What the Candidate Experience in India and Germany Can Teach TA Leaders 

Most conversations about AI in hiring start with technology: which tools to use, how to screen faster, where automation can take over. Far fewer start with the candidate—how they are using AI, how they feel about employers using it, and what happens to their experience when nobody explains any of it. 

Those are some of the questions we asked in our latest research, Inside the Candidate Experience 2026. We surveyed more than 1,000 job seekers across 10 markets and found that how employers communicate, particularly about AI, is the clearest differentiator when it comes to creating better candidate experiences. 

Two markets stood out as top performers: India and Germany. What sets these markets apart is a higher willingness among employers to communicate. And in both, candidates reported less ghosting and better experiences than their regional peers. 

Here’s what talent acquisition leaders everywhere else can learn from them. 

India: More AI Has Not Led to Less Trust 

India is the most AI-advanced market in our study: 84% of Indian job seekers used AI in their job search, the highest of any market globally, against a global average of 52%. Faced with that, Indian employers have not gone quiet. Sixty-four percent of Indian candidates received some communication about AI from at least one employer they applied to, again the highest rate of any market in the study. Plus, more than a quarter (28%) were given practical guidance on how to use AI well. 

The payoff shows up in the sharpest single finding in the APAC dataset. Where Indian employers communicated openly about AI with all candidates, 56% of those candidates reported being very confident a human had reviewed their application. Where employers said nothing, just 24% were. 

Germany Confirms the Link Between Communication and Better Experience 

When it comes to AI usage, 43% of German job seekers heard something from at least one employer, and 13% said every employer they applied to mentioned it, the highest rate in the EMEA region. Silence is not the default there in the way it is elsewhere—in the UK, 75% of candidates report hearing nothing about AI from any employer at all. 

While the EU AI Act means some of this transparency is required rather than chosen, that doesn’t weaken the point, because the effect on candidates is the same. Germany has the highest positive experience rate in EMEA at 47%. 

Why Communication Matters 

The hiring cultures, legal contexts, and candidate expectations differ significantly between Germany and India. What they share is a higher commitment by employers to communicate openly about AI, resulting in a measurably better candidate experience. 

Globally, candidates who suspected AI was screening their applications were far less confident a human reviewed them. Just 20% said they were very confident, compared to 55% among candidates who had no such suspicion. That gap is not caused by AI itself but by the silence around it. Employers who explain how AI is used in their hiring process — and crucially, where humans remain involved—foster more trust amongst candidates.  

For most employers, that explanation takes the form of a transparency statement, a short, direct message about how AI is used in screening and where human judgment comes in. It doesn’t need to be complicated, but it does require a clear decision about what to say and where to say it. Explain how your organization is using AI, what role human judgment plays, and what candidates can expect to hear and when. It should appear in job postings, on your careers page, and in the application acknowledgment email.  

The Broader Lesson 

There is a tendency in conversations about AI in hiring to treat communication as a soft element, important but secondary to the technical work of implementing and optimizing screening tools. India and Germany suggest the opposite. 

In both markets, higher employer transparency about AI correlates with materially better outcomes when comes to candidate sentiment. Data from both countries illustrates what the outcome looks like when disclosure does happen, and India shows the same outcome is reachable without regulation enforcing it. 

This level of communication costs almost nothing. And the data from two very different markets, in different parts of the world, confirms that it produces better outcomes than technology investment alone. 

To get the full research and more actionable insights, download the Inside the Candidate Experience 2026report.  

Raising the Bar on High-Volume Telecoms Recruitment

Raising the Bar on High-Volume Telecoms Recruitment

Raising the Bar on High-Volume Telecoms Recruitment

How PeopleScout rebuilt a 14-year RPO partnership around on-demand video assessment, a global delivery model and a more senior team, cutting time to offer by 42%.

42 % faster time to offer in field sales
96 % fulfillment rate, beating the SLA target
+ 46 point improvement in candidate NPS in one year

Situation

PeopleScout has been this telecommunications provider’s recruitment process outsourcing (RPO) partner since 2011, supporting high-volume hiring across field engineering, field sales, customer service, and retail.

When this client reset its strategic priorities following an acquisition, hiring sat at the center of almost all of them. We were delivering good candidates, but the business wanted them faster, assessed more consistently, and with an experience that better reflected the brand.

PeopleScout’s response was to propose rebuilding the model rather than adjusting it. It required a step change: a fundamental rethink of how recruitment was designed, delivered and measured, so that PeopleScout could show up as the strategic partner the client needed.

Solution

The starting point was an honest conversation. Both teams sat down and talked candidly about the existing processes, the recruitment technology ecosystem, and what a realistic workload looks like when you want people doing their best work.

Rebuilding the foundation

We mapped every workstream end to end, looking for anywhere that candidates dropped out, handoffs slowed things down and recruiter time was going to avoidable admin. Real-time pipeline dashboards gave both teams the same view of the same data. A priority and hard-to-fill tagging system focused effort where it mattered most.

We also expanded multi-country delivery across our centers in Poland and India, and stood up a dedicated offers and onboarding team. Separating offer administration from recruiting reduced errors, improved consistency, and gave recruiters their time back to connect with candidates and hiring managers.

From telephone screening to on-demand video

The single most consequential change was to candidate assessment. We replaced telephone interviews with on-demand video interviews, which candidates complete at a time that suits them, available immediately after applying.

Removing scheduling as a barrier gave every candidate equal and immediate access to assessment regardless of geography or availability. It also produced richer insight. A phone interview captures voice alone. Video lets hiring managers assess energy, presentation and body language, which matter enormously when recruiting customer-facing retail roles. Every candidate answers the same questions in the same format, which reduces variability between interviewers. And because hiring teams review responses asynchronously, the scheduling bottleneck disappears entirely.

