Almost half (46 per cent) of Canadian employers say they have a negative hiring outlook for the rest of 2025 — up from 38 per cent last year — as economic caution sets in, according to a new survey by the Harris Poll on behalf of Express Services Inc.

The survey, which polled 500 Canadian hiring decision-makers across a range of industries, found just 43 per cent of employers said they plan to grow their teams in the second half of the year, down from 49 per cent in 2024.

Read: 71% of Canadian employers feel positive about 2025 hiring outlook: survey

Among those still hiring, the top reasons include managing heavier workloads (51 per cent), replacing employees lost to turnover (42 per cent) and filling newly created roles (35 per cent).

At the same time, more employers are bracing for cuts. A tenth (13 per cent) said they expect to reduce staff, up from eight per cent last year, with cost-cutting (67 per cent) cited as the No. 1 reason, followed by adapting to policy changes (30 per cent) and declining demand (25 per cent).

The survey noted hiring strategies are also shifting. Employers are more likely to focus on mid-level roles (46 per cent), while entry-level hiring has dropped to 43 per cent from 56 per cent. Full-time positions remain the priority for most organizations (74 per cent), though a quarter said they plan to bring on part-time workers.

Read: Majority of Canadian employers expecting hiring challenges in 2024: survey