The Rise of Skills-First Hiring in Canada
- jrezvani
- May 16
- 2 min read
For decades, post-secondary degrees have served as the primary ticket into many jobs. But a shift is underway - both globally and here in Canada. Increasingly, employers are placing greater value on demonstrated skills over traditional credentials, a movement often referred to as skills-first hiring.
This evolution is not just a trendy HR buzzword. It’s a strategic response to a growing disconnect in the labour market: job seekers are struggling to find roles, while hiring managers report ongoing challenges filling vacancies. So, what’s going on?
The Disconnect: Talent Shortages vs. Candidate Pools
A recent report from ManpowerGroup highlights this paradox. 77% of Canadian employers say they struggle to fill positions, despite an abundance of job seekers. Many employers cite a lack of experience (50%) or hard skills (47%) as barriers, but traditional hiring processes may be part of the problem.
Skills Over Degrees: A More Accurate Indicator?
According to a Forbes article, 90% of companies say hires based on skills outperform those chosen based on education alone. This stat is hard to ignore, especially when degrees may not always reflect a candidate’s real-world ability to perform.
Skills-first hiring means looking at what candidates can do, rather than where they went to school. In the context of rising tuition costs, non-traditional career paths and digital upskilling platforms, it’s a welcome shift for both employers and workers.
Why Canadian Employers Are Embracing Skills-First Hiring
Broader Talent Pools: Removing degree requirements opens doors to candidates from diverse backgrounds, especially underrepresented groups who may face barriers to formal education.
Faster Hiring: Employers focused on job-relevant skills often fill positions more quickly, as they don’t need to filter candidates through credential checklists.
Stronger Retention: Candidates hired based on capabilities are often more engaged and loyal, having demonstrated initiative and alignment with the actual work.
Alignment with Market Needs: As industries evolve, many roles require new technical competencies that traditional degrees don’t yet address.
How to Implement a Skills-First Hiring Approach
Update Job Descriptions: Focus on the skills needed to succeed rather than a specific degree or number of years of experience.
Incorporate Skills Assessments: Use simulations or practical tests as part of the hiring process.
Train Hiring Managers: Ensure interviewers are equipped to evaluate competencies, not just resumes.
Partner with Upskilling Providers: Recognize microcredentials, bootcamps or certifications that reflect real-world learning.
A New Era for Canadian Hiring
As the workforce continues to evolve, employers who focus on what candidates can do, rather than where they studied, will be better positioned to attract top talent, build more diverse teams and stay competitive in a changing economy. Skills-first hiring isn’t just a trend - it’s the future.
Ready to rethink your hiring strategy? We partner with organizations to build recruitment processes that prioritize skills, reduce bias and lead to stronger hires. Contact us to get started.