The impact was immediate. Interview attendance improved by 27 percentage points. Average time to offer in field sales fell from 16.6 days to 9.5. Recruiter admin time per candidate dropped from 15 minutes to 8.

Raising the level of the partnership

A stable operating model created room to do more than deliver. We introduced a Talent Acquisition Partner layer into the RPO structure, promoting four PeopleScout recruiters into roles designed to bring proactive workforce planning, market intelligence, and continuous process improvement into every client conversation.

The effect compounded. A more senior team built better stakeholder relationships, surfaced opportunities, and earned talent acquisition a seat at the table as a business partner rather than a back-office function.

Scope expanded alongside it. We delivered 32 hires in four and a half weeks through a complex change program in field operations, absorbing several late-stage changes from client stakeholders along the way. A separate hiring project filled 49 retail roles ahead of Black Friday, with new hires starting within four weeks.

Our Talent Advisory team also ran a targeted recruitment marketing campaign to increase the representation of women in field technician roles. It generated 4 million impressions and 55,800 clicks, with click share from women reaching 32% on Meta and 58% on Google Display Network. It also proved something useful: attraction was no longer the limiting factor, which shifted the conversation to barriers further down the funnel that were able to address with the client.

Results

  • 96% average fulfillment rate, exceeding the SLA target
  • Every SLA metric now met in full
  • Candidate NPS improved by 46 points in a single year
  • Time to offer in field sales down 42%, from 16.6 days to 9.5
  • Retail time to offer down from 38 days to 12
  • Full-year average time to offer of 15.4 working days, against an 18-day target
  • Contract renewed for a further three years

Fourteen years into a partnership, the measure of its strength isn’t whether challenges arise. It’s how both sides respond when they do. When this client’s ambitions grew, we grew our model to match: new technology, a restructured team, and a higher level of service. With the partnership renewed, the next chapter is already underway.

At a Glance

  • COMPANY
    Leading telecoms provider in the UK
  • INDUSTRY
    Telecommunications
  • PEOPLESCOUT SOLUTIONS
    Recruitment Process Outsourcing, Talent Advisory

How Different Generations are Experiencing AI in Hiring 

Ask a 22- and 60-year-old jobseeker about their recent hiring experiences, and you’ll get two completely different answers. To find out why, we took the data from our global Inside the Candidate Experience 2026 research reportincluding a survey of more than 1,000 job seekers—and explored a cross-section of data not included in the report itself—by generation. 

Gen Z and Baby Boomers are navigating fundamentally different versions of the same hiring market, and the data suggests the industry is addressing neither particularly well.

Gen Z: The Most Ghosted, the Most Vocal

Gen Z candidates are bearing a disproportionate share of the disconnected hiring experience. Seventy-six percent of 18–24-year-olds were ghosted in more than half their applications, the highest ghosting rate of any generation in the study. Twenty percent reported a negative overall experience, also the highest. 

At the same time, this generation is the most conflicted about AI in recruitment. Fifty-nine percent used AI in their job search—consistent with higher digital fluency and lower barriers to adoption—but 33% of non-users avoided it because it felt dishonest or like cheating, the highest ethical concern rate of any generation and more than double the rate for Gen X (9%). This is a generation entering the workforce during the most significant shift in hiring technology in decades, and what’s consistent across its split perspective is their experience of what employers are not doing: 42% of Gen Z candidates heard nothing from employers about AI. 

Gen Z (18–24)

The most ghosted, the most vocal

0%
were ghosted in more than half their applications — the highest of any generation
0%
shared their bad experience with their network

Source: PeopleScout, Inside the Candidate Experience 2026

The commercial consequence of this silence is worth noting. After a bad experience, 24% of Gen Z candidates shared it with their network—the highest sharing rate of any generation. Young candidates are the most likely to make bad experiences public, at scale, through channels that reach their peers. For any organization with an early careers pipeline, the candidate experience is a talent brand investment with a long return horizon.  

👉  Navigating the Gen Z Era: Insights for Effective Early Careers Recruitment 

Millennials: Commercially Consequential, Increasingly in the Dark

Millennials span two career stages in our data, and each comes with its own risk. 

Younger millennials (25-34) are the largest cohort in our study and, by one measure, the most commercially consequential after a bad experience. Among 25–34-year-olds who rated their experience negatively, 55% say they would tell others not to apply to that company, more than double the rate for Gen Z (21%) and significantly above the global average (36%). This group also has the highest AI adoption (61%) and sits at the peak of career mobility—large professional networks, active on LinkedIn, likely to influence hiring decisions both as candidates and as future hiring managers.  

Millennials (25–44)

Commercially consequential, increasingly in the dark

0%
of younger millennials (25–34) would tell others not to apply after a bad experience
0%
of older millennials (35–44) heard nothing from employers about AI

Source: PeopleScout, Inside the Candidate Experience 2026

Older millennials (35-44) occupy a specific and uncomfortable position in the data. This is the age group receiving the most employer silence about AI. Over three-quarters (77%) heard nothing from employers about AI, the highest of any generation. It's also the group with the lowest confidence that a human reviewed their application. Just 19% were very confident their application was looked at by a person, the lowest of any generation. These are professionals who entered the workforce before AI-mediated hiring existed at scale. They're navigating a significantly changed process with less guidance than any other group, and with the longest established expectation that hiring involves human judgment at its core.  

Gen X and Baby Boomers: Lowest Adoption, Not Lowest Impact

Older candidates have the lowest AI adoption in the study—just 24% of 45–64-year-olds used AI in their job search—and tend to generate less attention in hiring technology conversations.  

While they’re less vocal with their network—just a quarter (26%) would tell others not to apply, below the group averages—they had the lowest positive experience rate (34%) of any age group in the study.  

