Iconic Resourcing | HR Market Insights – Q4 2025
October – December
Market Overview: Year-End Caution with Pockets of Opportunity
Q4 has been a measured and pragmatic period for HR recruitment across Scotland. After a subdued summer, activity picked up slightly in October and November but as organisations moved toward year-end, many have adopted a “pause and review” approach, focusing on budget control, business planning, and workforce stability rather than expansion.
Key Trends
Permanent Market
Permanent HR recruitment remained cautious throughout Q4 with many teams operating with leaner headcount, relying on existing staff to cover broader responsibilities, which is putting pressure on workload and retention.
Entry level and early career HR roles remain limited, with graduate and assistant level positions still down around 25–30% compared to the same period in 2024. Employers are more focused on hiring mid to senior level HR professionals who can deliver immediate impact, particularly in areas like ER, OD, and HR operations. Candidate confidence has softened slightly, with professionals placing greater emphasis on job security, organisational stability, and long-term progression when considering new opportunities.
When permanent roles are advertised, competition for top talent remains high. Candidates are increasingly looking for roles that offer clear career progression, hybrid working, and a strong sense of purpose. Organisations that communicate their culture, values, and development opportunities clearly are seeing better engagement and conversion rates.
Temporary & Interim Market
The interim HR market in Scotland has remained resilient in Q4, with continued demand for experienced HR professionals on fixed term contracts. Interim roles are increasingly project based, covering areas such as:
- Organisational change and restructuring
- HRIS and digital transformation projects
- TUPE, redundancy, and ER support
- Leadership and culture change initiatives
There is also growing interest in fractional HR support, particularly from SMEs and mid-sized organisations that need strategic input without the cost of a full-time senior hire. This trend reflects a broader shift towards flexible, outcome-focused resourcing models.
Skills & Development
Organisations focused on essential capability-building with a continued emphasis on:
- Data literacy and HR analytics
- Digital HR tools and platforms (e.g., HRIS, performance, and engagement systems)
- Change management and resilience skills
- Inclusive leadership and EDI capability
While technology continues to shape HR delivery, the emphasis for most organisations is on balancing digital efficiency with human skills. Communication, emotional intelligence, adaptability, and coaching remain highly valued, particularly in leadership and people management roles.
What We’ve Been Up To
We launched our inaugural Talent Talks event, a quarterly series designed to bring our TA community together for insight, discussion, and connection.
Our first session, The Relationship Economy: Why Connection Is Your Competitive Edge, focused on how strong relationships lead to better talent outcomes. Three speakers shared perspectives on:
- Candidate Relationship Management: Treating candidates as long-term relationships rather than transactions helps build stronger talent pools and improve conversion.
- TA Business Partnering: Influencing hiring managers and aligning TA with wider business priorities drives higher-quality hires and faster time to fill.
- Feedback & Communication: Timely, constructive feedback plays a critical role in shaping candidate experience, employer brand, and employee retention.
The clear takeaway: in a competitive, cost-conscious market, genuine connection is a powerful differentiator.
We’re already looking ahead to our next Talent Talks event in January 2026, more details coming soon!
HR Network Awards
We were delighted to once again be in attendance at the annual HR Network Awards Dinner, a fantastic evening celebrating success and excellence across the HR profession. Well done again to all the nominees and winners!
Looking Ahead
As we move into 2026, early indications suggest a steady but still cautious start to the year for permanent HR recruitment. Interim and contract hiring is expected to remain a key feature of the market as organisations prioritise flexibility and specialist expertise.
For employers, clarity will be critical: clearly defined roles, realistic expectations, and strong employer messaging will be essential to secure in demand HR talent.
For candidates, those with specialist skills, strong ER experience, or a track record in change and transformation are likely to remain well positioned as confidence gradually returns to the market.
Contact our HR team:
Emma Pringle (Associate Director HR & Legal) – emma.pringle@iconicresourcing.com
Anthony Oliva (Senior HR consultant) – anthony.oliva@iconicresourcing.com
Gemma Gault (Senior HR consultant – Interim & Contract) – gemma.gault@iconicresourcing.com