Over the past few years, the workplace has undergone significant shifts, altering how employees and employers collaborate and adapt to new realities. Through our ongoing polls and the annual Future of Work study, Monster has gained valuable insights into the latest workplace dynamics. Together, these findings inform the latest edition of the Monster Work Watch Report, providing a comprehensive overview of key trends shaping the workforce.

Key Takeaways

  • Bridging the Gap: How Different Generations Shape the Workplace – Millennials are the most popular generation in the workforce as 38% of workers prefer to work with Millennial colleagues over other generations. On the contrary, Gen Z was the least preferred generation as only 11% of workers felt they were the best to work with.
  • AI at Work: Embracing the Future or Facing the Fear? – 44% of workers have never used an AI generator before, while 62% of employers plan to integrate AI to streamline and automate the recruitment process.
  • Which Jobs Are Workers Walking Towards and Away From – The leading reasons workers reported pulling out of the job application process were due to the interviewer’s attitude or behavior (51%) and poor communication about the application from the company (50%).
  • Where Work Happens: The Rise of Hybrid and Remote Models – While more than half (53%) of workers would still apply to a job regardless of the in-office or remote requirement, 33% would refrain from applying to a job that requires a fully in-person (5 days a week) presence.
  • Paying the Price: How Inflation is Shaping Salary Expectations – Workers are split on salary expectations for 2025 as 48% expect the same salary as the previous year while 46% expect a higher salary. Conversely, 30% of employers said these expectations from workers are putting strain on their bottom line.
  • Beyond the Paycheck: The Benefits That Keep Workers Happy and Healthy – Workers feel that more flexible work hours are the most important benefit for their work well-being (28%), followed by more remote work flexibility (22%) and fitness, mental health and learning opportunities or allowance (22%).
  • Workers Set Sights on New Opportunities in 2025 – 93% of workers are looking for or plan to look for a new job in 2025. 
  • The Talent Shortage and the Skills Employers Need Most – Employers have recognized that there is a skills gap within the workforce. In fact, one third of employers feel that there are noticeable gaps in essential skills that affect some areas of their business.

Generational Divide

As workers prioritize work-life balance and flexibility, employers face challenges in managing the diverse expectations of a multi-generational workforce. To retain talent, many are focusing on offering flexible hours, remote work options, and tailored benefits to meet the varying needs of their employees.

Workers:

  • Fostering a healthy work-life balance is a priority for 72% of Gen Z workers. However, non-Gen Z workers are skeptical as 56% think finding shortcuts to do work, even if it sacrifices quality, is Gen Z’s true top priority. 
  • Both Gen Z (48%) and non-Gen Z workers (44%) identified a hybrid working model as the most ideal work structure to them.
  • 36% of non-Gen Z workers prefer a fully remote work model and another 21% think fully in-office is ideal. 

Millennials are the most well-liked generation in the workforce as 38% of workers prefer to work with Millennial colleagues over other generations. On the contrary, Gen Z was the least preferred generation as only 11% of workers felt they were the best to work with.

  • About half of Gen Z (45%), Millennials (64%), Gen X (55%) and Baby Boomers (49%) all say they would prefer to work at a company that prioritizes work-life balance over hustle culture. 
  • The majority of Gen Z (60%), Millennials (80%), Gen X (69%) and Baby Boomers (54%) think hustle culture leads to burnout or health issues. 

“The four working generations are equally vital to the workplace as they all contribute unique strengths and perspectives for a well-rounded workforce; employers should offer clear career paths and training opportunities for each generation and individual to hone their skills. Employers should focus on what connects generations rather than what divides us. According to Monster data, the majority of each generation (Gen Z, Millennials, Gen X and Baby Boomers) believe that hustle culture leads to burnout or health issues.” -Vicki Salemi, Monster Career Expert

Employers:

For employers, managing a multi-generational workforce presents several challenges to creating a harmonious work environment. The leading challenges that employers work to navigate are:

  • Work ethics and values (78%)
  • Communication preferences (72%)
  • Career progression e.g. conflicting expectations (71%)
  • Technological proficiency (66%)

Accommodating the work preferences of a multi-generational workforce is crucial for maintaining employee satisfaction and retention. A significant 75% of employers recognize the importance of offering flexible working hours, while 61% see the value in providing remote work options. Additionally, 57% emphasize the need for tailored benefits packages, and 71% prioritize offering diverse training and development programs to meet the unique needs of each generation in the workforce.

