What is the difference between recruitment and hiring?

Recruitment and hiring are closely linked, complementary processes, but they each play a unique part in talent acquisition and require different approaches. Recruitment is typically the first phase and focuses on attracting interest – either in specific roles or in the organisation in general – and building a database of suitable candidates. For many organisations, recruitment takes a proactive approach; it’s a continuous process of finding and collecting information about standout talent, then staying in touch with these individuals, even if there’s no current position available for them.

After this initial phase of collecting information and applications, the hiring process begins. Hiring involves reviewing applications, inviting candidates to participate in practices like interviews, vetting and skills tests, selecting the best person for the position and finalising the employment offer. Depending on the level of the position and how challenging it is to recruit for, hiring can also include a contract-negotiation stage.

Let’s examine each one a little more closely:

1. Recruitment

Recruitment is all about identifying, attracting and engaging potential candidates, and it often begins before a vacancy even exists. Recruiters – whether internal or external – work on your behalf to generate interest in your company. This can include advertising open positions, connecting with passive candidates and building long-term talent pipelines.

 Here are some of the most common ways recruiters communicate new opportunities:

• Advertising positions on job boards like Indeed and on social media
• Attending or hosting job fairs and industry-relevant events
• Reaching out to universities or training providers
• Spreading the word among their professional and personal networks
• Encouraging employee referrals, possibly with an incentive programme
• Building and maintaining databases of skilled candidates for future needs

Recruitment also involves understanding your current and future needs, including any skills gaps or areas in which current employees might be overloaded. Some recruiters focus solely on external candidates, while others also look for internal talent who could be promoted or moved into new roles. The key goal of recruitment is to create a strong shortlist of qualified candidates before hiring even begins.

2. Hiring

Hiring is the second phase in the talent acquisition process. Once a pool of candidates has been identified at the recruitment stage, the hiring process begins. The central objective here is to make a final selection and bring the best person for the job on board. Hiring tends to be more structured and focused on evaluation rather than attraction. At this point in the process, the scope narrows considerably – hiring managers already know the candidates meet the basic qualifications required, so they’re looking more closely at how each person might contribute to the team, their work style and whether they align with your company culture.

Key tasks of hiring typically include:

• Reviewing submitted applications – typically CVs and cover letters and sometimes a skills test
• Conducting interviews – these tend to be a combination of virtual or in-person assessments and can have multiple stages
• Verifying references and running background checks, where applicable
• Making a decision on the preferred candidate, along with potential backup candidates
• Sharing and possibly negotiating, compensation, benefits and employment terms
• Sending out the official job offer and onboarding the new employee

Hiring is often also about managing risk. A poor choice of candidate can affect morale, performance and turnover, so it’s common for multiple people to be involved in the final decision, from HR and line managers to senior leadership. This is especially relevant when it’s a senior or highly skilled job that’s being recruited for.

When done effectively, hiring brings in people who both meet the job criteria and contribute positively to the company’s long-term goals.

Recruitment vs hiring: the key characteristics

Understanding the distinctive characteristics of recruitment and hiring can help you bring a more informed approach to how you structure your talent acquisition strategy. Here’s how they differ across four key areas:

1. Objectives

Recruitment is a proactive process. It aims to attract and engage a wide range of potential candidates, including those who may not yet be actively seeking a new role. The aim is to cast a wide net and build relationships that can support both current and future hiring needs. Hiring is reactive and more targeted. Its chief goal is to assess, select and appoint the best candidate from the applicant pool. This phase is about quality over quantity – narrowing the field to find the right fit for a specific vacancy and moving that person through to acceptance, then onboarding.

2. Duration

Recruitment tends to be ongoing. Even if there’s no immediate vacancy, building a strong candidate pipeline is a long-term strategy that gives your recruitment team a head start when roles do open up. Hiring, on the other hand, is time-bound. It usually begins once candidates have applied for an open position and concludes when the new appointee has accepted the offer and joined the company. While it may vary in length depending on the role and market conditions, hiring has a clear start and end point.

3. People involved

Dedicated recruiters typically lead the recruitment phase. These could be your internal HR employees or an external recruitment partner, handling outreach, promotion, networking and sourcing to identify and engage potential candidates. In some cases, they may also conduct initial screenings and pass shortlisted applicants on to hiring managers. Hiring usually involves decision-makers within your company, including department heads, team leads, HR personnel and sometimes even senior executives. These stakeholders take a more hands-on role in interviews, assessments and final offers. For smaller companies and/or less-complex roles, an internal HR team might handle both recruitment and the hiring process, with little to no input from external or internal sources.

