Businesses are trimming recruitment budgets and sharpening their focus on talent retention amid looming economic uncertainty.

The hiring game is no longer a sprint but a measured marathon, with stretched timelines and a growing emphasis on non-monetary approaches to woo and retain top talent.

Against this backdrop, workforce transformation has moved centre stage, becoming a key lever for future-proofing organisations.

To help companies make sense of the shifting sands, Robert Walters has launched its Talent Trends 2025 report – an executive briefing packed with insights into how hiring practices, leadership styles, and workplace culture are being reinvented.

External trends, employee expectations shape internal decisions

According to the report, 40% of professionals in Hong Kong say the strongest influence on workplace change is the external environment – specifically, what peer companies are doing. Other major forces include the organisation’s financial footing, broader economic tides, and rising employee expectations.

“Leading companies are prioritising adaptability, leveraging digital transformation, and adopting human-first approaches to maintain a competitive edge,” said John Mullally, managing director of Robert Walters Hong Kong.

The 8 trends reshaping the world of work

The report identifies eight headline trends poised to redefine the employer-employee contract in 2025:

• AI in recruitment
• Human-centric leadership
• Treating candidates like customers
• Rethinking remote work
• Window working
• Career lattice vs ladder
• Un-retiring
• Preparing your people for the jobs of tomorrow

Each trend represents a recalibration of conventional thinking – shifting from rigid processes to flexible, people-first practices.

Candidates now shop for jobs like customers

Robert Walters’ 2025 Salary Survey finds that job seekers in Hong Kong have their eyes firmly on the full package.

A resounding 80% list “bonus scheme” as a top consideration, followed by “private health insurance” (73%) and “flexi/remote working” (62%). These priorities speak volumes about today’s talent preferences – financial incentives must go hand in hand with work-life balance.

Yet, the recent return-to-office push in 2024 has run into headwinds. Many employees now view flexibility as non-negotiable.

The report suggests companies that lead with empathy, inclusivity, and wellbeing outperform in talent retention and engagement. In this new era, psychological safety and workplace autonomy are just as important as pay.

Window working: Making time work for people

Among the more novel flexible models gaining traction is “window working” – a system that allows employees to structure their working day around their own productivity peaks.

It’s a refreshing alternative to the old 9-to-5, giving staff the freedom to weave professional duties around personal responsibilities.

This isn’t just a nod to employee convenience; it’s a smart strategy for boosting both efficiency and morale.

The climb is over – make way for the career lattice

Gone are the days of rigid, linear promotion paths. The modern career journey looks less like a ladder and more like a lattice, offering sideways moves, cross-functional stints, and project-based growth opportunities. It’s no longer about climbing to the top rung, but about exploring multiple paths that broaden skillsets.

Robert Walters’ research shows 94% of professionals are more likely to stay with a company that invests in their career development.

In Hong Kong, nearly 40% of employers are focusing on learning and development in 2025 to retain talent and meet evolving employee expectations.

AI enters the hiring room – but human insight still rules

Artificial intelligence is rapidly becoming a fixture in the modern workplace. In Hong Kong, 75% of professionals now use AI tools like ChatGPT – a steep climb from 45% just months ago.

While adoption is soaring, AI in recruitment remains in its infancy.

Looking ahead, AI promises to streamline everything from job ad creation and candidate sourcing to screening and selection. Companies using AI-powered recruitment can expect shorter hiring cycles, reduced costs, and improved efficiency.

The Talent Trends 2025 report, however, stresses that AI should enhance, not replace, human decision-making. Fairness, ethics, and good old-fashioned judgement are still critical in hiring. Success lies in blending the best of both worlds: AI’s speed with the human touch.

The report offers business and HR leaders a roadmap for staying competitive in a fast-changing talent landscape. It calls for bold, people-first leadership where adaptability trumps tradition, and innovation is grounded in empathy.