Gen X & Baby Boomers (45–64)

Lowest adoption, not lowest impact

0%
used AI in their job search — the lowest of any generation
0%
reported a positive overall experience — the lowest of any generation

Source: PeopleScout, Inside the Candidate Experience 2026

For organizations competing for experienced talent in senior roles, this matters. This cohort is often applying for roles with higher influence, higher compensation, and higher stakes on both sides. A poor candidate experience here is costly in ways that volume metrics do not capture. 

What Generational Variation Means for Your Candidate Experience 

The practical implication of this data isn't that organizations need separate hiring processes for different generations. It's that the communication failures driving poor experiences across them are felt differently and have varying impact. 

Gen Z candidates amplify bad experiences publicly. Millennials are the most commercially reactive after a bad experience. Gen X and Baby Boomer candidates are having a quietly poor experience that employers don’t seem to notice.  

All of these problems share the same underlying cause regardless of the generation: employers not communicating clearly about what their process involves, how AI fits in, and what candidates can expect to hear.  

To explore key findings from this research and get more actionable insights, download the  Inside the Candidate Experience 2026  report.  

What 1,000+ Candidates Told Us About AI in Hiring [Infographic] 

Employers are investing more than ever in AI-enabled hiring. Candidates are using AI more than ever to apply. But there’s not much talk about it on either side. 

That’s the headline finding from PeopleScout’s new global research report, Inside the Candidate Experience 2026—a study of over 1,000 job seekers across 10 markets and 20 sectors. The data tells a clear story: the biggest opportunity to improve the candidate experience isn’t primarily about technology. It’s about communication. 

The infographic below highlights key findings from our research to help talent acquisition professionals evaluate their candidate experience in today’s AI-influenced landscape.

candidate experience 2026

The Opportunity Isn’t More AI. It’s More Communication. 

Of course, employers should keep investing in new hiring technology. But those investments only pay off on top of a solid foundation—clear, consistent communication. The research points to a mismatch in candidate expectation and experience, and highlights where the real opportunity lies – in the human moments jobseekers value most. That means telling people where they stand, being transparent about how they’re assessed, and closing the loop instead of leaving candidates in it indefinitely. 

Get the full picture. The full report breaks down the data by market and hiring stage, with practical guidance for closing the gap. Download Inside the Candidate Experience 2026.

AI & the Candidate Experience: Key Findings from Our New Research

Something unexpected is happening in hiring.

Organizations globally are investing more than ever in AI-powered recruitment tools. Automated screening, intelligent matching, ATS upgrades—the technology budget for talent acquisition has grown significantly over the last three years. The efficiency gains are real. AI handles higher volumes of applications, reduces time-to-hire and brings consistency to screening at a scale.

And yet, according to our recent research, the candidate experience is getting worse.

PeopleScout’s latest research report, Inside the Candidate Experience 2026, is our most comprehensive global study of hiring from the candidate’s perspective. We surveyed more than 1,000 job seekers across 10 markets, audited employer hiring processes across more than 20 industries using our Candidate Experience Index and compared the results against our 2023 research. The findings challenge some of the core assumptions driving investment in hiring technology right now.

The Numbers: A Disappointing Trend Emerges 

Our proprietary Candidate Experience Index scores the recruitment process across five stages—from how findable an organization is, to what happens after a candidate applies. In 2023, the post-application Engagement stage scored 24 out of 100. In 2026, it dropped to just 9.  

Every other stage declined too: Awareness fell from 90 to 77, Application from 55 to 38, Activation from 39 to 23, Consideration from 53 to 40. Not a single stage improved. This happened during a period of record investment in hiring technology. 

The candidate survey reflects this. Just 11% of candidates globally rate their most recent application experience as excellent. In 2023, fewer than two in ten rated it as excellent. Three years later, the floor has not moved. 

So, What’s Going On? 

What has changed since 2023 is not the experience, it’s the tools.  

Three years ago, AI in hiring was largely an employer capability. Candidates experienced its effects without having equivalent access. Today, that has changed. More than half of job seekers globally (52%) said they used AI in their job search to write applications, research companies, optimize résumés and CVs and prepare for interviews. 

Both employers and job seekers are using AI during the recruitment process. But no one is talking about it. Both sides can now move faster. Yet, they communicate less.

Generally, candidates are not using AI to game the system. Only 3% say their primary motivation was getting past screening tools. The dominant reasons are saving time (38%) and improving language (40%). When you set those motivations alongside a 64% ghosting rate—the proportion of candidates ghosted in more than half their applications—a picture emerges. Candidates have been trained, by consistent and repeated employer behavior, to treat applications as low-investment transactions. If most applications disappear into silence, why invest three hours in preparing each one? Leveraging AI to complete them quickly is the rational response. 

Candidates have been trained, by consistent and repeated employer behavior, to treat applications as low-investment transactions. If most applications disappear into silence, why invest three hours in preparing each one? Leveraging AI to complete them quickly is the rational response.

The loop this creates is self-reinforcing. Employers implement AI screening to manage rising volumes. Candidates adapt by investing less and applying faster. Applications start to look the same. Genuine differentiation becomes harder to detect. Employers rely more heavily on automated screening. Repeat.

The Revenue Impacts of a Poor Candidate Experience 

Here is what makes this more than a candidate experience problem: 36% of candidates with a negative experience say they would stop purchasing from that company. And 37% say they would tell others not to apply. For consumer-facing employers, the candidate pool and the customer base are the same people. These aren’t recruitment metrics—they’re revenue metrics. 

The efficiency savings from AI-powered screening are real. But they should sit alongside another number: the revenue exposure created when the candidate experience drives customers away. Most organizations are measuring one. Very few are measuring both. 

The efficiency savings from AI-powered screening are real. But they should sit alongside another number: the revenue exposure created when the candidate experience drives customers away.

AI Works Best on a Solid Foundation 

The most striking finding in this research is also the most actionable. The organizations producing the best candidate experiences in our study are not the most technologically sophisticated. They are the most communicative. They tell candidates how AI fits into their process. They follow up beyond the auto-responder email.  

