Closing the Skills Gap: Tips for Recruiting, Retaining Great Leaders

Recent studies revealed a fact recruiters and hiring leaders have known for some time: There is a workforce skills gap.

In its 2025 Global Skills Intelligence Survey, software and information services company Skillsoft found just 10% of HR and learning and development (L&D) professionals believe organizational employees can achieve the business’ stated goals within 24 months. In addition, 28% of survey respondents lamented that workers’ inadequate skills are hindering the organization’s ability to pursue new markets and business opportunities.

The problem is especially evident among leaders. The World Economic Forum cited analytical thinking as the most sought-after core skill in 2026 (the same spot it held in 2025), with 7 of 10 employers considering it essential. Other research validates these findings.

The bottom line: Today’s leaders should have technical prowess as well as creativity, innovation and human-centric skills to build a winning culture and drive the business forward.

A Lingering Issue

Although the leadership skills gap is a contemporary issue, the nonprofit Center for Creative Leadership said the issue has been building for more than a decade. The reasons: Some Baby Boomers quietly exited the workforce while others stayed in their roles past retirement age, offering little opportunity for individuals below them to advance.

Another contributing factor is older, tenured leaders have evolved in their positions, taking on new tasks that redefine their jobs. Replacing these “unicorns” with leaders who possess similar skills would be difficult.

The skills needed to lead in a complex, technology-driven environment also are changing, yet some organizations have done little to adapt. Few have succession plans in place, especially for C-suite positions. Some organizations’ L&D models are outmoded, if they exist at all. And, many managers who could fill jobs left by retiring Boomers have moved on or lack the skills to assume step-up roles.

A Step-by-Step Approach

Reasons aside, organizations have an exceptional opportunity to recruit and retain smart leaders who can make a positive, measurable difference. Just how to do this will require time, resources and a commitment from leaders at all organizational levels.

To start, conduct an audit to identify leadership gaps. Think about the skills needed to advance the organization, balancing an individual’s technical and business savvy with interpersonal abilities to motivate and guide a team.

Also, take stock in the organization — where it has been and where it is going. Do ideal leaders have what it takes to deliver on the organization’s business goals by bringing new perspectives and ideas? Can these individuals hit the ground running? And, are they a cultural fit for the organization?

Vetting Your Next Great Leader

With these factors in mind, begin the search process. Ensure alignment between the hiring manager and the recruiter by crafting a fresh, compelling job description rather than relying on an outdated one.

Be selective. While there may be urgency in filling a leadership role, take time to find the candidate who best fits the organization.

In the age of artificial intelligence-generated resumes and inflated credentials, thoroughly vet candidates. That means evaluating experience and educational credentials and asking probing questions to ensure the candidate you meet in an interview is the one you see on paper.

Some tips for doing this:

• Use example-based questions to learn how leaders navigated a crisis, managed a financial issue, or led a team or organization during a tenuous time. Probe further by asking whether, looking back, they would do anything differently. Be sure they include the “how” and “why.”
• Invite candidates to deliver a presentation or run a mock meeting for an interview panel.
• Ask behavioral questions to gauge emotional intelligence and soft skills such as intuition, critical thinking and teamwork, as well as technical proficiency. This could include having candidates share when they reached key milestones, experienced failure, managed a conflict or used technology to improve operations. Take note of the answers while also paying attention to body language and voice tone.
• Challenge conventional wisdom by creating a scenario in which the leader must use ingenuity to solve issues or seize opportunities.

Hiring can address an immediate leadership skills gap, but it’s only part of the solution. To close the leadership gap, organizations should make leadership development part of their DNA by investing in continuous learning opportunities, providing ongoing mentoring and establishing clear advancement pathways.

The leadership gap is real, but it isn’t insurmountable. Organizations that take deliberate steps to solve this dilemma today likely have a competitive edge in a workplace that continues to undergo a massive transformation.

Editor’s Note: Additional Content

For more information and resources related to this article, see the pages below, which offer quick access to all WorldatWork content on these topics:

• Career Growth
• Organizational Performance