22% fewer jobs as job market shrinks at the start of the year

Data from leading recruitment software provider Tribepad has found that there were 22% fewer jobs available between December 2024 and February 2025, compared with the previous year – pushing applications per job up 86% in December and 72% in January. 

Over the latest quarter there were 108,739 roles on Tribepad’s platform, down from 139,308 December 2023 – February 2024, reflecting economic uncertainty and businesses reducing hiring activity in the face of increased employment costs a minimum wage increase and employer National Insurance contribution rise.

By the end of 2024, the UK unemployment rate was 4.4%, and 1.56 million people aged 16+ were unemployed, a rise of around 210,000 over the 12 months. With a high unemployment rate (peaking at 6.1% in London), competition for roles is intensifying. In January 2025 an average of 35.5 people applied for every role – up from 20.7 in January 2024. On average that meant people had a 2.82% chance of getting a job, all things being equal – a stark reminder of the challenging job market.

The data reflects broader economic pressures on businesses and workers alike. With ONS data showing 31 consecutive months of declining vacancies, organisations are being forced to reduce costs while job seekers are faced with fewer opportunities and increased competition.

Added to this is a rise in one-click applications and AI, meaning jobseekers can apply at scale.

Dean Sadler, CEO from Tribepad said: “The job market is shifting. Businesses are pulling back on hiring due to economic pressures and the latest budget, while job seekers are stepping up their search. With an average of nearly 36 applications per role, competition is fierce. Employers need to adapt their recruitment strategies to handle the volume and find the right people – of which there are plenty. But speed can’t come at the expense of fairness – tackling bias and ensuring equal opportunities must stay a priority.”

Martyn Cohen, 45, from Hertfordshire is currently looking for a job in sales. He says:  “The current job market is undoubtedly more competitive than I’ve experienced before! I’m searching for senior leadership roles, but each one seems to attract hundreds of applicants. Recruiters are increasingly prescriptive, often prioritising exact role or industry matches over transferable skills or the quality of achievements. The realities of modern recruitment can make the process even more challenging.

“I’ve had some interviews, but so far, I’ve generally been told I’m overqualified. While I see this as a positive reflection of my extensive experience and ability to add value, it’s frustrating when this counts against you.

“With over 25 years in sales and operations and extensive network, some days the lack of roles or generic/automatic rejections can be very frustrating, and it takes extra effort to stay positive and focused! It’s a challenging process, but I’m confident the right opportunity is out there.”

A call for smarter recruitment

Tribepad’s data highlights the need for businesses to adapt their recruitment processes to manage higher application volumes effectively. Smart hiring tools and data-driven decision-making are key to navigating this challenging landscape and ensuring businesses can attract and retain the talent they need.