robust, reflecting the sustained recovery from pandemic-related disruptions.
Sales
The decline in recruitment prices for sales roles indicates cautious hiring in the face of economic uncertainties. As businesses focus on price management, hiring for revenue-generating positions has slowed.
Light Industrial 
Recruitment prices for light industrial roles fell as demand moderated since it surged towards this time last year. While hiring remains stable, employers appear to be scaling back on recruitment prices as operational needs normalize.
.png?width=700&height=399&name=TMI_Food_Retail_IT_Oct%20(2).png)
In September 2024, the labor market dynamics in the hospitality and retail sectors reflected broader trends of industry-specific challenges and post-pandemic shifts. Hospitality continues to face recruitment difficulties, with jobs being harder to fill despite a 145.20% year-over-year increase in recruitment activity. This paradox stems from the physically demanding nature of hospitality roles, irregular hours, and the lasting effects of the pandemic, which have driven many workers to seek more stable and predictable employment in other industries, like logistics or warehousing. Even though hospitality wages have risen, they often remain insufficient to overcome the stigma of high-pressure, customer-facing environments, especially in restaurants and bars. Furthermore, as travel, dining, and events rebound, the sector is struggling to keep pace with the seasonal demand, exacerbating its staffing shortages.
In contrast, the retail sector is experiencing a 57.73% month-over-month increase in talent attraction prices, but a 62.50% year-over-year decline, as this year's labor market dynamics differ from previous peak seasons. Major retailers are seeing organic applicant volume rise, reducing their reliance on paid advertising. Unlike in previous years, companies aren’t competing as fiercely for workers with giants like Amazon, which has historically driven up recruitment prices with aggressive sign-on bonuses. This shift in the retail landscape indicates that companies are able to meet their hiring needs with less effort, reflecting a less strained labor pool compared to hospitality. However, as the holiday season approaches, retail hiring will likely ramp up, though less dramatically than in previous years.
While hospitality and retail show divergent trends, another industry experiencing material year-over-year increases is IT & Related. In September 2024, the demand for tech talent remained robust, with 225,000 net new tech jobs added, up from 184,000 in the same period last year. The unemployment rate in IT fell to 2.5%, well below the national average, underscoring the fierce competition for specialized talent. The rise in demand is being driven by key areas like Systems & Information Security, AI/Machine Learning, and Cloud Infrastructure, as businesses across all sectors prioritize digital transformation. As 90% of organizations undergo some form of technological modernization, the need for skilled professionals to lead initiatives in software engineering, technology modernization, and cloud initiatives is intensifying, further driving up recruitment prices in IT.
The October release of Recruitics’ Talent Market Index reveals a labor market influenced by holiday season preparation and broader economic trends. Recruitment prices in Retail and Transportation have risen less sharply than in past years as companies prepare for peak hiring. The Hospitality and Healthcare sectors are stabilizing but remain essential drivers of demand. As Q4 approaches, employers face the challenge of balancing recruitment prices with securing the needed talent.
—
Staying on top of the labor market is essential when creating or revamping recruitment strategies. The talent acquisition experts at Recruitics are here to help you navigate any market condition. We use real-time data to pivot, innovate, and collaborate, aiming to make your approach more precise, intuitive, and efficient. Contact us today!