India is the most AI-advanced market in our study and provides the clearest proof of concept, with 84% of candidates using AI in their job search. It is also the most communicative country—64% of Indian candidates received some communication about AI use from at least one employer. India has the lowest ghosting rate in the Asia-Pacific region (56%), the highest positive experience rate (48%), and the strongest candidate confidence in human review of any APAC market. 

The same pattern holds in Germany, which proved to be the most transparent market in EMEA, with the lowest ghosting rate in the region (38%) and the highest positive experience rate (47%). 

In these countries, employers are communicating openly, ghosting rates are lower and trust amongst candidates is stronger. The correlation is not coincidental. It is a blueprint. 

AI works best when it is built on a foundation of clear communication and transparent processes. Without that foundation, the investment in screening technology and other AI-powered automations produces diminishing returns—because jobseekers are investing less in their applications, and lower effort means a lack of candidate differentiation to inform hiring decisions.  

The data is consistent across every region, every market and every demographic group we surveyed: candidates want to be treated as people, not processed as applications. They want their time to be respected. They want to understand what is happening throughout the hiring process and why. They want honest feedback when things don’t work out. None of these require new technology. All of them require a decision that communication is non-negotiable. 

Successful organizations will build the candidate experience that makes every subsequent hiring campaign more effective, more efficient and more human. 

To get the full research and more actionable insights, download the Inside the Candidate Experience 2026 report. 

The Real Price of Ghosting: Why Fixing the Follow-Up is a Revenue Decision 

There is a data point that surfaced in our new global research report, Inside the Candidate Experience 2026, that highlights an effect of a poor candidate experience that most talent acquisition leaders have not considered yet. It is not a candidate satisfaction score. It is not a Net Promoter Score. It connects the way organizations treat job applicants directly to the revenue those applicants generate—or stop generating—as customers. 

Thirty-six percent of candidates who had a negative hiring experience say they would stop purchasing from that company. 

For a retailer running seasonal hiring at scale, that is a meaningful portion of its customer base. For a financial services firm, a hospitality group, a healthcare provider—or any consumer-facing organization where the talent pipeline and the customer base overlap—the candidate experience is a commercial metric hiding in an HR dataset. 

The Scale of the Problem 

Our study surveyed more than 1,000 job seekers across 10 global markets. Across every market, every region, every industry, the pattern was consistent: most job seekers heard nothing back from most organizations they applied to. 

Sixty-four percent of candidates globally were ghosted in more than half of their applications. Less than 8% say they were never ghosted at all, making not being ghosted the exception, not the rule. The frustration has become visible enough that sites like Did They Ghost You? now exist specifically for candidates to report and name the companies that went silent on them—a public ledger of hiring silence that any job seeker can search before they apply.

After being ghosted:  

  • 66% of job seekers felt frustrated or discouraged after being ghosted.  
  • 43% said they felt less inclined to ever apply to that organization again.  

Among candidates with a negative experience:  

  • 37% say they would tell others not to apply to that company.  
  • 36% say they would stop purchasing from it. 
  • 23% say they would actively encourage others to do the same. 

The Regional Picture 

Ghosting rates are remarkably consistent globally—between 63% and 67% across EMEA, APAC and North America. What differs is the candidate response. 

North American candidates are the most emotionally dissatisfied after being ghosted—82% felt frustrated or discouraged, the highest of any region by more than 20 percentage points.  

APAC candidates are the most likely to permanently disengage—47% were less inclined to ever apply again.  

EMEA candidates are the most commercially reactive—sharing their experiences most broadly and showing the highest purchasing avoidance rates of any region, with some markets exceeding 40%. 

Every region has a ghosting problem. The cost of that problem is distributed differently, and the commercial implications vary by sector and market in ways that determine how organizations should prioritize the fix. 

The Hourly Worker Vulnerability 

One finding deserves specific attention from leaders running high-volume hiring for consumer-facing businesses. 

Hourly and shift workers—who make up the largest segment of the candidates in our study—are the most likely to be ghosted and the least likely to have a positive experience (39%). They are also, by definition, the group most likely to be customers of the organizations hiring them. Most high-volume hourly hiring happens in retail, hospitality, and consumer services—precisely the industries where the candidate-customer overlap is most concentrated. When 35% say they would tell others not to apply and 35% would stop purchasing after a bad experience, this is not an abstract employer brand risk. It is revenue risk at a significant scale. 

The Cost Organizations Are Not Calculating 

The efficiency savings from AI investment are real. But they need to be weighed against the revenue exposure created by the communication failures that are happening in parallel—the ghosting, the silence, the candidates who leave and don’t come back. Most organizations are only looking at one side of it. 

Most talent acquisition teams measure time saved and cost per hire. Very few are measuring what happens downstream: the proportion of applicants who become detractors, the purchasing intent lost, the network effect of candidates who tell others not to apply. These are not soft metrics. They are revenue metrics with a direct line back to the hiring process. 

AI tools, automated workflows and ATS upgrades can deliver real value when they support a process that candidates trust. But when communication is lacking, the efficiencies AI creates can be offset by lost revenue and reputational damage. 

What Candidates Want 

When we asked job seekers to rate what matters most to them in a hiring process, the answers were clear—and describe a standard most hiring processes are currently failing to meet. 

The top three priorities globally are: employer respects my time (4.36 out of 5), a transparent process (4.28) and fair assessment regardless of background (4.27). All three are Engagement-stage commitments—the very stage where employers score just 9 out of 100 in our Candidate Experience Index. 

The regional picture adds further texture:  

  • APAC candidates place fair assessment at the top of their priorities (4.41), by far the highest of any region—consistent with a market in which candidates are highly suspicious that employers are using AI to evaluate their applications, the highest rate globally. Where candidates believe automated systems are making decisions about them without explanation, anxiety about whether they are being evaluated fairly runs deepest.  
  • EMEA candidates prioritize transparency and clear feedback, reflecting a region where employer silence has become the norm and candidates have learned not to expect follow-up.  
  • North American candidates lead on wanting their time respected (4.41)—the highest of any region—consistent with the highest frustration rate from ghosting anywhere in the study. 

