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In recent years, how people get hired has started to change. Many employers are no longer just looking at resumes. Instead, they are paying closer attention to skills – what someone can actually do. This shift is changing how jobseekers prepare and how companies hire, and it could mean a fairer and more effective job market for everyone.
The problem with traditional resumes
Resumes have been a key part of job applications for decades. They summarize a person’s education, past jobs and achievements. But they also come with a few problems.
For one, resumes often focus more on where someone has worked than what they can do. A job title or a degree doesn’t always prove skill. Someone might have years of experience but still not be up to date with new tools or methods. At the same time, someone new to a field might already have the right skills, but no way to show it on paper.
There’s also the risk of bias. Studies have shown that hiring managers can be influenced – even unintentionally – by the names, schools or locations on a resume. This can make it harder for people from underrepresented backgrounds to get a fair chance, even if they have the skills to do the job well.
Skills give a clearer picture
When hiring is based on skills, employers get a more accurate view of what a person can do. This means using tests, challenges or work samples instead of – or in addition to – resumes.
For example, a company looking for a graphic designer might ask applicants to complete a design task. A tech employer might ask candidates to solve a coding challenge. These types of assessments show real ability, not just past job titles.
“When hiring is based on skills, employers get a more accurate view of what a person can do.”
According to a 2022 report from the World Economic Forum, employers worldwide are starting to look for “skills-first” candidates. This means they care more about a person’s skills than their degrees or previous employers. In Canada, companies like Shopify and RBC have discussed the need to focus more on practical skills, especially in fast-changing industries like technology and finance., especially in fast-changing industries like technology and finance.
Benefits for jobseekers
This shift is good news for many people looking for work. It helps those who may not have traditional degrees but have gained skills through other paths – like online courses, freelance work, volunteer projects or personal learning.
It also helps newcomers to Canada. They may have strong experience and skills from their home countries but struggle to find jobs because Canadian employers don’t recognize their credentials. A skills-based approach gives them a way to show their talent in a way that speaks clearly to local employers.
For younger people entering the workforce, skills-first hiring reduces the pressure to have long resumes filled with experience they haven’t had time to get. Instead, they can focus on building and demonstrating their skills through internships, side projects or online platforms that highlight their work.
Benefits for employers
Employers also gain from hiring based on skills. It helps them find people who can do the job well, not just those who “look good on paper.” Hiring the wrong person can be costly, both in time and money. Skills tests can help employers make better decisions.
This approach also opens the door to a wider, more diverse pool of candidates. People who were previously overlooked – due to gaps in employment, lack of formal education or non-traditional career paths – now have a way to prove themselves.
In fact, a 2023 study found that companies using skills-based hiring practices saw faster hiring times and better employee performance. It also made it easier to fill roles in industries facing talent shortages.found that companies using skills-based hiring practices saw faster hiring times and better employee performance. It also made it easier to fill roles in industries facing talent shortages.
Challenges and considerations
Of course, hiring based on skills isn’t a perfect system. It takes time and effort to design fair assessments. Employers need to make sure their tests are relevant, unbiased and reflect the tasks of the job.
There’s also a need for guidance. Jobseekers may not always know how to showcase their skills in the best way. Schools, career counsellors and employment services have an important role to play in helping people prepare for a skills-first job market.
It’s also important to remember that resumes are not going away completely. They still offer helpful background information. The goal is not to replace resumes entirely, but to use them alongside skill-based methods to get a fuller picture of a candidate.
Moving forward in Canada
Across Canada, more organizations are supporting skills-based hiring. For example, Employment and Social Development Canada (ESDC) has developed a Skills for Success framework that focuses on nine key skill areas needed for work and life. These include problem-solving, communication and digital literacy. The goal is to help Canadians identify and strengthen the skills employers value most.
Meanwhile, career development professionals are finding new ways to support clients through this shift. They are helping jobseekers build skills portfolios, practise real-world tasks and become more confident in their abilities – even if they don’t have a long resume.
As the workforce evolves, it’s becoming clearer that what you can do matters more than where you’ve been. Skills-based hiring offers a more practical, inclusive and fair approach to connecting people with the right jobs.
For jobseekers, the focus should be on building and demonstrating skills. For employers, it’s about looking beyond the resume to find true talent. And for educators and career professionals, it’s time to help people prepare for a job market where skills are the new currency.
