Employee and job seeker confidence slightly declined across job security, financial status and career advancement in the fourth quarter, according to the Vaco Talent Pulse Report released Nov. 7 by global staffing firm Vaco.

While confidence dropped compared to the third quarter of 2024, confidence levels in job security and financial status remained higher than a year ago.

Nearly 41% of job seekers reported being extremely confident in securing and holding a job in the fourth quarter — down from 45% in the third quarter but up from 38% year over year.

Conversely, 32% of job seekers reported a lack of confidence in their ability to get and hold a job right now, up from 26% in the third quarter and marking the second-highest percentage reported since the Talent Pulse Report’s inception in the third quarter of 2023.

Primary factors driving workers’ happiness at work include:

• Financial ability, 44%
• Sense of purpose, 29%
• Skills and career advancement, 19%
• Leadership, 8%

“In a year full of economic uncertainty and job market fluctuations, it’s understandable that job seeker and employee confidence has diminished in the fourth quarter,” Kyle Allen, executive VP of sales and recruiting at Vaco, said in a press release.

 Allen noted many have faced layoffs, job shifts or delays in career progression over the past several months, contributing to a sense of instability.

“However, as we approach year end, we’re seeing positive signs — including data that shows job seekers and employees are more confident now than at this time last year,” Allen said.

Financial optimism also saw a slight dip in the fourth quarter, with 41% of respondents being extremely confident in their ability to improve their financial situation in the next six months, down from 44% in the third quarter.

Despite the quarter-over-quarter rise, the survey noted that the fourth-quarter figure marks a 1% year-over-year decrease, indicating a steady improvement in overall financial optimism.

Additionally, 28% of workers remained somewhat confident, while 30% reported not feeling confident about financial improvement through securing a raise or a new job.

When it comes to career advancement, 44% of workers felt extremely confident about progression in the next year, down from 47% in the third quarter and 46% year over year.

The percentage of somewhat confident workers held steady at 28%, while those not confident rose to 28% in the fourth quarter, a 3% increase quarter over quarter and year over year.

“The tide is beginning to turn in Q4. Organizations are making more strategic investments in talent and taking a measured approach to expanding their teams,” Allen said.

“Traditionally, the end of the year is a time when hiring slows as companies focus on finalizing budgets and preparing for the new year,” he said. “This year, however, many companies are looking to add top talent — in both permanent and contract roles. It’s a prime opportunity for job seekers to capitalize on the last hiring push of 2024.”

The survey includes responses from 13,080 professionals across the US and Canada working in engineering, technology, accounting, finance, human resources and operations. It was conducted on Vaco’s LinkedIn company profile on Sept. 13, Sept. 20 and Sept. 27.