The things candidates prioritize and expect do not require a technology overhaul. A minimum engagement standard — automated acknowledgment within hours, a personalized message within 48 hours, specific feedback at every rejection—provides candidates with the consistent communication and human connection they’re seeking. 

When Organizations Get It Right  

The business case for fixing the follow-up is no longer just about candidate satisfaction. It is about protecting revenue that comes from job seekers who are also customers. 

Without laying a strong communication groundwork first, AI-assisted process efficiencies produce diminishing returns—candidates invest less time and energy in their applications, candidate quality declines and the efficiency gains at the top of the funnel are offset by brand reputation damage further down the pipeline. The cost of not communicating is visible in the data, and it shows up beyond the HR dashboard—on the bottom line. 

To get the full research and more actionable insights, download the Inside the Candidate Experience 2026 report. 

The Sector Split: What Separates the Best Candidate Experiences from the Rest 

A poor candidate experience isn’t a single problem with a single fix. It’s a different challenge in every industry, and the sectors getting it right prove that meaningful improvement is well within reach—often without a major technology investment. 

Our research report, Inside the Candidate Experience 2026, analyzes survey data from more than 1,000 job seekers across 10 markets globally alongside data from PeopleScout’s Candidate Experience Index across more than 20 industries. In this article, we take a deep dive into the sector-level data to see what specific practices are driving the difference between industries that are getting it right and those that aren’t. 

Healthcare and Engineering: The Quiet Overperformers 

Two sectors produce notably better-than-average experiences: engineering and healthcare. The engineering sector has the highest number of candidates rating their experience as positive at 55%, with healthcare close behind at 52%. Healthcare also holds the lowest negative experience rate of any major sector, at just 7%—less than half the rate seen in retail or technology. 

The healthcare data is particularly striking given the context. It is a sector with high hiring volumes and meaningful AI suspicion (49% of candidates believed they were screened by AI), yet the sector produced some of the best candidate sentiment in the dataset. The likely explanation is the structure of the process itself: healthcare hiring tends to involve direct human contact at early stages. Even if candidates think AI is involved in the process, they are confident their applications were evaluated by a person, not simply filtered by a system, and the data reflects that. 

Engineering’s outperformance tells a similar story from a different angle. Technical assessment in this sector tends to be explicit and well-explained, meaning candidates understand what they are being evaluated on and why. That clarity—even where AI is involved in earlier stages—significantly improves how the overall experience is perceived. 

Both sectors offer a lesson for other industries: the experience is better when candidates understand the process. Transparency throughout the journey matters. 

IT/Tech: High Adoption, High Expectations, and a Paradox Worth Examining 

Technology sector candidate data paints the most complex picture. These job seekers have the highest AI adoption of any sector (81%) and the highest AI screening suspicion (74%)—both by a wide margin—while still posting a respectable 46% positive experience rate. But IT/Tech also has the highest percentage of candidates saying that AI makes hiring feel less human (66%).  

The paradox is instructive. Technology candidates are likely more informed about AI—including its use in hiring—than almost any other group. They are more likely to suspect it is being used, more likely to feel its dehumanizing effect, and more attuned to gaps between what a process claims to be and what it delivers.  

Technology companies are managing the basics reasonably well, but the AI transparency conversation is where the experience breaks down. This gap will likely widen as candidate expectations in the sector continue to rise. 

Government and Education: The Widest Gap Between Expectation and Reality 

Hiring within the government and education sectors represents the most significant experience challenge in the dataset—and one with implications that go beyond employer brand. 

Candidates in the government and education sectors place the highest priority on fair assessment of any major sector (4.43 out of 5), yet these sectors have the lowest positive experience rate (35%), the highest ghosting rate (74%), and the highest rate of employers not mentioning AI (77%).  

For public sector talent acquisition leaders, this is both a candidate experience opportunity and a reputational one. Organizations that champion fairness and transparency in their public-facing mission have a natural head start in applying that same standard to how they treat applicants—and closing this gap may be one of the most visible trust-building moves available to them. 

Retail: The Highest Volume, Highest Risk Sector 

Retail accounts for the largest share of respondents in this study and carries some of the most consequential experience findings in the dataset. A 72% ghosting rate. Just 35% of candidates say they had a positive experience. Employer silence about AI at 75%—among the highest of any major sector. Only 23% of candidates are very confident a human reviewed their application. 

Retail also has the most direct overlap between its talent pipeline and its customer base. The candidates being ghosted in retail hiring are, in many cases, regular customers of the same companies. A third of retail candidates who have had a negative recruitment experience say they would stop purchasing or actively discourage others from applying. This has some major commercial consequences in a sector where customer acquisition costs are significant, and word-of-mouth travels fast. 

High-volume retail hiring is precisely where automated workflows and AI screening deliver genuine efficiency benefits. It is also precisely where the communication gap is most costly—because the scale of the brand exposure is highest. For any talent leader running volume retail programs, the candidate experience opportunity in this sector is among the largest and most commercially significant in the dataset. 

Banking and Financial Services: Better at AI Communication, Still Falling Short 

The banking and financial services sector performed best when it comes to communicating with candidates about AI—but don’t get too excited. Nearly two in three banking candidates (64%) still heard nothing about AI from employers, which says more about how low the bar is than how well the sector is doing, with silence running as high as 77% across the other major sectors. 

The good news is that relative edge still shows up in the experience data: 48% of the sector’s candidates rated their experience as positive, the second highest among major sectors. This suggests even partial, inconsistent communication can move the needle on candidate sentiment—which says something about how easy this problem should be to fix, and how little most sectors are doing about it. 

