Skill-Based Hiring Trumps Pedigree Hiring: Instahyre

Traditionally, corporate organizations believed education is vital for hiring a candidate. With the economy evolving at an unprecedented pace, recruiters find skills can be as important when looking for talent. This push is further accelerated by the covid-19 pandemic that acted as a catalyst of change and emerged new on-demand roles.

Skill-based hiring is strikingly becoming important to positively impact department workflows. As the war for talent is intensifying, companies are assessing candidates based on their holistic skills rather than just certain work experience and educational credentials. To understand how skill-based hiring will trump pedigree-based hiring, Instahyre - one of its kind AI-driven HRTech platforms revealed its Talent Intelligence Data that suggests there has been an increase of 34% in jobs that only talks about skills and responsibilities instead of qualifications.

In the present market dynamics, skill-based hiring has evolved over the years and Instahyre’s eBook states that talent communities will be the key to this shift from pedigree-based hiring. India as a potentially global business hub is witnessing improved market sentiments with a steady rise in the number of businesses set up by 8% over 2021. As entrepreneurs are setting up their firms they are being faced with talent shortages that can be fulfilled by upskilling and reskilling of talent. As a result, companies will look for skills rather than degrees to increase their business footprint.

Recently, Instahyre also conducted a roundtable, a webinar series with CXOs, and HR heads that highlighted - 9 out of 10 hires on skills for 73% of all job roles. What created this shift from pedigree to skill, and how will it look in the future?

To stay relevant in the highly competitive and volatile market, new-age technology startups look for what candidate is bringing to the table rather than just educational degrees. The candidate’s potential and willingness to learn provide them with an opportunity to grow that more likely will grow the business in return.

According to other industry statistics shared by Glassdoor, technology giants like Apple, Google, IBM, etc are not looking for college degrees in their job applications. On the contrary, other large IT enterprises have doubled their hiring from non-engineering backgrounds. This clearly indicates – skill-based hiring will be the new normal in the next few years.

Another trend picking up the pace in the market is community-based and less generic sourcing. The future of recruitment does not only involve interested candidates and hiring them at a good salary package but also about nurturing a community of like-minded people – talent communities. An evangelist benefit of this is attracting members from across the world to join the community and come together to solve a problem.

Creating a candidate pool with well-defined skills and experience is imperative yet involves exorbitant costs. Startups and other organizations are leveraging the capabilities of HRTech platforms that are directing the candidates toward skill-based education and facilitating the development and hiring of the upskilled workforce. This adds agility, adaptability and ambition to the candidate’s journey with the organization.