3 December 2024
What will HR look like in 2025?
Economic instability, geopolitical pressures, the pandemic and the cost-of-living crisis have all created uncertainty for organisations globally. Technological change is also rapidly affecting the world of work, providing both opportunities and challenges for employees. Let’s take a look at what HR can expect in 2025 and how to embrace these changes.
Digital transformation and AI
In 2025, HR teams will play a key role in helping colleagues embrace digital transformation and AI. Within organisations, implementing AI should be carried out with people at the forefront. With the growing worry that AI will replace certain jobs, it’s more important than ever for HR to address employee concerns about job security.
According to Agnes Gatkowska, Head of HR at MHR, “human interaction is still vital and AI is here to work with us”. Essentially, employees need to know that AI will be used to supplement their skills, not replace them. HR also has a responsibility to ensure that employees feel comfortable and confident when using AI in the workplace.
Managing skill gaps
Going into 2025, HR will need to identify skill gaps in their organisation and work on implementing effective upskilling and reskilling programs to fill them. Without access to learning opportunities, employees may feel that their organisation doesn’t support their career development.
Organisations also need to address the way they match employees to projects. More and more leaders are adopting a ‘match-and-gap’ approach, fitting employees from different areas of the business to a project based on their skills, rather than their job title. It allows employees to play to their strengths and focus on projects where they can really add value.
Make wellbeing a priority
Considering that 86% of workers would leave a job that doesn’t respect their wellbeing, investing in employee wellbeing will be a key factor for HR teams in 2025 when focusing on retention and employee experience. With conflict arising over flexible working practices, HR will also need to establish clear workplace policies and ensure that employees adhere to them.
Improving employee experience is different for every organisation. For some, it could look like implementing a remote or hybrid working policy. For others, the focus might be on ensuring office spaces are accessible and cater to employee needs. Ultimately, the strategy you take needs to bring employee wellbeing to the forefront to ensure that top talent is retained.
Final thoughts
If you’re well informed of the changes coming in 2025 and have plans in place to accommodate them, you can be excited about the future of work instead of being stressed about it. This is where our research comes in. To fully understand the changes coming to HR in 2025, including employment law reforms and legislative changes, download our World of Work 2025 guide.