Banking’s modest edge likely reflects regulatory pressure to be explicit about automated decision-making, coupled with the industry’s standard of more structured, formal communication in general. But the sector still shows that even a partial improvement in communication is replicable elsewhere. 

The Takeaway 

The practices that move needle when it comes to candidate experience—transparency, frequent communication, a process candidates can understand—aren’t sector-specific. Any organization, in any industry, can adopt them. The sector data simply shows what’s possible when they do, and what it costs when they don’t. This change doesn’t require new technology or a bigger budget. It simply takes a decision to implement fundamental best practices that close the gap between candidate expectation and reality, to stand out from the competition. 

To explore the full data and benchmark your organization’s candidate experience, download the Inside the Candidate Experience 2026 report. 

Inside the Candidate Experience 2026

Inside the Candidate Experience 2026

EXCLUSIVE RESEARCH REPORT BY PEOPLESCOUT

Inside the Candidate Experience 2026

A global study of 1,000+ job seekers across 10 markets and an independent audit of hiring journeys across 20 sectors reveals a hiring environment where AI use is accelerating on both sides of the table and communication has not kept pace.

The Challenge

The tools have changed. The problem hasn’t.

In 2023, fewer than two in ten job seekers rated their experience as excellent. By 2026—despite increasing investment in AI—that number has dropped to just 11%.

This is not a technology story. It’s a communication story.

What the data tells us

0% of candidates rate their experience as very positive — down from 18% in 2023
0% were ghosted in more than half their applications
0/100 Average Candidate Experience Index score for post-application Engagement
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Inside the Report

The Hiring Loop

The Hiring Loop

How employer and candidate behavior reinforce each other—and how to break the cycle.

The Ghosting Problem

The Ghosting Problem

Less than 1 in 10 candidates were never ghosted. The commercial consequences are measurable.

Candidates Want Connection

Candidates Want Connection

Job seekers rank the most important elements of a positive candidate experience.

Five Recommendations

Five Recommendations

Practical steps that don't require a technology overhaul—starting with what costs least and signals most.

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Download the global report

 

Full findings, regional breakdowns, Candidate Experience Index data and actionable recommendations.

How does your hiring process compare?

Get a Talent Diagnostic of your candidate journey—assessed from the candidate’s perspective.

7 Key Differences Between RPO and Staffing Agencies

Organizations are facing unprecedented hiring challenges that traditional staffing agencies simply weren’t designed to solve. Between remote work, skills shortages in critical roles, and the need to compete with enterprise employers for top talent, growing companies need strategic partners, not just résumé and CV providers.

So, what is the difference between a staffing agency and an RPO solutions provider? In this, article we’ll cover the major differences between RPO and staffing agencies and how to know what’s best for your talent acquisition program.

RPO vs Staffing Agencies: Which Model is Right for You?

What is RPO?

Recruitment process outsourcing (RPO) is a type of business process outsourcing in which an employer transfers delivery of some or all portions of the recruitment process to an external service provider. RPO is a long-term partnership or project-based solution that helps you evolve your talent acquisition strategy to attract and retain high-quality talent to meet your business goals. Outsourcing through an RPO lets you scale up or down during high and low volume periods. RPO recruitment companies can cover everything from high-volume hiring to niche roles and can be regional or cover your global hiring requirements. 

What is a Staffing Agency?

Staffing agencies operate on a transactional model, focusing on filling individual job requisitions. They maintain their own brand, work with multiple clients simultaneously on similar roles, and typically hand off candidates once initial screening is complete. 

What is a Staffing Agency

For companies, particularly small to mid-sized organizations, this distinction matters more than ever. Here’s why. 

7 Critical Differences Between RPO vs Staffing Agency

1. Strategic Partnership

RPO Approach: Your RPO team works under your company’s brand and email domain, not their own — candidates experience them as part of your organization, not a third-party vendor. RPO recruiters stay engaged through the full hiring relationship, building the institutional knowledge to keep representing your employer brand consistently as you scale.

Staffing Agency Approach: Agency recruiters work under their own brand and email domain. They act as a finder — sourcing, pre-screening, and introducing candidates — then hand off to the hiring manager once initial screening is done. The agency’s relationship with the candidate effectively ends there. This works fine for a one-off hire. It breaks down once you’re trying to build a consistent, scalable employer brand experience across every candidate touchpoint.

2. Process Improvements

RPO Approach: RPO partners conduct comprehensive process audits, identify inefficiencies, and implement scalable improvements. Not only does this reduce time-to-fill, but it also improves the candidate experience. A process evaluation will also include your talent technology. Your RPO partner will assess any gaps, make recommendations for new solutions and support the implementation process. 

Staffing Agency Approach: For a staffing agency, the hire-by-hire nature of their work means they’re likely not looking for ways to improve your overall hiring processes. They maintain their own workflows, which can create disconnects and inconsistencies as you grow, impacting the candidate experience and your employer brand.

3. Talent Pooling

RPO Approach: One huge advantage of the long-term relationship you build with an RPO partner is taking advantage of their ability to create talent pools. Having a pool of active and passive candidates speeds up time-to-hire, because when new roles open, you’re not starting from zero. 

Staffing Agency Approach: Agencies focus on finding candidates for a specific vacancy. It tends to be a reactive model, in which they work from requisition to requisition. Agency recruiters maintain a pool of candidates for their multiple clients, so these candidates are not necessarily found with your company in mind. 

4. Quality + Cultural Fit

RPO Approach: Leading RPO providers offer comprehensive talent assessment solutions, using behavioral interviews, skills evaluations and cultural fit assessments. This is particularly important for small to mid-sized companies as the consequences of a bad hire are far more significant and visible than at large enterprises. 

Staffing Agency Approach: Agencies focus primarily on skills and experience matching. Cultural fit assessment, when it happens, is typically limited to basic screening questions. They generally won’t be responsible for administering assessment solutions or advise on how to improve them. 