AI at Work

AI continues to make its way into the workplace, and workers are divided on its impact, with many expressing fears about the new technology. Meanwhile, employers are embracing AI for its efficiency, particularly in recruitment, using it to streamline processes and improve the candidate experience.

“2024 saw AI continue to”reshape” the workplace, with 62% of workers voicing concerns about the potential for AI to replace their roles, while 83% support regulatory measures to limit its use. Despite these anxieties, 37% of employers report successfully leveraging AI to streamline the hiring process, signaling a growing acceptance of AI’s ability to improve efficiency. As companies increasingly integrate AI into operations, the critical challenge lies in balancing technological innovation with employee apprehensions about job security.” -Giacomo Santangelo, Monster Economist

Workers

The rise of AI in the workforce is showing no signs of slowing down and workers are split on its usage, use cases and further integration into everyday professional life. 24% of workers expressed a neutral perception of AI’s impact on their job, while 13% are very concerned about its potential impact on their job.

In terms of how workers and AI are getting along in the workforce:

44%have never used an AI generator before
28%have used AI just for fun
27%have used AI for basic work tasks such as email and scheduling
18%have used AI during the job application process
17%have used AI for creative purposes such as graphics and campaign plans
62%or workers are worried (31%) or very worried (31%) about ChatGPT or a different AI generator replacing their role at work, or eliminating their position
83%of workers are in favor of laws or policies that regulate or limit AI's usage in specific industries and careers
14%of workers are afraid of there being insufficient regulations governing AI systems

Employers

While AI might cause fear for some, employers are embracing the efficiencies it brings to the overall hiring process. For example, using AI helped 37% of employers streamline the search process by identifying candidates with the right skills, at a faster rate.

36% of employers said AI helped them write more compelling job descriptions and another 35% of employers said that AI allowed them to take back more time to focus on the human element of recruiting.

To improve the candidate experience, employers plan to integrate AI to streamline and automate the recruitment process (62%).

Workers on the Move

Workers are increasingly frustrated with the job application process, citing poor communication and negative interviewer behavior as key reasons for dropping out. In response, employers are focusing on retaining talent, emphasizing skills over experience, and investing in their brand to attract top talent.

Vicki Salemi, Monster Career Expert, breaks down why workers may be seeking new employment: “It’s interesting to highlight that workers aren’t necessarily walking towards or away from specific jobs, but rather toxic or healthy employers. They believe that work well-being is a priority along with flexibility, so they are making mental health a priority when pursuing employers over others. According to Monster data, two out of three workers said they feel they work in a toxic environment — company culture is a top factor in employment that workers evaluate as to whether or not to stay with an employer and also when pursuing new ones.”

Workers

In 2025, 93% of workers are looking for or plan to look for a new job.

With many workers on the job hunt for the right opportunity, employers should remain cautious of the reasons a candidate may drop out of the recruitment process. The leading reasons workers reported pulling out of an application are:

  • Interviewer attitude / behavior (51%)
  • Poor communication about the application from the company (50%)
  • Recruiter attitude / behavior (49%)
  • Interview and assessment process expected to jump through hoops (42%)
  • Being required to write a long presentation (39%)
  • 92% rarely (59%) or never (33%) hear back from employers after submitting applications
  • The most exhausting part of the application process, according to workers? Submitting applications and waiting for responses (33%) and coping with rejection or a lack of feedback (25%)

Employers

Despite economic uncertainties in recent years, alongside inflation, 67% of employers anticipate continuing to hire/fill roles as expected, while only 1% project layoffs. Recruiting priorities for employers in the coming calendar year include:

  • Improve success rate on hard-to-fill roles (85%)
  • Grow talen pipeline (79%)
  • Reduce the time to hire/fill (77%)

51% of employers will also be shifting their focus to employee retention rather than acquisition and 44% will be investing more heavily in their brand to help them stand out from the competition.

