The growing skills gap is reshaping how HR approaches hiring, with a shift toward skills-based assessments over traditional degrees. By 2030, 44% of core skills are expected to change, making adaptability key. (Source) Small businesses can thrive by embracing this trend.
What is Skills-Based Hiring?
Skills-based hiring focuses on what candidates can do, not just their credentials. Platforms like LinkedIn Skills Insights help HR identify in-demand skills, such as digital literacy or problem-solving, and match them to roles. This approach expands talent pools by tapping into diverse candidates who may lack formal degrees but excel in practical abilities.
Put It Into Action
To implement this hiring strategy, use skills assessments during the hiring process to evaluate competencies directly. Tools like TestGorilla or HackerRank offer affordable tests for technical and soft skills. Pair this with upskilling programs to bridge gaps, ensuring employees stay relevant as job demands evolve.
This strategy enhances retention and engagement by hiring based on potential and investing in growth. Exectras supports small businesses with top-tier HR and PEO solutions, as well as affordable benefits like Virtual Primary Care, boosting employee satisfaction while you build a skilled workforce. By prioritizing skills over degrees, small businesses can remain flexible, attract top talent, and prepare for the future.