5. Talent Advisory

RPO Approach: RPO partners bring added value through their expertise in talent advisory, including employer branding, recruitment marketing, candidate communications, assessment services, labor market insights, workforce planning and talent acquisition strategy. These capabilities are vital for positioning your organization to efficiently attract, recruit and retain top talent in today’s competitive hiring landscape. 

Staffing Agency Approach: Agencies typically post jobs on their preferred job boards and tap their existing networks. Employer branding and recruitment marketing remain your responsibility—assuming you have the expertise internally. 

6. Technology Consulting

RPO Approach: RPO providers offer technology consulting, and help you understand how you can leverage AI-powered sourcing, advanced analytics, and tech integration to improve your recruitment outcomes. Some RPO providers offer some kind of recruitment technology component, whether it’s a propriety system, like PeopleScout’s Affinix® total talent suite, or expertise in a variety of talent technology systems. They’ll be comfortable working with your existing systems and can recommend solutions that scale with your growth. 

Staffing Agency Approach: Agencies use their own technology stack, which may not integrate with your systems. Limited technology means you miss out on advanced sourcing tools and market intelligence platforms. 

7. Reporting and Analytics

RPO Approach: RPO providers take ownership of recruitment outcomes. They’ll work with you to define metrics, KPIs and SLAs, and report on them on a regular basis. RPO dashboards provide visibility into time-to-hire, cost-per-hire, source-of-hire, candidate or hiring manager satisfaction and retention levels. In addition, leading RPO partners bring labor market insights to help you understand the available talent pool in the locations in which you’re hiring and recommendations on how to adjust your strategy. 

Staffing Agency Approach: Agency accountability typically ends when they present candidates. Limited reporting means you can’t optimize your overall hiring strategy or demonstrate ROI to leadership. 

rpo staffing

RPO vs. Staffing Agency: Frequently Asked Questions

Is RPO the same as a staffing agency?

No. RPO is a long-term, strategic partnership where the provider becomes an extension of your talent acquisition team, often working under your brand. A staffing agency is a transactional vendor that sources candidates for individual openings under its own brand.

When should I use RPO instead of a staffing agency?

RPO makes sense when you need an ongoing talent acquisition strategy, consistent process improvement, or support across a high volume of roles. A staffing agency is a better fit for one-off or occasional hires where you don’t need a long-term process partner.

Can a company use both RPO and a staffing agency?

Yes. Many organizations use staffing agencies for ad hoc or niche hires while relying on an RPO partner for their core, ongoing recruitment strategy. The two aren’t mutually exclusive, though duplicating effort across both for the same roles can create inefficiency. That’s why we created Amplifiers™—our modular suite of talent solutions to augment your team where you need it in your recruitment lifecycle. Each solution can stand alone or work in harmony with others, rivaling the capabilities and costs of traditional agencies while delivering the strategic depth you’d expect from a global talent leader.

Is RPO more expensive than a staffing agency?

Staffing agency fees are often higher per hire, since they’re typically charged as a percentage of salary per placement. RPO is usually priced through a retainer, per-hire, or hybrid model and is designed to lower cost-per-hire over time through process efficiency and reduced reliance on contingency fees.

The Mid-Market Reality: Why Staffing Agencies Fall Short 

The challenges facing small to mid-sized companies go far beyond what traditional staffing agencies were designed to handle: 

  • Remote/Hybrid Talent Competition: You’re no longer competing just with local companies—you’re competing globally for remote talent. This requires sophisticated sourcing strategies and employer branding
  • Skills Shortage Crisis: Globally, 72% of employers are struggling to find skilled talent. Finding qualified candidates requires proactive pipeline development, not reactive posting. 
  • Candidate Experience Expectations: Top talent expects streamlined, technology-enabled hiring processes. Clunky, agency-mediated experiences drive candidates to your competitors. 
  • Rapid Scaling Requirements: Whether you’re preparing for Series B funding or geographic expansion, you need recruitment partners who can scale quickly without compromising quality. 

The Bottom Line 

The talent market rewards strategic thinking over transactional hiring. Organizations, particularly mid-sized companies, that treat recruitment as a competitive advantage—through RPO partnerships, technology integration, and process optimization—will outpace those still relying on traditional staffing approaches. 

The question isn’t whether you need recruitment support—it’s whether you need a vendor or a strategic partner. That distinction often determines who wins the best candidates and scales most successfully. 

Still unsure about going RPO vs staffing agency? Download our comprehensive Recruitment Process Outsourcing Buyer’s Guide for more.

Beginner’s Guide to Early Careers Programs 

A well-designed early careers program is not just a nice-to-have—it’s a strategic imperative. As organizations vie for top Gen Z talent, those with robust, thoughtfully structured programs gain a significant edge. This article delves into the crucial elements of building a successful early careers initiative, and how engaging an RPO can help you structure your overall program and craft an effective early careers recruitment strategy. 

The following guide will explore how to create a program that not only attracts bright, ambitious graduates but also nurtures their growth, aligns with your business objectives, and builds a pipeline of future leaders. From rotational schemes and mentorship opportunities to innovative early careers recruitment tactics, we’ll cover the essential components of how an RPO partner can set your early careers program apart. 

The Impact of RPO for a Strong Early Careers Program 

Establishing a robust early careers program can be a complex undertaking, but partnering with an experienced recruitment process outsourcing (RPO) provider can significantly streamline the process. An RPO partner brings specialized expertise in designing and implementing comprehensive early careers initiatives, from structuring rotational schemes and mentorship programs to crafting tailored development pathways. They can help align your program with current industry best practices, ensuring it appeals to Gen Z talent while meeting your organization’s strategic objectives. 

