Navigating a Hiring Freeze

Jen Dewar Avatar
hiring freeze

Hiring freezes create uncertainty for talent teams. One day you’re managing multiple requisitions, and the next, you’re fielding questions about paused roles and left wondering what comes next.

You’re not alone. A recent Careerminds survey found that as many as 67% of employers have implemented hiring freezes, with 22% pausing recruitment across all roles and 45% limiting hiring freezes to specific departments or positions. 

The reasons behind these freezes vary. Budget constraints lead the way, cited by 60% of companies as their primary motivator. Economic uncertainty follows closely at 53%. Other common reasons include board pressure to limit headcount (34%), automation replacing the need for new roles (31%), and shortage of qualified talent (30%).

Nearly half of companies (49%) expect recruitment to remain paused for the next 12 months, while 32% expect hiring to resume in six months. The way you spend that time can significantly impact your reputation as an employer — and your ability to effectively recruit talent when your hiring freeze thaws.

Keeping your talent pipeline warm during a hiring freeze

Your talent pipeline may represent months — or even years — of relationship building. A hiring freeze doesn’t erase that value. You can maintain these connections and keep your pipeline healthy with consistent, authentic engagement.

The talent teams that bounce back fastest after a freeze are those that continue nurturing relationships.

Keeping unqualified candidates in your pipeline wastes everyone’s time, risking your employer reputation. Review your current applicants and send respectful rejection letters to those who don’t meet your requirements.

This serves two purposes. First, it shows respect for your candidates’ time and keeps your employer brand intact. Second, it streamlines your pipeline so you’re working with genuinely qualified candidates when hiring restarts.

A little transparency can go a long way in building trust and keeping candidates engaged. Send a brief, honest message explaining that hiring has paused due to organizational factors beyond your control. You don’t need to share every detail about budget cuts or restructuring, but it’s important to directly acknowledge the situation.

Your message should thank candidates for their interest, affirm their qualifications, and explain that you’ll reconnect when hiring resumes. Provide a realistic timeline if you have one — and be sure to follow up if it changes. 

This communication may come in the form of a job offer rescind letter or phone call for candidates further along in your process. Providing additional context and support for these candidates may help you salvage the relationship and be considered for future openings.

Candidates who interviewed with you invested significant time in your process. Offer honest, helpful feedback about their performance. Explain what they did well and where they could improve for future opportunities.

This feedback serves multiple purposes. It improves the candidate experience, makes candidates more likely to reapply later, and positions your company as one that values professional development. Even candidates who don’t receive offers can become advocates for your employer brand.

Create a simple cadence for staying in touch with the most skilled candidates. For example, you could send quarterly check-ins to see if they’ve made any big career moves or share resources relevant to their interests.

The key is personalization. Automated emails have their place, but your top prospects deserve individual attention. Reference previous conversations, acknowledge their specific skills, and show genuine interest in their career path. You’re building relationships, not just maintaining a database.

Update candidate records in your applicant tracking system so you know which candidates to follow-up with when your hiring freeze ends. An ATS with email synchronization provides useful context around where you left off so you can quickly pick the conversation back up again when you’re ready.

This organization pays dividends when hiring resumes. You’ll know exactly where to look for specific roles instead of starting from scratch. Well-maintained ATS data significantly reduces time to fill.

Investing in strategic initiatives to improve future hiring success

Hiring freezes free up time that’s usually spent sourcing, screening, and scheduling interviews. Smart talent teams redirect this capacity toward strategic projects that strengthen their talent acquisition program.

The work you do during a freeze can determine how quickly you recover afterward. Teams that optimize their processes, develop their people, and strengthen their employer brand emerge ready to compete for top talent.

With external hiring paused, turn your attention to developing current team members. Conduct a skills gap analysis to identify organizational needs and create targeted training programs to address them.

Two-fifths (43%) of HR managers report focusing on upskilling their current workforce to promote team members internally. This strategy addresses talent gaps without external hiring, boosts team member engagement and morale, and demonstrates that career advancement remains possible.

Create accessible opportunities for team members to move into new roles or take on new responsibilities. This internal movement helps cover work that new hires would have done while giving people growth opportunities.

A hiring freeze doesn’t mean you should go silent externally. Continue showcasing your company culture, sharing team member success stories, and highlighting your values on social media.

Update your careers page to reflect what makes your company a great place to work. Share team member testimonials, behind-the-scenes content, and thought leadership that positions your company as an industry leader.

Host virtual events like networking sessions, industry panels, or informational interviews. These activities engage potential candidates and demonstrate that you’re a stable, vibrant organization thinking long-term.

Review every touchpoint in your hiring process and identify opportunities for improvement. 

For example:

  • Review your job descriptions. Are they clear? Do they appeal to different candidate demographics and encourage people from a wide variety of backgrounds to apply? Will they effectively engage in-demand talent? Update your messaging to attract the right talent.

  • Audit your communication templates. Are they friendly and informative? Do they reflect your employer brand? Create or refine email templates for common scenarios so your messaging stays consistent.

  • Examine your interview process. Are you asking the right questions? Do you have structured interview scorecards? Are interview loops efficient? Document best practices and create training materials for hiring managers.

Analyze your historical hiring data to identify bottlenecks and opportunities. Look at metrics like time to fill, source effectiveness, candidate conversion rates at each stage, and quality of hire.

This analysis reveals where your process works well and where it breaks down. Maybe phone screens take too long to schedule, or perhaps candidates drop off after a particular interview. Identifying these patterns lets you address them before your next hiring cycle.

Audit your recruiting tech stack. Are you using all the features in your ATS? Do you have redundant tools? Are there new technologies that could improve your workflow? A freeze is the perfect time to optimize your systems.

Clean up your applicant tracking system thoroughly. Archive old requisitions, update candidate statuses, and verify contact information. Create logical folder structures and tagging systems that make finding candidates easy.

Pre-draft job postings for roles you anticipate reopening. Identify high-priority functions that will resume hiring first and have materials ready to go. Activate these roles immediately instead of starting from scratch when leadership approves new headcount.

Set up automated reminders to revisit paused requisitions. Configure your ATS to flag candidates who’ve been in your pipeline for specific timeframes so you can re-engage them proactively.

Use this slower period to strengthen your hiring teams’ capabilities. Offer training on inclusive interviewing techniques, giving constructive candidate feedback, and conducting effective phone screens.

Provide hiring managers with market intelligence about talent trends, competitor compensation data, and hiring conditions in your industry. This information helps them understand the broader context and make better decisions when hiring resumes.

Use current data to forecast future hiring needs. Which departments will need to grow first? What roles are most critical to business operations? Where do you anticipate natural turnover?

Create a prioritized hiring plan that ranks roles by urgency and impact. When budget opens up, you’ll know exactly where to focus rather than responding reactively. Model different scenarios so you’re prepared whether you get approval for five roles or fifteen.

Final thoughts on hiring freezes

Hiring freezes can feel like setbacks to your hiring team — and frustrate candidates who’ve invested time in your hiring process. Take the opportunity to inform your candidates about the change in your hiring timeline, keep in touch with skilled talent, and set your team up for success once hiring opens up.

Ways to handle a hiring freeze

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