Across many industries, employers are increasingly using analytics-driven methods for hiring and performance management, a trend further accelerated by the rapid advancement and adoption of artificial intelligence (AI). Despite these changes, soft skills remain essential—not only for fostering a positive workplace culture, but also for driving productivity, improving retention, and supporting long-term organizational success.

Earlier this year, pre-employment test platform provider TestGorilla surveyed 1,084 individuals involved in the hiring processes of U.K.- and U.S.-based employers. The company published the results in its The State of Skills-Based Hiring 2025 report. According to the survey, 60% of employer respondents say soft skills are more important today than they were five years ago. What’s more, 78% reported hiring employees with strong technical abilities only to find their performance fell short because of a lack of soft skills or cultural fit.

So, what are soft skills? They can take many forms, but here are five that your organization should look for and develop:

1. Self-awareness. Employees with strengths in this area understand their own emotions, what triggers them, and how to separate personal reactions from objective circumstances. If a colleague or customer does something that annoys them, self-aware individuals handle the situation diplomatically rather than lashing out. This approach promotes more effective problem-solving and healthier interactions — especially in customer-facing or high-pressure roles.

2. Impulse control. Self-regulating individuals can resist the urge to act irresponsibly. They avoid mistakes by pausing to think, knowing that rash decisions can be costly. In milder cases, poor impulse control may, for example, lead a salesperson to offer an unsustainably low price just to close a deal. Or it might prompt other employees to cut corners on quality. In more severe cases, it can contribute to compliance failures, fraud, or even workplace violence. Hiring workers with strong impulse control helps protect your organization’s profitability and reputation.

3. Motivation. Self-starters understand what they want to do, what they’re capable of doing, and where their limits lie. They take initiative to achieve their goals and often help motivate others to perform at a high level. Although every employer strives to hire motivated employees, even strong performers may need encouragement and clearer direction during times of uncertainty or crisis.

4. Empathy. Employees with empathy can read others well, recognize their needs, and adjust their communication style accordingly. Empathy is less about what’s said and more about mindset. Managers and supervisors, in particular, need to understand the responsibilities and pressures their teams face to lead effectively. Empathetic leadership is closely linked to strong employee engagement, robust retention, and reduced turnover.

5. Social adeptness. Socially adept team members can quickly adapt their behavior in response to others. They can influence perspectives, encourage compromise, and elicit positive responses from customers and colleagues. Some employees with weaker social skills may still excel technically, but they may require more labor-intensive supervision — especially during challenging periods.

For employers, having a workforce deficient in soft skills may result in higher turnover, increased supervision costs, operational disruptions, and added risk. Although automation and AI can enhance hiring decisions, employers remain accountable for compliance, performance, and workplace conduct. It’s these areas where soft skills in your team play a decisive role. We can help you evaluate workforce investments, align HR decisions with your budget and strategic objectives, and manage the financial and compliance implications of growth. Contact KPM Human Capital Solutions for assistance.