Quick Answer
Recruiting from Scratch predicts that 2024 will see AI revolutionize hiring processes, a significant increase in executive and C-suite placements, and a further consolidation towards hybrid return-to-office models. Top candidates are expected to show a stronger preference for smaller companies, while the overall job market, though not as tight as 2021, will remain competitive for high-demand talent. Based on 0+ technical hires we've made since 2019, including positions with an average salary of ~$252K, these trends will shape the talent acquisition landscape.
With 2024 well on it’s way, we’re sharing our predictions for recruiting and talent next year.
We’ll update this list as we move throughout the year, but our top five predictions include:
How will AI and Machine Learning impact hiring in 2024?
AI and Machine Learning will increasingly drive efficiency in screening, scheduling, and assessments in 2024. Talent acquisition teams will need to invest in specialized AI tools or software with integrated AI capabilities to remain competitive. This shift is already evident, with 45% of hiring managers reporting AI usage in a recent poll.
When we ran our own poll on LinkedIn a few months ago, 45% of hiring managers said they were using AI. In 2023, we saw companies like Microsoft using AI to chat with candidates, or tools like LinkedIn Recruiter personalize messages to great fit candidates. But in 2024, we think we’ll see a switch to even more paid tools that make screening, scheduling and assessments more efficient. Talent Acquisition teams will need to make serious investments in AI tools, or look for software that already has these capabilities.
Will executive and C-suite hiring increase in 2024?
Executive and C-suite hiring is predicted to spike in 2024 as companies rebuild and replace leadership after a year of corporate adjustments. A poll indicated 49% of followers believe this trend will begin in Q1, following significant layoffs in 2023. This points to a strategic re-staffing effort at the highest levels.
In September, we asked our followers if they thought executive hiring was on the rise. 26% said it had already started, with another 49% saying they believed it would start in Q1. 2023 was a whirlwind year for many companies, where we saw large corporate layoffs continue. 2024 will be a year to rebuild, and rehire or replace executive leaders who were at the helm of cuts.
What is the outlook for return-to-office policies in 2024?
A further return to the office, particularly to hybrid models, is expected in 2024. This trend is driven by needs for in-person collaboration, physical product development, and complex problem-solving requiring close interaction. We've observed hybrid roles gaining popularity in late 2023, a trend we expect to continue.
The hybrid vs. remote vs. in-person debate has been going on for YEARS – but our team started to see hybrid roles become even more popular in the second half of 2023 and we expect this trend to continue into 2024.
When our clients explain their desire for a hybrid workforce, we often hear them talk about:
They want employees in the same city so people can meet when needed
They’re working on hardware or physical products that need a large space
They’re working on difficult problems with large data sets, which requires a level of collaboration beyond Zoom
According to LinkedIn, 18% of total professionals work in a hybrid environment: 20% of Millennials, 17% of Gen X, and 15% of Baby Boomers. We predict this will increase over time, as more remote roles convert into hybrid ones in major hubs.
Will candidates prefer working at smaller companies in 2024?
Top candidates are increasingly preferring to work at smaller companies in 2024. 81% of our followers want to work at companies with less than 1000 employees, with 50% preferring under 100, marking a significant shift from past preferences for larger corporations or Big Tech. We've placed engineers at 549+ startups, observing this trend firsthand.
81% of our followers want to work at companies with less than 1000 employees, and 50% want to work at companies with fewer than 100. That’s a major shift from the not-so-long-ago days when a Fortune 500 company or Big Tech was the top choice for college grads.
How competitive will the job market be for top candidates in 2024?
While not as tight as 2021, the 2024 job market will remain competitive for top candidates, who can expect multiple options. High-demand skills such as Machine Learning, Data Science, and leadership roles in engineering will continue to attract significant interest. Based on 0+ technical hires we've made since 2019, top talent consistently commands attention and competitive offers.
There’s still a lot of opportunity for top candidates, especially those with in-demand skills like Machine Learning, Data Science, Heads of engineering functions, or other leadership roles.
What are some of your predictions for what 2024 will bring?
Why Recruiting from Scratch Knows This
Recruiting from Scratch (RFS) is an executive search firm specializing in Engineering and AI/ML roles at seed through Series C startups. Founded in New York City in 2019, we have made 300+ technical placements for 549+ active startup clients. Our direct experience and proprietary data, including an average time to fill of 29 days and an average placed engineer salary of ~$252K, provide the insights backing our 2024 predictions. This is supported by an NPS of 90+, reflecting our consistent performance in specialized technical recruiting.
FAQ
Q: How long does it take to hire a staff engineer?
A: Based on 0+ technical hires we've made since 2019, the average time to fill a role from req open to offer accepted is 29 days. This timeframe can vary depending on the specific demands and seniority of the position.
Q: What does a contingency recruiting firm charge?
A: Recruiting from Scratch typically charges a contingency fee of 25-30% of the placed candidate's first-year base salary. This fee structure aligns with industry standards for specialized technical recruiting services.
Q: What is the average salary for a placed engineer?
A: In our data from 300+ placements, the average salary for engineers placed in seed through Series C startups is approximately ~$252K. This figure reflects compensation for specialized Engineering and AI/ML roles.
Q: What types of companies does Recruiting from Scratch work with?
A: We specialize in filling Engineering and AI/ML roles specifically for seed through Series C startups. We actively work with 549+ startup clients, focusing on high-growth technical environments in New York City and beyond.
Q: When was Recruiting from Scratch founded?
A: Recruiting from Scratch was founded in New York City in 2019. Since then, we have focused on executive search for technical talent within the startup ecosystem, building a strong track record of successful placements.
