More than four in five U.S. hiring managers feel optimistic about their company’s hiring plans for the remainder of 2026, yet a stubborn mismatch in the labor market is forcing many to contend with unfilled positions. A new Express Employment Professionals-Harris Poll survey found 44% of hiring managers report their company currently has open positions they cannot fill, marking the highest share since spring 2023 and up sharply from 36% last fall.
Despite the hiring challenges, 84% of U.S. hiring managers feel positive about their company’s hiring outlook for the second half of 2026, nearly unchanged from 85% in the fall of 2025. That optimism is translating into hiring plans: 60% say their company plans to increase the number of employees, though that represents a slowdown from 66% in the fall of 2025. Nearly 1 in 5 (19%) say their company plans to make significant increases.
For companies planning to expand, the drivers are rooted in operational necessity rather than market exuberance. Among those increasing headcount, 53% cite increased volumes of work, 49% are filling newly created positions, 42% are replacing positions open due to employee turnover, and 37% are staffing expansion into other categories or markets. The survey was conducted online from May 13 to June 1, 2026, among 1,006 U.S. hiring decision-makers.
Hiring Obstacles Mount as Employers Navigate Talent Gaps and Technology Shifts
The labor market’s challenge is not a lack of hiring appetite but a shortage of qualified workers to fill the roles employers want to create. Nearly nine in 10 hiring managers (90%) expect to face challenges over the remainder of the year. The top expected obstacles include navigating AI intelligence in recruitment and hiring processes (49%), finding qualified candidates (42%), and difficulty planning labor needs due to recession or economic downturn concerns or changes in government policies (32%).
The talent shortage extends beyond the U.S. labor market. ManpowerGroup’s 2026 Global Talent Shortage Survey, released in February 2026, found 72% of employers worldwide report difficulty finding the skilled talent they need. The survey of 39,000 employers across 41 countries highlights how widespread the mismatch has become, with AI skills emerging as among the hardest-to-fill competencies globally.
Not all companies are expanding. Nearly a third of hiring managers (32%) say their company plans to maintain current staffing levels or make no change in the second half of 2026, while 7% plan to reduce employee count. Among the smaller group planning to decrease staff, 72% cite the need to reduce costs, 44% point to increased use of automation, technology, or AI, and 34% say their company is not replacing or backfilling employees who leave.
The data reveals a labor market in transition: employers remain committed to hiring but face real constraints in connecting open roles with available talent. For job seekers, the message is clear—opportunities exist, but employers are increasingly selective and may require workers to develop skills in areas where they face the greatest shortages.
Sources
- Express Employment Professionals — July 8, 2026 press release on hiring outlook survey; 44% of hiring managers report unfilled positions, 84% positive outlook, 60% planning to increase headcount, 90% expect hiring challenges
- ManpowerGroup — 2026 Global Talent Shortage Survey; 72% of employers worldwide report difficulty finding skilled talent
