The construction industry faces the challenge of integrating sustainable practices while maintaining structural performance. One approach is to incorporate recycled materials, such as waste tire steel fibers, to enhance concrete properties and reduce reliance on commercial alternatives, thus mitigating CO2 emissions and promoting sustainability. This study investigates the mechanical performance and dimensional stability of C20/25 concrete reinforced with industrial steel fibers (ISFs) and hybrid fibers (HRFs), with plain concrete as a baseline. The hybrid fibers contain 70% recycled waste tire steel fibers (RWF) and 30% IF. IFs are incorporated at a volume proportion of 0.50% and HRF at 0.50% and 0.60% in the concrete mix. The study assesses the mechanical performance in terms of linear shrinkage at 112 days (LS), split tensile strength at 120 days (SS-120), and split-tensile strength at 600 days (SS-600) of the specimens, adhering to ASTM standards. Moreover, the workability of the specimens is also reported. Notable reductions in linear shrinkage were observed across all fiber types. Additionally, incorporating industrial steel fibers (IF) and hybrid fibers led to improved split tensile strength compared to plain concrete, with IF demonstrating the highest improvement at the 0.50% dosage. The findings highlight the potential of RWFs in improving concrete performance, particularly in applications requiring enhanced durability and crack resistance. Further studies are recommended to assess the long-term performance of concrete under severe environmental conditions.