4. Strategies

Recruitment strategies often involve employer branding, networking, digital outreach, partnerships with training providers and employee referral schemes. The emphasis is on visibility and access – helping the right people hear about your company and its opportunities. Hiring strategies are more evaluative. They may involve structured interviews, skills tests or trial tasks and careful vetting of candidates’ experience and references. Hiring teams zoom in on the qualified candidates the recruiters brought them and work to determine who is the best fit for the role and the workforce as a whole. There are various approaches they can take to achieve this objective, including the popular strategy of skills-first hiring.

Why is it important to understand the difference

Understanding the difference between recruitment and hiring allows you to plan more strategically and use your resources effectively. It puts you in a strong position to build a talent acquisition process and team that support both immediate staffing needs and long-term business goals. Strategic planning and a robust team are also important because recruitment plays a central role in employer branding, demonstrating to potential candidates what makes your organisation worth joining. A clear, consistent recruitment strategy helps attract people who are already aligned with your values and company culture.

Familiarity with the unique roles of recruitment and hiring also supports better collaboration. When recruiters and hiring managers recognise where their roles begin and end, communication often improves and the candidate experience is enhanced.

Budgeting is another key reason to make the distinction. Recruitment often requires ongoing investment in marketing, technology and networking, while hiring typically involves a concentrated spend on assessment, selection and onboarding. Recognising the differences can help you allocate your budget appropriately and avoid underfunding either stage.

Related: A better recruitment strategy makes for a better candidate experience (an Indeed e-guide)

How recruitment and hiring have changed in recent years

Recruitment and hiring practices are rapidly evolving, driven by factors like emerging tech, a highly competitive job market and the rise of remote and hybrid work. In the recruiting sphere, candidates today are often seeking flexibility and a sense of alignment with an organisation’s values. This can make it a good idea to take more initiative with how you present your organisation during the recruitment stage, with a greater emphasis on transparency, DEI practices and opportunities for career growth.

Hiring has also become more complex. With certain jobs attracting hundreds of applications, there’s a growing reliance on emerging tech and data-driven decision-making to narrow the search and identify strong contenders quickly, particularly in competitive industries.

Technology has been a major driver of these changes. AI tools and automation platforms now support everything from screening CVs to scheduling interviews, helping teams save time and reduce bias. Digital tools and AI are also reshaping HR as a whole, including the onboarding and training processes.

Social media recruitment remains popular, but the platforms have changed. Companies aiming to attract specifc employees might consider increasing their visibility on all social media platforms.

Adopting emerging technologies for your recruitment and hiring processes

Adopting emerging technologies can help you simplify recruitment and hiring. Automated screening processes, like Applicant Tracking Systems (ATS), can take care of time-consuming tasks like filtering CVs and identifying high-potential candidates, freeing up teams to focus their attention where it’s most needed. These tools also help to reduce bias by applying the same criteria to every applicant.

For proactive recruitment, Indeed’s Smart Sourcing offers a targeted approach to finding candidates with matching experience and skills. When using this tool, you can instantly receive a shortlist of candidates who match specific job criteria across a variety of industries, skills and educational backgrounds. This intelligent matching is based on information collected from Indeed jobseekers, such as skills, experience and what they’re looking for in their next role.

Such innovations are part of a wider shift in HR, where technology supports more efficient, responsive and data-informed decision-making across recruitment, hiring and beyond.

To recruit and hire effectively, understanding and making the most of each part of the talent acquisition process is the secret to success. When both stages are handled well, securing employees who fit your criteria, align with your goals and workplace culture and contribute to your organisation’s long-term growth is likely to be the natural outcome.

Recruitment vs hiring FAQs

Is recruitment always necessary before hiring?

No, not always, but recruitment is usually the stage that helps you build a strong pool of candidates to draw from when a position becomes available. In some cases – especially for urgent, short-term or freelance roles – hiring may begin without a long recruitment phase, though this can limit your access to the best candidates.

Is internal mobility part of recruitment or hiring?

Internal mobility can fall under both recruitment and hiring, depending on the situation. Identifying current employees for new openings is a part of the recruitment strategy, while evaluating them for fit, conducting interviews or managing any contractual changes is typically considered part of the hiring process.

How do recruitment and hiring contribute to diversity goals?

Recruitment could be considered the first step to increasing the diversity of your workforce. This is usually achieved through inclusive outreach strategies. Once you have a diverse pool of applicants at hand, the hiring process can help make sure that evaluation and selection are fair, structured and based on skills and fit, supporting your organisation’s DEI goals.