Long-term unemployment rises
The share of job seekers out of work for at least six months climbed to 26% in December, the highest proportion since February 2022. Bachaud said the uptick suggests unemployment is becoming “a permanent state rather than a temporary transition” for a larger group of Americans.
Drivers of weak hiring
Economists cite several factors behind the tepid job growth:
- Higher interest rates implemented by the Federal Reserve to curb inflation that peaked in 2022.
- Business uncertainty related to tariffs and other policy measures.
- Over-hiring during the rapid expansion of 2021–2022, which left some firms with excess staff.
- Employer caution while evaluating potential applications of artificial intelligence.
Collectively, these pressures led to a cautious stance on recruitment across many industries.
Outlook for 2026
Long expects the hiring recession to extend through the first half of 2026. However, she anticipates better conditions later in the year if tax reductions, lower borrowing costs and a clearer tariff environment materialize. Until then, job seekers face a competitive landscape with limited openings outside healthcare and a handful of other growth areas.
Strategies for job seekers
Career specialists recommend several tactics to improve prospects in a sluggish market.
1. Emphasize skills and results
Employers increasingly favor skills-based hiring, focusing on experience and capabilities rather than academic credentials. ZipRecruiter data indicate 88% of entry-level postings omit degree requirements, and about 70% of recent hires hold less than a bachelor’s degree. Candidates are advised to align their résumés closely with job descriptions, highlighting measurable achievements. Phrases such as “Using my background in digital marketing, I increased revenue by X%” help demonstrate direct value.
Imagem: Internet
2. Leverage artificial intelligence
Applicant tracking systems often screen submissions before a human review. Tools that match résumé keywords to a position’s requirements can help applicants pass automated filters. Priya Rathod, a career expert at Indeed, suggests deploying AI to ensure relevant terminology appears throughout the document.
3. Target expanding sectors
Healthcare, skilled trades, infrastructure projects and revenue-critical technology roles continue to show hiring demand. Rathod advises job seekers to assess transferable skills and obtain additional certifications, licenses or credentials where gaps exist. For example, a salesperson without prior healthcare experience can still underscore sales competencies while pursuing supplementary training.
4. Build and maintain networks
Networking remains a key avenue for discovering openings. Engaging with professional associations, industry events and online communities can surface unadvertised positions and facilitate referrals.
5. Optimize résumé structure
Specialists recommend a single-column résumé with clearly labeled sections—headline, summary, achievements, work history, areas of expertise and education. Contrary to common perception, résumés need not be limited to one page. Two pages are acceptable for professionals with five to ten years of experience, while three pages may be appropriate for longer careers, depending on industry norms.
Additional guidance on employment trends is available from the U.S. Bureau of Labor Statistics, which publishes monthly updates on job creation, unemployment and labor force participation.
Crédito da imagem: Maskot | Digitalvision | Getty Images
