Desk-Based Roles See Application Surges Amid Slowing Demand, Growing AI Adoption, While Frontline and Hourly Workforce Face Talent Shortages
New Employ data reveals a growing divide in labor demand, competition, and technology use between the two job markets
DENVER, May 14, 2025 (GLOBE NEWSWIRE) -- As economic conditions shift across industries, the U.S. job market is showing clear signs of fragmentation. According to the new Job Seeker Nation report from Employ, desk-based job sectors are experiencing a dramatic rise in competition and application volume, while employers in frontline roles continue to struggle with talent shortages. Overall employment remains strong, but these varying degrees of trends point to deeper shifts in how different segments of the labor market are evolving—and what job seekers and employers must do to keep pace.
Desk-Based Role Competition Intensifies Amid Slowing Demand, While Frontline Faces Labor Shortages
Job postings from desk-based worker sectors like finance, professional services, and tech have declined year over year, creating bottlenecks of qualified talent competing for a shrinking number of roles. Recent findings revealed that desk-based workers are interviewing more often than those in frontline roles. Overall, 64 percent of respondents reported having more than two interviews in the past year—but that number drops to 55 percent among fully on-site workers, compared to those who work remotely 1–2 days per week (77 percent) or split their time 50/50 between being remote and in office (75 percent).
This gap may stem from both flexibility and function. Remote workers have more privacy to take interviews without being seen or overheard, while on-site workers may need to take PTO just to participate. And with more volatility in desk-based industries like tech and quits rates for the private sector falling to 2.1 percent, according to the Bureau of Labor Statistics, this fairly recent drop in quits suggests employees are staying in roles longer, which could be due to competition and lack of work.
“This is no longer a one-size-fits-all labor market,” said Stephanie Manzelli, Chief Human Resources Officer at Employ. “We’re seeing two very different job markets emerge—one overwhelmed with applications, and another starved for talent. Businesses need to reassess and refine hiring processes to ensure they are meeting the needs of today’s dynamic candidate market, especially as we continue to see certain sectors being significantly impacted by layoffs or new college grads getting ready to graduate.”
AI Drives an Application Arms Race
As job seekers navigate the hiring crunch, many are turning to AI tools to gain an edge. About one-third of respondents from the report (31 percent) say they’re using AI to support their job search—an increase of seven percentage points from last year. Desk-based worker applicants were using AI the most, especially those in software/technology/IT (50 percent) and finance/insurance/accounting (47 percent).
While the ways candidates use AI have shifted slightly, some trends are holding steady. Fewer respondents reported using AI to write or review resumes (52 percent, down from 58 percent in 2024) and to generate interview questions (38 percent, down from 42 percent in 2024). However, AI usage in other areas remains consistent: nearly half (48 percent) still use it to write or review cover letters, and 69 percent continue to rely on AI to find or match with relevant job listings.
AI has become a standard part of the desk-based worker job search, using every tool at their disposal to optimize their applications, sometimes even applying to multiple roles in a week. By contrast, AI adoption remains fairly limited in the frontline space just due to the continued use of more traditional methods of recruiting/hiring, such as referrals, job fairs, trade schools, and in-person applications.
The Growing Divide—and What It Means
With 66 percent of workers feeling burnt out from a stagnant market, where employers are cautious, and more employees are staying put at their current jobs, it’s no wonder that 82 percent of surveyed respondents are thinking we could see a “white-collar recession.”
This split in labor dynamics is forcing employers to reconsider hiring practices, workforce development, and the role of technology in talent acquisition. For desk-based worker employers, streamlining hiring processes, prioritizing skills-based hiring over diplomas, and ensuring accurate job descriptions are strategies to reduce applicant fatigue. For frontline employers, investing in tools such as recruitment marketing, on-the-job training, and broader talent pipelines may be key to attracting new talent.
To access the full Job Seeker Nation report and discover more about trends in job seeker behavior, visit here.
About Employ
Employ delivers people-first recruiting solutions that empower companies to overcome their greatest hiring challenges. From startups to Fortune 100 organizations, Employ meets companies where they are—offering tailored solutions that support everything from foundational hiring to advanced talent acquisition strategies. Employ is the only organization to offer companies choice in their hiring technology, providing three unique ATS platforms (JazzHR, Lever, and Jobvite) and AI Companions that work alongside you in your hiring journey. Our intelligent hiring suite is trusted by more than 23,000 customers across multiple industries. For more information, visit www.employinc.com.
Media Contact: Kalyn Stebbins 317-440-8425 Kalyn.stebbins@employinc.com
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