To improve the candidate experience throughout the recruiting process, employers plan to:

  • Integrate AI to streamline and automate the recruitment process (62%)
  • Focus more on a candidate’s skills rather than their degree or experience level (66%)
  • Include salary and company benefits in the job description (61%)

Work Models

Workers have varying preferences for work models, with many expressing a strong desire for flexibility, while others remain open to in-office settings. Employers are responding by embracing hybrid schedules and other flexible options to retain talent and stay competitive in the evolving job market.

“Flexibility is key: overall, Monster data shows that workers are walking towards hybrid work models as the new normal. Although nearly half of workers are currently required to work fully in-person and only 15% of workers are fully remote, one-third said on-site is preferred for productivity, one-third said remote work is preferred and one-third said a hybrid model is preferred. The most important thing to remember: employees will pursue new hybrid or fully remote roles if they are required to return to the office full-time.”    -Vicki Salemi, Monster Career Expert

Workers

Currently, nearly half (45%) of workers are required to work fully in-person, while only 15% (a 3% increase YoY) of workers are fully remote. But which format inspires the most productivity? Workers are split:

  • 37% say working in-office / on-site is preferred for productivity
  • 33% say working remotely is preferred for productivity
  • 30% say a hybrid model of remote and in-office / on-site is preferred for productivity

Notably, the vast majority (82%) of workers are willing to seek new roles if required to return full-time. From a generational standpoint, Millennials showed the least interest in applying for jobs that require full-time in-person attendance, with 37% indicating they would not apply for such positions.

Another factor for workers in the application process is what work model the organization follows. While more than half (53%) of workers would still apply to a job regardless of the in-office or remote requirement, 33% would refrain from applying to a job that requires a fully in-person (5 days a week) presence.

Employers

Employers shared their opinions on flexible work options, revealing that it helps them retain talent (45%) and gives them a recruiting advantage (41%). Looking ahead to the workforce industry in the coming years, 35% of recruiters feel that hybrid work schedules are the way of the future and another 30% think that four-day work weeks are on the horizon.

Salary & Wages

Workers are continuing to grapple with rising living costs, with many feeling that their wages are not keeping pace with inflation, while employers face increasing pressure to meet these higher demands.

“Inflation continues to drive up the cost of living, with 85% of workers expecting increasing salaries to offset these pressures; however, only 11% have received raises commensurate with inflation, so far, creating a significant gap. This financial strain is evident, with 82% of workers tapping into their savings to manage day-to-day expenses and employers struggling with the dual pressures of meeting rising wage expectations. In fact, 42% of employers acknowledge potential difficulties in recruiting talent due to the escalating compensation demands.” -Giacomo Santangelo, Monster Economist

Workers

Workers are split on salary expectations for 2025 as 48% expect the same salary as the previous year while 46% expect a higher salary. Conversely, 30% of employers said that these higher expectations are putting strain on their bottom line.

Despite having higher salary aspirations, only 32% of workers have made professional skill advancements in the past year. The leading reasons workers expect to earn more are due to: 

  • Increased cost of living (85%)
  • Taking on more responsibility (44%)
  • Their skills are in demand so they can ask for more money (36%)

The financial impact on workers has been extreme:

  • 82% have needed to utilize their savings to stay afloat An additional 8% anticipate needing to dip into their savings in the near future 69% have cut back on non-essential expenses  43% have had to rely more heavily on credit or loans  41% have had to cut back on retirement savings
  • In the past year, workers also: Did not receive an expected bonus (36%) Did not receive a promotion they thought was deserved (31%) Had a salary reduction (15%)
  • 95% of workers say their current wages have not kept up with the rising cost of living.
  • Only about one in ten (11%) workers have received a raise or salary adjustment to account for inflation. 

As inflation continues to rise, its impact on workers varies:

  • 44% have had to start looking for a higher paying job while 38% of workers report inflation has not had any impact on their career
  • 17% of workers have had to pick up a second job or seek out additional part-time work.

Employers

To improve the candidate experience throughout the recruiting process, employers plan to include salary and company benefits in the job description (61%). 42% of employers feel meeting workers’ salary expectations is one of the challenges they anticipate facing during the recruiting process.

