Skills Based Hiring vs Diplomas: What Employers Really Value in 2025

Job applications are changing. Where a diploma once was the golden ticket to a job, more and more employers are looking beyond that. In 2025, skills based hiring is becoming the new standard: companies no longer select candidates only by credentials, but by what you can actually do in practice. What does this mean for your CV and applications?

What’s the idea behind skills based hiring?

Skills based hiring means employers focus on your skills and competencies rather than just your formal education. Instead of asking “Do you have a diploma?” the real question becomes: “Can you prove you can succeed in this role?”

You see this at tech companies that give candidates a case study or test assignment, or in healthcare where practical experience often carries more weight than a certificate. It’s about what you can do, not only what’s written on paper.

Why are companies shifting to skills?

The job market is evolving at lightning speed. Digitalization, AI, and new job roles mean that education often lags behind. A diploma doesn’t always prove you’re job ready. On top of that, companies realize skills based hiring allows them to tap into a much wider talent pool. Candidates without a traditional degree, but with proven skills or experience, can be just as valuable. Research from LinkedIn and others shows that employers increasingly emphasize transferable skills like communication, problem solving, self-reflection and adaptability.

What does this mean for you as a candidate?

A diploma is still useful, but it’s no longer enough. You can stand out by making your skills visible and concrete. For example:

• Share specific examples in your CV or interview, using the STAR method as a framework.

• Add certificates or micro-credentials from short courses or trainings.

• Highlight projects or volunteer work that prove what you can do.

Example: someone without a formal IT degree, but with a GitHub portfolio and a completed coding bootcamp, might impress an employer more than a candidate with just a diploma.

How do you highlight your skills effectively?

Take a job ad you’re interested in and mark the key competencies and don’t forget that competencies are hidden in vacancy texts as well. Then make sure your CV reflects those exact skills. Translate vague terms like “team player” or “analytical thinker” into measurable results.

For example: instead of “responsible for projects,” write “led three projects that boosted customer satisfaction by 20%.” That makes your experience tangible and impactful.

You can also apply this in your pitch. Practice a short 1-2 minute introduction that explains who you are, what you’re good at, and how that connects to the role. This way, you immediately show you’re more than just your diploma.

Ready to showcase your skills?

A diploma still matters, but in 2025, your skills will truly set you apart. Employers want candidates who can demonstrate how they work and what they deliver. By putting your skills in the spotlight, you increase your chances of standing out. Curious which skills you should highlight for your next application? Let Nexie scan your CV and receive a personalized analysis with practical tips you can use right away. Book your free CV scan today.