Moreover, an RPO partner can revolutionize your early careers recruitment strategy, leveraging cutting-edge technologies and innovative approaches to attract top young talent. They can manage the entire recruitment lifecycle, from employer branding and candidate sourcing to assessment and onboarding, allowing you to focus on core business activities. By entrusting your early careers program to an RPO specialist, you’re not just filling entry-level positions—you’re investing in a scalable, future-proof talent acquisition strategy that will drive long-term organizational success and build a strong pipeline of future leaders. 

Considerations for Your Early Careers Program 

Before you can start thinking about how to recruit this dynamic generation, you need to think about how to structure your early careers program. Your RPO provider will guide you through some of the questions below as they help you create a blueprint for building your early careers program.  

Early Careers Program Structure 

  • What are the goals and objectives for your early careers program? Do you want to develop future leaders, or are you trying to find talent with particular skills?  
  • Have you created an early careers success profile? Who is the ideal early careers hire that will meet your program objectives and fit your company culture? What skills and capabilities do they need? What behaviors should they exhibit?  
  • What are your diversity targets for the early careers program? 
  • What will the program look like? Will early careers hires join a particular team or department? Or will they go through rotations with various departments before specializing? How long will each rotation last? What will they do during each rotation? 
  • How long is your early careers program? It could be one to three years, or even longer, depending on your objectives. 
  • Will you hire continuously for your early careers program or bring in annual or semi-annual cohorts? How big is each cohort? You’ll need to balance your program objectives with providing individualized attention and fostering connections. 
  • Do you have a dedicated early careers program coordinator? What about an executive sponsor or steering committee? 

Work Environment & Support Systems 

  • Where will your early careers talent work? Are they required to work from the office? Or are you open to hybrid working options to offer flexibility? 
  • How will you ensure retention of early careers talent? Mentoring programs that pair early careers talent with experienced professionals and buddy systems for peer-to-peer support are two ways to foster engagement, inclusion and community. 

Development Opportunities & Career Progression 

  • What training will your early careers talent need to be successful in the short and long term? Are these materials already created or do you need to develop them? Does the training take place in person, virtually or a hybrid? Do you need to invest in learning and development (L&D) technology? 
  • How will you measure the performance of your early careers talent? Gen Z loves feedback and will want to have career development discussions early and often. Your RPO partner can help ensure your managers and leaders are prepared with performance criteria and coaching frameworks. 
  • What is the career path for your emerging talent? Is there one set path for your program, or will it depend on the individual? Clearly outline potential career paths within the organization and ensure early careers talent know how to find opportunities for internal mobility once they’ve completed the program. 

Remember, an RPO partner will help you create a program that develops talent who align with your organization’s culture and strategic objectives. Plus, they will regularly review and adjust your program to ensure it remains relevant and effective in training and retaining top talent. 

Structuring Your Early Careers Recruitment Campaigns 

Once you know what your early careers program will look like, your RPO partner will then help you structure the recruitment process. Rolling and block campaigns are two different approaches to structuring early careers recruitment efforts. Both approaches have their merits, and some organizations use a hybrid model. The choice depends on factors like industry norms, organizational needs and the types of roles being filled. 

Rolling Campaigns  

In a rolling campaign, you recruit early careers talent throughout the year. Applications are accepted continuously, and candidates are evaluated as they apply. This means rolling campaigns can be more resource-intensive to manage and may make it harder to compare candidates directly. 

Benefits & Considerations for Rolling Campaigns: 

  • Flexibility for both employers and candidates
  • Ability to fill positions as needs arise 
  • Potentially shorter time-to-hire due to quicker responses and hiring decisions, which can keep candidates engaged 
  • Opportunity to capture top talent year-round 
  • Continuous recruitment aligns well with ongoing social media strategies, allowing for regular content and engagement opportunities 
  • Fewer applicants at a time means you can offer a more personalized recruitment experience, which Gen Z appreciates 

Block or Cohort Campaigns 

Block campaigns, also known as cohort recruiting, involve recruiting during a specific timeframe, often aligned with the academic calendar. For example, you might have an intern recruitment campaign in the spring to hire a cohort of summer interns, or you might hire in the spring to capture students as they graduate. Block campaigns are common in industries with predictable hiring needs and can be more efficient for processing large numbers of entry-level positions. 

Benefits & Considerations for Cohorts 

  • Set application deadlines and structured hiring cycles appeal to Gen Z’s desire for transparency and help them plan accordingly 
  • Great for internships and graduate programs that follow the academic calendar 
  • Creates a sense of urgency and competition among candidates inspiring them to put their best foot forward 
  • Allows for batch processing of applications making it easier to manage large volumes all at once 
  • Allows for group assessments centers or virtual events, which can showcase your company culture and allow candidates to interact with peers 
  • Can be perceived as fairer and more inclusive, which are important values for Gen Z 

Hybrid Approach 

Consider a hybrid model that combines elements of both rolling recruiting and cohort campaigns. It might look something like: 

  1. Main recruitment drives (cohorts) for graduate programs or internships 
  2. Year-round opportunities (rolling) for specific roles or departments 

Benefits & Considerations of Hybrid Early Careers Recruitment  

  • Attracts a wider range of candidates, including those who may not align with specific cohort timelines  
  • May require additional resources and careful planning to manage both rolling and cohort recruitment simultaneously 
  • Can help distribute the recruitment workload throughout the year, potentially reducing stress on internal teams during peak periods  
  • May create challenges ensuring consistent assessment and selection processes across both recruitment methods 
  • May complicate budget forecasting for recruitment and training 

RPO & Early Careers Programs 

By partnering with an RPO, organizations can leverage their expertise to design comprehensive early careers programs that align with their strategic goals and resonate with Gen Z candidates. From innovative recruitment strategies to structured development paths, these programs offer a multifaceted approach to nurturing young professionals. Companies that invest in robust early careers initiatives will find themselves well-positioned to build a dynamic, skilled workforce capable of driving future success.