Key Benefits

Workers are increasingly prioritizing benefits that enhance their well-being, such as flexible work hours and mental health support. To meet workers expectations, employers are adjusting their benefit offerings to focus on areas like paid time off, healthcare, and flexible work arrangements.

“There’s been a shift that continues to blossom as workers prioritize work-life balance over the daily hustle. Salary isn’t a top priority: for aspects of the job that workers love, number one is flexibility followed by benefits/PTO. In turn, employers are offering more robust benefits (i.e., more paid time off including paid volunteering, healthcare benefits, remote flexibility and family/childcare support) that support flexible work schedules, happiness, and productivity. Ultimately, by offering stronger benefits, employers can anticipate stronger retention of their workforce.” -Vicki Salemi, Monster Career Expert

Workers

A key component driving worker interest in comprehensive benefits at their place of employment are their correlation to workers’ well-being. Workers feel that more flexible work hours are the most important benefit for their well-being (28%), followed by more remote work flexibility (22%) and fitness, mental health, and learning opportunities or allowance (22%).

  • 67% of workers feel they work in a toxic environment
  • 78% of workers don’t think their employer is doing enough to address their mental wellness at work
  • 74% of workers say their mental health at work is poor (40%) or fair (34%)
  • 61% of workers would rather quit, and 39% would rather get laid off from their job than work in a toxic workplace. 

Benefits remain important to workers, but which do workers think are most likely to be compromised?

31%Working from home
16%Flexible work hours
15%Bonuses/performance incentives
8%Paid time off

Workers identified the aspects of their job that they love most:

48%Flexibility in their work schedule
37%Benefits/PTO
36%Salary
35%Work-life balance
31%The work itself

Staffing shortages are taking their toll on workers in other ways as well:

  • 30% feel their burnout has increased significantly due to staffing shortages (a decrease of 45% from the year prior)
  • 28% feel their burnout has increased slightly due to staffing shortages
  • 23% feel more burnt out than ever due to staffing shortages

Employers

To meet an increasing candidate/employee demand, employers are focused on key priority benefits such as:

66%Healthcare benefits
63%Paid time off, including paid volunteering
47%Flexible work schedules
46%Family/childcare support
40%Remote flexibility

Skills Gap

Employers

Employers have recognized that there is a skills gap within the workforce. In fact, one third of employers feel that there are noticeable gaps in essential skills that affect some areas of their business.

A significant 47% of employers report their workforce has a lack of technical skills, including AI, machine learning, cybersecurity, and blockchain. Additionally, 52% highlight a deficiency in interpersonal skills, such as emotional intelligence and effective communication.

Creative and strategic thinking skills, including innovative problem solving and strategic planning, are also lacking in the workforces of 51% of employers, underscoring the need for targeted skill development initiatives. To cope and help to resolve this reality:

  • 73% of employers are offering internal training programs
  • 52% of employers are partnering with educational institutions
  • 60% of employers are increasing recruitment efforts
  • 52% of employers are investing in technology to reduce dependence on certain skills

Looking to the year ahead, employers have identified a number of challenges they anticipate facing during the recruiting process in the near future:

  • Finding candidates with the right skills for the roles (43%)
  • Attracting and retaining top talent in a competitive job market (42%)

Methodology

The 2025 Monster Work Watch Report was compiled from worker and employer data from Monster’s Future of Work survey conducted in November 2024. Research was conducted among recruiters/those involved in talent acquisition, HR and/or the recruitment industry and workers 18+ that are both employed or unemployed and in the job market. The survey was conducted by an independent data collection provider (Dynata). The 2025 Monster Work Watch Report also consists of data from Monster’s bi-weekly polls, fielded through third-party sources (SurveyMonkey), surveying American job seekers/workers.

Vicki Salemi profile image
Vicki Salemi Career Advice Expert

Vicki Salemi is a nationally recognized career expert who helps professionals navigate the hiring landscape and find the right fit on Monster. With over 15 years of experience in corporate recruiting and HR, she offers expert guidance on job search strategies, interview preparation, and career development to help candidates land their next role.

See More From Vicki Salemi