I'd guess that the question at hand differs less than you might think it does. What matters more is who the audience will be. If it is a talk to a general departmental audience, including students, then a general talk about your research area is probably best, since one of the criteria is how you appeal to students.
But if the audience is a small number of specialists in your field then a more technical talk is warranted, including the open questions you still see in your area and intend to address in the future.
Of course, the junior faculty member is probably better placed for the second sort of talk.
Ask who the audience will be if you don't already know. In fact, knowing your audience is always a good idea for any talk. Address the audience, not just the field.